Looking for an Unsecured Personal Loan in Delaware?
Have you tried payday lending and got stuck in the constant cycle of borrow, repay, and reborrow? Between the due dates for payday loans and the exorbitant finance charges added to such loans, the system is set up to do just that: trap you in a vicious cycle so that you have no choice but to continue the cycle. This practice earns payday lenders nearly $3 billion annually of people’s hard-earned money simply because a person encountered an unexpected situation and needed help. Just know that you do have an option to escape the payday cycle. Loans Now can help you get out of the revolving debt you find yourself in, and our Loan Discovery Process can identify the best way for us to do that!
What if there was a program that not only got you out the payday lending cycle but was also able to help you get back on your feet financially? You would probably as yourself “How.” An unsecured personal loan could provide you with the money you need to say goodbye to those predatory payday lenders. It could also provide you with additional funds that could go towards stabilizing your situation and setting yourself up for financial security.
Unsecured Loans for People with Bad or No Credit
Bad credit should not indenture you to the practices of payday lenders. Nor should you think that just because you have bad credit or no credit that your only option is a payday loan. Both are far from the truth! We will work with you to get you out of the re-borrowing cycle, or to keep you out of it altogether. Review our How It Works section to discover the ins-and-outs of our program, then complete the fast, 60-second questionnaire so we can begin helping you. Aside from saving you from seeking out a payday lender, taking out an unsecured personal loan has additional benefits:
- Unsecured loans give you years to repay the borrowed amount, not a week or two
- Interest rates are lower, allowing you to keep more money in your pocket
- An unsecured loan can help reduce your stress and allow you to relax
- They can help convert your bad credit into better credit with responsible repayment
- You can consolidate existing debt with a loan, which can improve your credit score
Also, while you might think that you have bad credit, you may discover through our process that your credit is not as low as you assumed. Checking your credit score is one of the steps you perform as part of the process (you do this so that your credit score is not initially affected — it is usually free as well). By doing this, you could be pleasantly surprised that you might qualify for better loan terms than you were anticipating. Let us help you with your financial needs, whether your credit score is at a 450 or if it is surprisingly better than expected.
The Cycle in Delaware
In a state with only three counties, it is hard to imagine that there are more payday lenders in Delaware than there are McDonald’s locations. If you work it out, there are 11 lenders for every 100,000 residents. Only Utah and Ohio have more lenders per capita than Delaware. That is a lot of companies preying on the needs, and sometimes desperation, of the people! There wouldn’t be so many payday lenders in the state if there wasn’t a market for them. Unfortunately, a lot of Delawareans are turning to payday loans to initially get out of a financial crunch. However, this quickly turns into repeated loans just to pay the bills.
Some of this comes from the younger generation graduating from college. These people are finding that the monthly payments on their student loans are higher than they are earning straight out of college. This burden is weighing heavily on their wallets and these young adults are finding it difficult to pay their other monthly bills: rent, groceries, gas, utilities, insurance, etc. To accommodate for the high repayment demand for the student loan, and the reduction of available funds it creates, these people are turning to payday loans to help them get by. This is actually setting them up for even further financial disaster, which is why they (or you) should consider taking out an unsecured personal loan!
Delaware Laws and Regulations for Bad Credit Personal Loans
State law, as amended in the Delaware Code, regulates personal loans by establishing a limit on the interest rate charged on personal loans (Title 6 §2301). To prevent exploitation by unscrupulous loan providers, Delaware law sets the interest rate at 5% over the Federal Reserve discount rate (the discount rate is the percentage the centralized bank charges member banks). With the discount rate currently at 3%, this puts Delaware’s interest cap at 8%. This rate is actually lower than most states in the US, making Delaware one of the cheapest states to take a loan out in.
Delaware Code Title 6 §2304(b) also allows for a refund of any interest paid by a borrower if a lender charges more than is legally allowed. This refund can as much as $500 or three times the amount of interest paid over the legally permitted rate. The greater amount of the two is the penalty the usurious lender must pay for its illegal actions, along with potentially having its business license revoked.
Loans Now: Core Policies & Procedures
- Never collect or share sensitive customer information: SSN, DOB, Address.
- Never collect up-front payment to process a customer’s loan application / or fund a loan. Loans Now will NEVER ask you to send us money in any form.
- Introduce customers to our Loan Discovery Process. A one-on-one loan service strategy that fits every customer’s unique needs with the right lender for them
Delaware Personal Loan for Bad Credit Lending Regulator
In Delaware, the Office of the State Banking Commissioner is the leading regulator for personal loan providers, whether they are banks or financial lenders. Consumers can contact this department if they have any questions or concerns involving lending as well as submitting a complaint against one. A PDF form can be retrieved from the Internet and transmitted to this office.
- Loan Discovery Process
- Credit Scores Reviewed to 450
- 2, 3, 5 & 7 Year Terms
- Loan Amounts $500 - 70K