I saw the article on how to avoid payday loans. The option given was to pick up a SeedFi Loan. The example used was to borrow $4000 at an interest rate of 24.99%. Ouch. An individual could possibly do better with most credit cards. I recognize that some of these articles are sponsored by Commercial entities and 25% is better than 200% in a payday loan but there may be better options at the local bank or credit union. Maybe that option should be mentioned first and then offer the SeedFI option or another similar commercial loan option. Taking 2.5 years to pay off $4000 which is driven by a 25% interest rate doesn’t help a struggling single mother. You need to give the readers all the options and then consider the sponsored options second.
Thank you for the feedback, Richard. SeedFi can be used as a payday loan alternative for people who typically would have no other option besides a payday loan. It’s a good option for those people because the rates are much lower, you build credit and then at the end, you have an emergency fund that will help you avoid needing to take another emergency loan in the future.
Will S. – Community Manager at The Penny Hoarder
Thank you for sharing I learn so much from this great community