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Breaking News

Hunstein Decision Not Final for All Other Circuit Courts Pending Possible R…

Steel Rose

The 11th Circuit Court of Appeals is withholding issuance of the mandate in Hunstein v. Preferred Collection and Management Services, of June 14, 2021. Therefore the Hunstein Decision is not final in all other circuit courts pending all 12 of the 11th circuit judges determining if they will rehear the case...


The Bottom Line

Product Spotlight

CSS Product Spotlight

Henry Gardner

CSS, Inc., a leading provider of enterprise class accounts receivable management and financial software offers a broad portfolio of platforms & solutions. CSS enables companies to transition their legacy revenue & payment management systems to a modern, cognitive, centralized, cloud-based Financial Ecosystem®. CSS may be utilized to provide business financial...


Skip Tracing Advisor

Developing a Network of Closed Sources by Ron Brown, Skip Tr…

Ron Brown

As we begin this article it is very important that the professional tracer clearly understand what constitutes a “CLOSED SOURCE”, the value of a closed source network and the obligation due to each closed source. Definition: CLOSED SOURCE… sources of information with restricted access and information available only through mutual information...


Collection Software Roundtables

Shielding Collectors From TCPA and FDCPA Violations

Joshua Fluegel

The demands of regulators lead collection professionals to collect debt with the credo of “as little contact with the consumer as possible.” Every eliminated encounter with a consumer while the payment is still being collected is one less chance for a TCPA or FDCPA violation. For this reason many accounts...


Feature Stories

Hunstein on Rehearing – Revisiting Article III Standing in t…

Eve Cann and Jonathan Green

On April 21, 2021, the Eleventh Circuit Court of Appeals issued its decision in Richard Hunstein v. Preferred Collection and Management Services, Inc., and potentially created a new claim under the Fair Debt Collection Practices Act (FDCPA) – ruling that a debt collector's sharing of information with a vendor is a violation...


Collection Agency Advisor

The Secret to Excelling in Profit AND Performance

Gordon C. Beck III

To each their own. That’s what I keep telling myself when discussing with my competitors what their strategy is to run and operate a successful collection agency. Everyone’s outlook is different, but the same. Sure, everyone wants to be a top agency, that’s what everyone is supposed to say. But...


Legal Collection Advisor

Executive Orders Impacting Collections

Michael Starzec

No, this is not a review of the 1996 thriller starring Kurt Russell, Halle Berry and Steven Seagal but it does focus on the prestige of the word “Executive.”   At hotels and sports arenas, you want the executive suite. In Illinois, at least a 1,000 corporations integrate “executive” into their...


Collection Industry Advisor

3 Options to Offer During Tax Season

Nick Jarman

When it comes to collecting debt, tax season is without argument the most profitable season of the year. Tax season starts at the beginning of February and wraps up in early May. February generally sees the highest return and slightly tapers off each month thereafter. One issue that can ease...


Compliance Advisor

PCI Compliance, SOC, and HITRUST

Debra J. Ciskey

With the June, 2019, disclosure of a data breach at AMCA looming large in the rearview mirror, debt collectors both large and small are scrambling to verify the security of their consumer portals and their consumer information in general. With numerous vendors and auditors serving the industry in this key...


Alternatives to Payday Loans

  • Written by Steel Rose

Alternatives to Payday Loans

While a better alternative is a local credit union especially a low-income credit union, the web is sprouting other alternatives to payday loans. Although the web lenders rates are higher than credit unions, they have still lower rates than payday loans.  

According to, NetCredit offers personal loans of $1,000 to $10,000 to people of all credit levels, even those with bad credit. But their relaxed approval requirements are supported by high APRs: 36% to 65%.

NetCredit’s rates are cheaper than those of so-called “payday lenders,” which can charge 400% or more interest. They’re also longer-lasting, as rather than paying out of your next paycheck, you’ll have to pay your loan off within 6 to 60 months. But despite being a lot better than payday lenders, NetCredit is worse than most other personal loan providers. In addition, NetCredit only offers loans in 14 states, so most people in the U.S. can’t even apply.

People with fair credit or better should definitely not apply for NetCredit personal loans. And people with bad credit can likely find better deals elsewhere, such as at their local credit unions. Below, you can see how NetCredit ranks in three key categories: Terms, Requirements & Application, and Reviews & Transparency.

PROS: Accepts people with bad credit, Approval/funding in 1 - 3 business days & No prepayment fees.

CONS: Very high APRs: 36% - 65%, $10 - $15 late fee, only available in 14 states & SSN required.

Another option reviewed on is OppLoans. Their Review Summary is that: OppLoans offers unsecured installment loans targeted toward people who have bad credit. OppLoans does not do a hard credit inquiry as part of their application review process, making it easy to get approved. Funding is fast, too, taking just 1 to 2 business days. Still, OppLoans is far too expensive to consider. Their minimum APR is 99%, and their maximum is 199%. OppLoans is not technically a “payday lender” because their loans can last up to 36 months, rather than having to be paid from your next paycheck, and their rates are lower than those of many payday lenders. But compared to the average personal loan provider, OppLoans has incredibly high costs.

OppLoans operates in 37 states and the District of Columbia. While OppLoans does not charge any origination fees, that does little to offset the high cost of its APR. Even if you have bad credit, you should search for less expensive options before applying with OppLoans.

PROS: No credit check, Accepts people with bad credit, No prepayment fees & High BBB rating.

CONS: Extremely high APRs: 99% - 199%, Small loan amounts: $1,000 - $4,000, Not available to people without SSN, No joint applications & Only available in 37 states & D.C.

When it comes to more attractive terms at low-income credit unions explains at that you just won’t see them advertise. “One way to find one in your area is to search the NCUA’s credit union locator for your area.

When the list of credit union options appears, select one and click “research.” Information about that credit union will appear, including “Low Income Designation.”

Alternatively, you can look for the CDFI certification (aka Community Development Credit Unions), which both banks and credit unions can apply for to indicate that their primary mission is to serve low-income individuals and communities.”

Offering alternatives to payday loans is one way to help in an already tough situation.