Underbanked is a term that explains the situation of families or individuals who do not have the capability to finance through traditional financial services such as savings or checking accounts, credit cards, bank loans or lines of credit. Typically underbanked individuals either have a poor credit score, or they are newer to credit and thus lack credit history sufficient to obtain a loan financing through traditional financial institutions.
How does the underbanked population find loans?
Alternative financial services provide millions of Americans with loans each year. These consumers are unable to find funding for their emergency needs through a traditional bank and turn to alternative financial services for help. These may be through personal installment loans, signature loans, auto loans, payday loans, check cashing, and various other methods. In the past few years, personal installment loans have gained popularity as they provide loans to individuals with poor credit history. Monthly payments are much smaller and more manageable than payday loan balloon payments.
For help finding a loan, apply today at Liftcredit.com. Lift Credit is an alternative financial solution for those who are credit-challenged. Applying with Lift Credit for a personal installment loan does not affect your FICO®️ credit score.