Seeing the need to help consumers during this time of job loss, recession and inflation, LoanPointUSA has increased its loan limit to $600.
With tough economic times comes a need for more money, and the lender is making the higher limit available for people who need help making ends meet.
The prolonged economic downturn is making it more and more difficult as time goes on. Most people can tighten their belts and survive, but a lay-off or unforeseen expenses can really take a toll on a family’s budget.
These unforeseen expenses can include an emergency room visit or car repair. Many people found it difficult to pay their taxes this year, although the government did offer relief in the way of a payment plan. Many were unaware of the plan and sent the full amount. Given the many months that we’ve seen soaring gas (and other energy) prices, some may find it difficult to pay for necessities like groceries, utilities and housing after paying their tax bills.
Other once-a-year expenditures sometimes never make it into the family budget but can leave a family with temporary financial hardship. Christmas, personal property taxes, and start of the school year are just a few examples of these annual expenses that consumers sometimes forget to add into their budgets.
Widely known as “payday loans the industry is highly regulated and self-regulated. LoanPointUSA is a member of the Online Lenders Alliance.
Recently, the industry has come under scrutiny by politicians. Some in the media have portrayed them as “predatory lenders” who take advantage of poor people. That description is highly inaccurate.
The average income of a LoanPointUSA customer is over $40,000. More than half of the customers who borrow from the company are women with at least some college education. Most live in the suburbs.
LoanPointUSA has streamlined the entire process. The application takes only a few minutes to fill out. Approval takes only a few seconds thanks to its software. Upon approval and customer agreement, the money is transfer to the borrower’s checking account via direct deposit. Typically a customer will have access to the money in as little as one business day.
The increase in the loan limit is seen as a way for customers to avoid taking on several loans from different lenders. It’s much more convenient to pay one lender $600 than to pay two or three lenders.
This will help customer avoid a payment to one lender, which could result in unnecessary “roll-over” of a loan, which results in more fees.