Sophie Erskine – The Avant Blog

5 Ways to Prepare for a Recession

Sophie Erskine — Tue, 14 Mar 2023 16:19:29 +0000

According to the Economist, a recession is a period of significant decline in economic activity. Outputs and investment suffer, as do business profits and there is typically rising unemployment. To help ensure you and your family are least affected, here are five ways you can prepare for a recession and minimize its impact on your lives.

What is a Recession?

As mentioned, a recession is a significant decline in economic activity that lasts for months or even years. A recession is typically declared when a nation’s economy experiences negative gross domestic product (GDP), rising levels of unemployment, falling retail sales, and contracting measures of income and manufacturing for an extended period of time.

Recessions are considered an unavoidable part of the business cycle. They’re part of the regular cadence and contraction that occur in a nation’s economy. The most common examples of a recession are the global recession of the 2008 financial crisis and the Great Depression of the 1930s. The COVID-19 pandemic caused an economic downturn, which sparked fears of a recession.

What Causes a Recession?

A loss of business and consumer confidence causes recessions. Demand decreases in line with consumer confidence. Recessions occur because the US economy is cyclical. Generally speaking, economic growth continues until it reaches a peak of performance. That’s when the expansion becomes contraction resulting in a recession. Then activity gradually begins to expand again.

What Happens in a Recession?

A recession can impact you and your family’s daily life in a number of ways. Some common ways people are impacted include:

Cost of living increases

During a recession, household essentials such as groceries, gasoline and clothes are more expensive. Higher prices make it harder to make ends meet. This calls for strict budgets and cuts in discretionary spending.

Job losses

During a recession, companies often reduce their staffing levels to save money. You may risk losing your job or experience a reduction in hours. Competition for the few open roles gets tougher and it can take longer to find a job.

Health consequences

Job losses not only impact an individual’s employment and earnings, but also their health insurance coverage, retirement savings contributions, financial security, and health-related behaviors and outcomes. Those who lose their job are more likely to receive government “safety net” assistance, like disability insurance and supplemental security income benefits, even after the recession has ended.

Student loans

Younger adults may find it difficult finding or keeping a job during a recession. Higher levels of student loan debt can compound these recession-related challenges.

Opportunities

If you own or work in a business that provides goods and services that people need regardless of the economy, then count yourself lucky. Your business is considered recession proof and you won’t suffer as much during the downturn.

How to Prepare for a Recession

While there’s no way of preventing recessions from happening, there are practical steps you can take to weather the storm and prepare for the future. Here are five ways you can plan during uncertain times.

Reassess your budget

Become clear about where you stand financially. Make sure you have enough money to pay your bills and cover your essential spending. If your finances are looking tight, search for areas to cut back spending, bills that can be eliminated or loans refinanced.

Increase your savings

Put as much money as you can into your savings. As a rule of thumb, you should have three months’ worth of bills or $3,000 saved for an emergency, whichever is greater. A recession is a good time to get more aggressive and save for six months’ worth of bills or $6,000, whichever is greater. Keep your savings accessible and not invested to avoid the potential of loss from market fluctuations.

Pay off current debt

If you lose income during a recession you may not be able to pay every bill on time or in full every month. And that will have a direct impact on your credit scores. Therefore, you should prioritize how you pay your bills, so your available cash covers as many debts as you’re able. For example, pay your rent or mortgage on time to avoid eviction or foreclosure. Make your car payment on time too – especially if you need your car to get to work. Then focus on paying off your other debts like credit cards and student loans.

Continue with your contributions

Remember that investing is a long game where you benefit most by sticking it out over the bumps. It is important to continue contributing to your retirement fund and other important investments during a recession. Don’t give up just because the current environment looks bleak.

Consider alternate ways to make money

If you’re struggling to make ends meet or are worried about being laid off during a recession, it may be beneficial to pick up a side gig such as freelancing or working for a rideshare application. Having an extra stream of income can not only help in the event of a layoff but can make it easier to build your emergency savings while you’re still employed.

