Credit Unions: A Great Payday Loan Alternative
Local credit unions have been helping borrowers navigate difficult financial situations with cost-efficient options for short-term cash flow management and long-term repayment solutions. When members avoid using payday lenders, they also avoid higher interest rates and costly payday loan debt. The options vary from institution to institution, but these alternatives to payday loans can help you avoid a paycheck advance.
ProFed has innovative ways to make short-term loans affordable for its members. One example is unsecured personal loans. Unsecured loans based on your credit score or credit history are commonly offered to credit union members for debt consolidation or short-term expenses like medical bills.
Refinancing assets like your home or vehicle can provide access to their equity at low interest rates for larger loan amounts. Sometimes, you could even consider refinancing your home or opening a home equity line of credit to get working capital for a big project with flexible repayment options.
With a line of credit, you can access funds by withdrawing cash or transferring it to your checking account anytime. The interest rate is typically lower than credit cards but higher than fixed-term loans. Once established, lines of credit are reusable. Pay down the balance, and it will be available again the next time you need cash. Lines of Credit are great for managing short-term expenses without paying high-cost fees.
The best way to avoid scammers posing as cash advance providers is to work with NCUA-insured and accredited financial institutions, like ProFed Credit Union, when you need to borrow money. Working with ProFed in your community makes it even easier to borrow with peace of mind because the institution is well-known and has served members since 1933.
Discover ProFed lending options that are great alternatives to payday loans.