Article Title: How Does This Lender Stack Up?
Short Description: This tribal lender is owned and operated by the Big Valley Band of Pomo Indians, a federally-recognized American Indian tribe and sovereign government. This lender offers short term installment loans to people with bad credit. But is a short term loan from them worth it? We investigate...
Cost of Loan
They are a tribal lender that offers bad credit installment loans. For first time borrowers, you can borrow as little as $100 up to a maximum of $400. If you are a returning customer with solid history of repaying your loan on time, you can borrow as much as $5,000. However, here’s the problem. The interest rates are astronomical. In fact, for first time borrowers you’re interest rate can be as high as 779% APR. The only reason you should use this tribal lender is if you have a short term emergency expense and you’ve exhausted all other options.
User Review( votes)
- Can borrow as little as $100
- Returning customers can borrow more; up to $5,000
- An option for people with bad credit that cannot obtain financing via other less expensive sources
- Astronomical interest rates — as high as 779.97% APR
- Allows existing customers to borrow an excessive amount of money (up to $5,000)
- Not a good option for long term expenses
If you or someone you know has less than average credit, then you can understand the difficulties in attempting to obtain a loan. More traditional methods require large amounts of information and can take several days to complete the process. Thankfully, financial technology has expanded and allowed new forms of lending to become available, and one of those is tribal lending. Tribal lending tends to focus on short-term installment loans that give people with less than average credit an avenue of to obtain financing in the event of an emergency.
In this article, we’ll take a dive into the company Credit Cube. We’ll go over the high-level basics to the application process and other details you’ll want to know before proceeding.
Note: Credit Cube is a tribal lender that offers tribal loans. Most tribal lenders charge astronomical interest rates, which could be considered borderline loan shark activity.
Overview of Credit Cube
Right away, heading to their website you will land on a professional and well laid out homepage. You will see information such as fast approvals, no prepayment fees and even a premium loyalty program. At the top of the page you will find links to the rates and terms, resources and even a blog.
From there, you’ll scroll down and they present you with a welcome message and a bit of information on Credit Cube. You can see how the process works, which is submitting the application, e-signing your documents and receipt of loan proceeds. Many tribal lenders have a process that simple and Credit Cube must as well to compete.
The final section goes over the questions you need to ask yourself before applying for a loan. Right out of the gate it appears Credit Cube does an excellent job at giving actionable information to their current and potential customers.
Currently, Credit Cube does not lend to the following states:
- New York
- West Virginia
This list is fairly small to many of the tribal lenders in the marketplace.
Also, you must meet the following requirements:
- Be at least 18 years of age.
- Live in a state serviced by Credit Cube.
- Have an active and valid checking account.
- Have a job or regular proven source of income.
- Have an email address and verifiable phone number.
Loan Rates and Terms: How Much Will it Cost?
Moving to the products, you will find that Credit Cube offers potential customers three different types of loans. The loan types are short-term loan, quick loans and low-interest loans, but we’ll be focusing on the short-term loan terms. Quick loans are too much like a payday loan and can quickly inflate your financial issues while an installment loans gives you the flexibility to repay the note over several months.
With a short-term loan, you can potentially borrow between $100 and $5,000 and the interest rates will vary between 259.94% to 779.97%. These rates are competitive within the tribal lending marketplace but are certainly expensive compared to more traditional methods. Keep in mind that short-term installment loans are not for long-term financial solutions and shouldn’t be used as such.
To quickly touch on the other products, the payday loans are repaid on your next payday and typically have very high fees and interest rates, which can make your financial issue worse. This is why it’s best to stick with short-term installment loans if you are in a need to borrow.
The Application Process
To begin the application process, you need to begin with your name, email address and account password. From there, you will be required to input the typically information about yourself, such as address, social security number and driver’s license. Next, you will move to your work information that helps Credit Cube ensure the have a higher probability of being repaid. Once you’ve done that you can review your information and submit the form for a decision.
Once you’ve submitted your application your results should be available within seconds, but Credit Cube may need to contact you to verify your identity, income and banking information. After you’ve completed that process you will be ready to receive your loan proceeds. If you’ve completed the loan process and been approved prior to 3pm EST, you can expect your funds to be deposited on the next business day.
Before signing your loan agreement, you need to diligently read the terms and rates because this is what you’ll be legally held too. Should something not seem correct, be sure to reach out to the company to have it clarified before signing.
What Happens After I Submit My Application?
Now that you have your loan proceeds you can begin spending how you wish. Also, you will begin the repayment process. There are two methods you can go with and they include paying as the repayment schedule states or prepaying your note as quickly as possible. Credit Cube does indicate repaying your note early is the better option as it saves you money on interest expense.
You can either repay your loan through the bank information you provided, or you can submit a certified check.
The Bottom Line
Unlike others in this space, Credit Cube goes above and beyond by offering several free resources such as a blog and links to resources you might find helpful. The company makes it a point to ensure you are borrowing responsibly because not only does it help you, but it ensures Credit Cube is lending to the appropriate individuals.
Overall, Credit Cube exceeds to standards by not only informing potential customers as best as possible, but also offering resources that can be used going forward. Certainly give Credit Cube a look if you are in need of a short-term loan, you may find it to be worth your while.