What Not to Do During a Recession

During a recession, it is important that you prepare for emergencies and do not put your finances at risk. Here are some things you do not want to do during an economic downturn.

Panic

Whatever you do, don’t panic. If your anxiety is triggered by sudden changes, see if there’s an upswing shortly after, or talk with a financial advisor.

Increase your debt

While it may be tempting to take on more debt during a recession when the interest rate on loans is typically lower, it is better to focus on paying off any debt you already have.

Become a cosigner

As a cosigner you risk taking on more debt. If the primary debt holder isn’t able to make a payment, you will be held responsible. Stay away from cosigning.

Take your job for granted

Always showcase your skills, regardless of whether you want to stay at your job a while or not. Highlight these skills during a recession and put off quitting until you have another opportunity lined up.

Not build an emergency fund

Build up your emergency fund so you can cover at least three to six months of your expenses.

Explore More Recession Resources

When times are tough, practicing these healthy financial strategies can help you stay afloat. They can show you how to stop living paycheck to paycheck, and give you a good idea of what to do if your expenses exceed your income. Start implementing healthy budgeting habits to prepare for any financial opportunities or emergencies.

Need financial advice or counseling? Looking to spend less on food? Out of work or underemployed? Find ways to save with SpringFour.

Recession FAQs

Can a recession be a good thing?

Even if it stings in the process, a recession can have a good impact on you and the economy as a whole. Some businesses, like maintenance services and grocery stores thrive during recessions. Inefficient companies must jettison excess inventory and cut their overheads during downturns, which improves efficiency overall. Recessions also balance everyday costs by resetting prices to manageable levels.

What is an example of a recession?

The most common examples of a recession are the global recession of the 2008 financial crisis and the Great Depression of the 1930s. The Gulf War Recession (July 1990 to March 1991) was partly caused by spiking oil prices during the First Gulf War.

What does a recession do to the average person?

During a recession, people may need to adjust their budgets to survive on less take-home pay. They may also have trouble finding new employment or second jobs because companies are hiring less people. Those fortunate enough to find new work often end up in jobs for which they are overqualified and underpaid. However, there are resources available to help you navigate through the impacts of a recession.

What happens to your money in the bank during a recession?

One of the safest places to keep your money during a recession is in an FDIC-insured bank account. You are likely already protected if you have checking and savings accounts with a traditional or online bank. If you’re unsure whether your accounts are FDIC-insured, you can check with your institution or look it up on the FDIC’s BankFind database.

Who benefits in a recession?

Industries that are considered relatively inelastic such as healthcare, food, consumer staples and basic transportation can all perform well in a recession. Rental agents, landlords, and property management companies can thrive during a recession due to the fact that renting is likely to become a more appealing option, if not the only one available.

Do prices rise or fall in a recession?

As the recession weakens the demand for things like cars, you may see a fall in prices accordingly. Stock prices typically plummet during a recession. The flight to safety can cause some investors to pull their money out of the stock market entirely.

The information provided on this website does not, and is not intended to, constitute legal, financial, or tax advice; instead, all information, content, and materials available on this site are for general informational purposes only. Information on this website may not constitute the most up-to-date legal, financial, tax or other information. This website contains links to other third-party websites. Such links are only for the convenience of the reader, user or browser; Avant does not recommend or endorse the contents of the third-party sites.

222 W Merchandise Mart Plaza, Suite 900, Chicago, IL 60654

Avant branded credit products are issued by WebBank.

Connecticut consumers: all marketing efforts are associated with Avant, LLC, Small Loan Company License #SLC-1246731

Avant of Washington, LLC DBA Avant is a wholly-owned and operated subsidiary of Avant, LLC Nationwide Multistate Licensing System #1440089.

Avant, LLC Nationwide Multistate Licensing System #1243761.

