In the United States, millions of households lack access to traditional banking services, relying on predatory payday lenders and check cashing services. The Small Dollar Loan Program (SDL Program) aims to change this by providing affordable alternatives to high-cost lending.
Key Features of the SDL Program:
– Loans up to $2,500 with manageable installment repayment
– No prepayment penalties
– Credit reporting to help build or improve credit history
Mountain Star FCU’s SDL Program:
– 18% interest rate
– Up to $2,500 unsecured loan
– Membership requirement
– Proof of income and six months of continuous employment required
– No application fee or prepayment penalties
– Credit score flexibility
– Loan term up to 48 months
– Mandatory financial education class before loan disbursement
By offering responsible lending practices and financial education, Mountain Star FCU empowers members to break the cycle of high-cost lending and build a stronger financial future.
