Here at Possible, we’re focused on improving our customers’ lives through financial empowerment. Roughly 12 million Americans need a short term loan at some point in the year to pay for their healthcare, to cover rent, or even to throw their kid a birthday party — we all deserve a celebration no matter our situation. Unfortunately, many believe the only option to turn for cash are payday loan centers. These lenders can charge up to 500% APR, which we would consider highway robbery. Some even require good credit. Due to the speed in which borrowers need to repay payday loans, they often find themselves in a debt cycle, borrowing from Peter to pay Paul.
Possible’s short term loans only charge 150%-200% APR, and we allow our customers to repay over multiple payments. Our payment schedules are flexible, and people are allowed to reschedule as they need without any financial penalty from us. We understand that those in need of short term loans likely don’t have good credit, so we don’t require good credit for a loan approval; we don’t judge! Even better, we help our users build their credit by reporting on time payments to the credit bureaus.
Our commitment to doing the right thing is echoed through our customers’ stories. We wanted to highlight a particular customer today that wanted to share his story with others and what our product has made Possible for him. You can read about what other customers say in their app store reviews as well.
He recently moved out on his own and has made budgeting his number one priority to stay financially independent. This means that from time to time he needed to borrow cash to help him between his paychecks. Specifically, Possible was able to help him cover an emergency car repair expense.
Interestingly, Pew research finds that 16% of payday loan borrowers use the cash for the same purpose covering unexpected expenses while 69% use the loan for recurring expenses.
“Right now I’m trying to find myself as a young individual. I’m trying to figure out what works for me, what doesn’t work. I’m definitely still in a learning process with learning to manage my finances.”
Justin wants to ensure that other young people striking out on their own know about the products available to them to maintain their financial independence. Due to the credit building nature of Possible loans, Justin also uses Credit Karma to check his credit score regularly. The average score in 2017 was 652 for 18-29 year olds. Staying on top of his credit score by proactively paying his bills, helps him build good financial habits and stay ahead of the curve. In 2015, the CFPB found that 50 million adults had no credit score at all.
“I really think Possible helps out the millennials of my generation. People my age are not as concerned about credit because they don’t have credit. They don’t know what to do to increase their scores.”
Since payday loan centers carry a negative connotation especially for millenials, Justin searched for mobile apps that could help him. A few payday advance services surfaced, but not all of them were able to provide him the amount he needed. Possible, however, was able to provide a short term loan that was large enough to cover his car repair expense to keep him on schedule for his bills.
Possible is proud to be a part of Justin’s journey towards personal independence and would love to be a part of yours! Money is difficult, or even taboo to talk about, but the more open we are with our finances, the more we can empower each other. We’re always looking for customer stories to share. If our loans have made something Possible for you, we’d love to hear about it! Please contact us at [email protected] if you have your own story to share!