THIS IS A LOAN SOLICITATION ONLY. AVANT, LLC IS NOT THE LENDER. INFORMATION RECEIVED WILL BE SHARED WITH ONE OR MORE THIRD PARTIES IN CONNECTION WITH YOUR LOAN INQUIRY. THE LENDER MAY NOT BE SUBJECT TO ALL VERMONT LENDING LAWS. THE LENDER MAY BE SUBJECT TO FEDERAL LENDING LAWS.

The post 5 Ways to Prepare for a Recession appeared first on The Avant Blog.

How Much Money Should Be In My Emergency Fund?

Sophie Erskine — Thu, 09 Mar 2023 21:05:44 +0000

What is an Emergency Fund?

An emergency fund is an easily accessible pool of money set aside in case of an urgent or unforeseen financial situation. Financial ups and downs occur naturally, so it pays to be prepared for the unexpected with an emergency fund. Your emergency fund should not be considered a nest egg or calculated as part of a long-term savings plan for college tuition, a new car, or a vacation. Instead, treat this fund as a safety net, only to be tapped when an emergency occurs.

How Much Should You Have in an Emergency Fund?

A number of different factors will determine the size of your emergency fund. These include your lifestyle, monthly costs, income and dependents. However, the general rule of thumb is that you should have enough saved to cover at least three to six months’ worth of expenses. If that seems like a daunting goal to you, then perhaps try putting away a small amount each week or two until you achieve it. Your family needs, bill obligations, job stability and other factors will also come into play when determining how much money you should save.

Where to Keep Your Emergency Savings

Just as emergencies can happen without warning, you need to be able to access your emergency savings quickly and without cost. For that reason, emergency savings may be best placed in an interest-bearing bank account like money market or interest-bearing savings accounts, which can be accessed easily without taxes or penalties. You could risk losing too much money if you need to withdraw money quickly from mutual funds, stocks or other assets, which may lose value as a result. You could also incur early-withdrawal penalties if you ever needed quick access to emergency savings kept in an account such as a certificate of deposit (CD) or Individual Retirement Account (IRA).

When Should I Use an Emergency Fund?

Your emergency fund should be reserved exclusively for financial emergencies. Any event that causes an unforeseen expense, like a car repair or a medical bill, qualifies as a financial emergency. Be sure to use your emergency fund only when you need it. Then always make sure to continue replenishing your emergency savings once things improve.

Avant branded products are issued by WebBank.

The post How Much Money Should Be In My Emergency Fund? appeared first on The Avant Blog.

Personal Loan Calculator

Sophie Erskine — Mon, 09 Jan 2023 19:00:23 +0000

When it comes to loan repayment, nobody likes surprises. The personal loan payment calculator from Avant allows you to estimate monthly payments for the loan you need. Simply input the amount you want to borrow, how many months until repayment, and your estimated credit score to get a fast repayment estimate. Adjust the loan amount and terms to get an idea of what financing options may work best for you.

Frequently asked questions about personal loan payments

What is the difference between APR and interest rate?

You’ll see both an Annual Percentage Rate (“APR”) and an annual interest rate in your loan agreement when applying through Avant. Both are the cost of borrowing the money. While they are related terms, there’s a difference between an APR and an interest rate.

The interest rate is the percentage of the principal loan amount you are charged for borrowing the money, while the APR is the interest rate plus any additional administration or origination fees that cover the expenses the lender has for processing the loan. The APR is calculated as the percentage of the amount disbursed after any fee. Because the additional fees are factored into the APR, the APR is always a higher number than the interest rate.

How are personal loan payments calculated?

While Avant’s personal loan monthly payment calculator does the work for you, it can be helpful to understand how your payments are calculated.

For personal loans with fixed rates, like those through Avant, your monthly payment is calculated using three things.

Total amount you borrow: This is easy. It’s simply the amount of your loan.
Your APR. This is also simple as Avant loan agreements clearly indicate your APR.
Number of total loan payments: To determine this, multiply your 12 monthly payments by the number of years you will make those payments. So, if you have a two-year loan, you would make 24 total payments.

It is important to keep in mind that Avant calculates APR on a daily accrual rather than a monthly accrual. The daily interest amount is calculated using the outstanding principal balance as of the beginning of a month and then the monthly interest payment is derived by adding the daily interest amount. Monthly interest payment can vary depending on the number of days in a month. For example, February (28 days) has fewer days when compared to January (31 days) and therefore would have a lower monthly interest payment. However, your total monthly loan payment remains the same amount every month. A portion of monthly payment will be applied towards the interest balance which equals the total daily accrued interest in that month and the rest is applied towards the principal balance. The distribution of that payment to interest and principal varies from month over month. In the initial months, the proportion of interest is higher in the monthly payment while in the later months the proportion of principal is higher.

Take, for example, a $20,000 personal loan at 15% APR that accrues daily for one year. The daily interest rate can be calculated by dividing the 15 (APR) by 365 (days in a year). This calculates a daily interest rate of 0.04%.

Looking at the bigger picture, we can calculate how monthly personal loan payments are calculated.

$20,000 (loan) x 0.04% (daily interest rate) = $8.22 (daily accrued interest)
$8.22 * 31 = $254.79 (First Month Interest)
Second month’s interest will be $212.30 (a lower amount than first month because the principal balance has reduced in the second month)
Total Interest Payment on a one year loan = $1654.42
After year 1, the outstanding loan balance becomes 0.
$20,000 (loan) + $1654.42 (total yearly interest) = $21,654.42 (total amount due)
$21,654 (total amount due) ÷ 12 (months) = $1,804 (total monthly payment)

Unless math is your strong suit, this formula can be complex. If you’re ever unsure of your math, double-check it using the steps above.

Is there a difference between a personal loan and installment loan?

An installment loan is a type of personal loan that’s repaid with regularly scheduled payments (often fixed). All personal installment loans through Avant offer the convenience of fixed interest rates, so your monthly payments will never change.

Some lenders offer personal loans with variable interest rates. That means that the interest rate fluctuates over time depending on the current market interest rate. They’re harder to budget for, as you won’t know what your payment will be until you receive that month’s statement.

How does credit score affect my personal loan rates?

The credit score you have when you apply for a personal loan through Avant will influence the interest rate and monthly payments set for your loan. If you have a high score, you could receive a lower interest rate on your personal loan and therefore a lower monthly payment.

How do you calculate monthly interest on a personal loan?

You’ll make monthly payments on your loan, so you may be interested in understanding how much interest you will pay during any given month.

Take the annual percentage rate (APR) on your loan and divide that number by 365 to see the percentage of interest charged on a daily basis. Then, multiply that sum by the principal balance of your loan. The result will indicate how much interest you will pay on a daily basis for that loan balance. From there, multiply that amount by the number of days in that month, and you will see the amount of interest you will pay for that month’s loan payment.

For example, if your principal balance on your loan is $20,000 and your APR is 15%, you will pay $8.22 in interest per day. If that loan payment is due in January, which has 31 days, January’s loan payment will include $254.79 in interest with the rest going toward principal. If the monthly payment on this loan is $1805.17, then $254.79 will be applied towards Interest and rest $1550.38 will be applied towards principal. The Principal balance outstanding at the beginning of next month will then become $18,449.62 ($20,000 – $1550.38). For the month of February, the daily interest will be calculated by multiplying daily APR by outstanding amount at the beginning of February (.04%*$18,449.62) . The daily interest amount will then be multiplied by 28 days in February to get February Interest amount of $212.30

The calculation will look like this:

Divide your APR by 365: 0.15 ÷ 365 = 0.04%

Multiply that sum by the loan balance: 0.04% x $5000 = $8

Multiple that sum by the number of days for January: $8 x 31 = $248

Multiple that sum by the number of days for February: $7.58 x 28 = $212

While your payment on a fixed-rate personal loan will remain the same each month, as you pay down your loan, you will pay less interest. Your total monthly loan amount remains the same, but the distribution of that payment to interest and principal changes.

Additionally, Avant includes an origination fee for personal loans that is calculated into the APR. While the interest rate is the percentage of interest paid on a loan, the APR includes the interest rate, as well as other fees and expenses (such as the origination fee.)

Learn more about personal loans through Avant

Personal loans through Avant cater to many needs, including emergencies, debt consolidation, and home improvement. Use the Avant personal loan payment calculator to get an idea of loan amounts and repayment terms that fit your needs, then apply online with our easy process. With fixed payments, fast decisions and funding, and simple autopay options, you’ll have the peace of mind to enjoy what matters most. It’s the Avant way.

222 W Merchandise Mart Plaza, Suite 900, Chicago, IL 60654

Avant branded credit products are issued by WebBank.

Avant, LLC is a financial technology company, not a bank. Banking services are provided by Evolve Bank & Trust, Member FDIC.

*Avant loan amounts range from $2,000 to $35,000. APR ranges from 9.95% to 35.99%. Loan lengths range from 12 to 60 months. Administration fee up to 4.75%.

* If approved the actual loan amount, term, and APR amount of loan that a customer qualifies for may vary based on credit determination and state law. Minimum loan amounts vary by state.

** Example: A $5,700 loan with an administration fee of 4.75% and an amount financed of $5,429.25, repayable in 36 monthly installments, would have an APR of 29.95% and monthly payments of $230.33.

†The decision process may take longer if additional documents are requested. Approval and loan terms will vary based on credit determination and state law.

‡ Funds from Avant are generally deposited via ACH for delivery next business day after approval if approved by 4:30pm CT Monday-Friday.

Avant of Washington, LLC DBA Avant is a wholly-owned and operated subsidiary of Avant, LLC Nationwide Multistate Licensing System #1440089.

Avant, LLC Nationwide Multistate Licensing System #1243761.

Connecticut consumers: all marketing efforts are associated with Avant of Connecticut, LLC d/b/a “Avant”, Small Loan Company License #SLC-1457409

The post Personal Loan Calculator appeared first on The Avant Blog.

10 YEARS OF AVANT: Building a Better Financial Journey for Our Customers

Sophie Erskine — Thu, 15 Dec 2022 18:24:51 +0000

A message from Matt Bochenek, CEO of Avant:

For too many Americans, financial security is feeling more and more out of reach. Nearly one-third lack the savings to pay for a $400 emergency expense, such as a car repair or medical bill.^ Rising prices are making it harder to cover the basics. And without some breathing room in the budget, it can seem impossible to make progress on life goals and get ahead.

Since its founding in 2012, Avant has been dedicated to providing access to credit to those who are generally underserved by the traditional banking system. Based in Chicago, we’re a credit-first financial technology company^* that provides access to innovative financial solutions, including personal loans and credit cards. While the company has grown and evolved over the years, it’s always remained true to its founding mission of lowering the costs and barriers of borrowing for everyday people.

Now ten years in, Avant is marking a new milestone with a dramatic brand transformation. The new visual identity and brand strategy reflect the company’s history, evolution and renewed commitment to empowering more people to move forward on their financial journeys.

The time is right

When I became Avant CEO in May 2021, one of my top priorities was to help shape the strategic vision behind our mission and go-forward identity. As one of Avant’s earliest employees, I’m proud to have witnessed the evolution of our business from a single provider of personal loans to where we are today, marking our 10 year anniversary with an exciting rebrand as we celebrate a decade of enabling access to credit for over 2 million hard working Americans.

Looking forward, I’m excited about the next chapter of Avant’s history and have tremendous confidence in our ability — and more importantly, our deep passion — to continue growing, learning and innovating as a team.

The launch of the new brand also aligns with the growing demand for help navigating today’s unique set of economic challenges. The new brand is based on a relentless focus on meeting the needs of our customers. From digital tools to access to credit to supportive customer service, we’re here to help move financial lives forward. It’s fairly simple: When our customers win, we win. And that motivating factor will push us forward as a company and in our pursuit to continue to deliver innovative financial solutions to you.

A strong brand with a clear message

From the start, the Avant brand has been grounded in deep respect for the grit our customers show in navigating their financial circumstances. By offering access to the products and services you need to pursue your unique financial goals, we succeed by helping you succeed.

Through every step of the rebranding process, our team has worked to clarify and strengthen the core essence of our brand, identifying the key elements that differentiate Avant, and exploring ways to communicate that brand identity through compelling visuals and messaging.

Our focus on our customers

A key element in our brand evolution is its focus on customer-centricity. Coming out of the Great Recession of 2008, the FinTech industry emerged as a disruptive force, creating challenger brands to the traditional system that offered new products and services to consumers hungry for a better, more intuitive financial experience. Like many early FinTechs, Avant helped to level the financial playing field by focusing on accessibility, a seamless digital experience and products that were both fee-friendly and transparent.

Fast forward ten years to today and in many ways a digital experience has gone from disruptive to table stakes. That’s why we used our rebrand process to go further, taking a deep dive into the psychological and emotional issues that drive the complicated relationships people have with money.

It’s this connection to the real human side of money that sets the new Avant brand apart. Transparency, simplicity and control are great, but they don’t mean anything if you don’t also address the everyday hopes, fears and dreams that drive the real-world decisions we make about money.

For me, it all boils down to a simple truth: People come first. At Avant, we see people holistically, not just as credit scores. And we never patronize our customers or trivialize your journey. We take your needs to heart and work together to provide the products, services and personal support you need to move your financial life forward.

The spirit of the new brand is captured in its new tagline: Financially Forward.^TM It’s both a commitment and a rallying cry, inspiring our team and our customers to keep working hard toward each new goal. It’s also our promise to you that we’ll be with you at every step — empowering you with the products, tools, services and support you need to keep moving forward on your financial journey.

What’s next

At Avant, we’re proud of where we’ve been and incredibly excited about where we’re going. We’ve set our standards high but we know we can get there by working together as a team and for our customers — staying true to our mission and brand identity. Stay tuned for more exciting announcements in the new year as we look toward the next ten years of our journey and focus on moving both our customers and Avant Financially Forward^TM.

^Federal Reserve Economic Well-Being of U.S. Households Report (May 2022).
*Avant, LLC is a financial technology company, not a bank. Avant-branded credit products are issued by WebBank.

The post 10 YEARS OF AVANT: Building a Better Financial Journey for Our Customers appeared first on The Avant Blog.

Types of Personal Loans

Sophie Erskine — Wed, 07 Dec 2022 17:44:10 +0000

Life sometimes throws us a curveball and we find that we may need a little extra money. Luckily, there are a number of different types of personal loans available to help you through difficult times. Banks and other lenders offer personal loans anywhere from a few hundred to thousands of dollars* that you will repay over time, usually between one and five years*.

Determining which type of personal loan is best for your situation can be a big decision. To help, we’ve compiled a “cheat-sheet” explaining the types of personal loans available so you can make the best choice for your financial journey.

What is a Personal Loan?

You may be asking, what is considered to be a personal loan? A personal loan is a loan that allows you to borrow money to cover a variety of uses. Some examples may include a car repair, emergency medical expense, or a home improvement project. These loans have a short to moderate-term repayment period and you can typically get the funds quickly.‡ There are two main types of personal loans, secured and unsecured loans.

What is a Secured Loan?

Secured loans require some sort of backing by collateral, which can be seized, or taken, by the lender if you do not repay the loan. Some examples of collateral can include a house, car, or boat. Some lenders allow borrowers to secure these loans with a personal savings account or other valuable asset. Typically, secured loan rates are lower than unsecured because they are considered less risky for lenders.

What is an Unsecured Personal Loan?

Unsecured personal loans, on the other hand, do not need to be backed by collateral. These loans typically have a higher annual percentage rate, or APR, since they are riskier for lenders to offer.

When it comes to unsecured personal loans, factors like the borrower’s credit score help to determine the amount they can borrow and the repayment rate. The better your credit score, the lower your rate will typically be. It is still possible to get an unsecured loan with a less than ideal credit score.

There are a number of unsecured personal loan options offered through Avant.

What is a Fixed-Rate Loan?

Fixed rate loans are a type of loan where the interest rate does not change during the period of the loan. This helps the borrower to budget better and can be ideal for those looking for a consistent payment each month. Many personal loans offer fixed rates but be sure to verify the terms of the loan with your lender.

There are a few different unsecured personal loan options, including Home Improvement Loans, offered through Avant.

What is a Variable Loan?

Variable-rate loans, on the other hand, don’t have a fixed interest rate. The rate on the loan fluctuates during the life of the loan. This is because it is tied to a benchmark rate that is set by your lender. When this benchmark rate changes, the rate on your loan, as well as your monthly payments and total interest, can increase or decrease. While the constant change in rates may seem like a drawback, the benefit to variable-rate loans is that they typically carry lower APRs versus fixed-rate loans. Lenders may also cap how much your rate can change over a period of time and life of the loan.

If you are looking for a loan with a short repayment term, a variable-rate loan may make sense since rates may not surge in the short-term.

What is a Debt Consolidation Loan?

If you carry multiple debts, one option is to use a loan to consolidate everything into one simple monthly payment. A debt consolidation loan can be easier to manage and pay off over time. These types of loans are typically unsecured personal loans. An advantage of a debt consolidation loan is you can use it to pay off credit cards, which can increase your credit utilization score.

However, one thing to consider with debt consolidation loans is that you will free-up your credit line on your credit card. Be sure to keep your credit card spending in check to avoid adding more debt to your plate!

What is an Installment Loan?

Installment loans are a type of loan where you borrow a set amount of money and then repay the loan over a fixed number of payments, or installments. When a borrower pays these installments, they repay a portion of the principal amount borrowed and a portion of the interest on the loan. Typically, the installment amount remains the same throughout the loan term. The advantage of installment loans includes more flexible terms and a lower interest rate, but check with your lender for the full terms. Examples of installment loans include auto loans, personal loans, and student loans.

Checking your personal loan options does not impact your credit score.

Check Your Loan Options or Redeem Your Mail Offer.

222 N. LaSalle St., Suite 1600, Chicago, IL 60601

Avant branded credit products are issued by WebBank.

Avant, LLC is a financial technology company, not a bank. Banking services are provided by Evolve Bank & Trust, Member FDIC.

*Avant loan amounts range from $2,000 to $35,000. APR ranges from 9.95% to 35.99%. Loan lengths range from 12 to 60 months. Administration fee up to 4.75%.

* If approved the actual loan amount, term, and APR amount of loan that a customer qualifies for may vary based on credit determination and state law. Minimum loan amounts vary by state.

** Example: A $5,700 loan with an administration fee of 4.75% and an amount financed of $5,429.25, repayable in 36 monthly installments, would have an APR of 29.95% and monthly payments of $230.33.

†The decision process may take longer if additional documents are requested. Approval and loan terms will vary based on credit determination and state law.

‡ Funds from Avant are generally deposited via ACH for delivery next business day after approval if approved by 4:30pm CT Monday-Friday.

Avant of Washington, LLC DBA Avant is a wholly-owned and operated subsidiary of Avant, LLC Nationwide Multistate Licensing System #1440089.

Avant, LLC Nationwide Multistate Licensing System #1243761.

Connecticut consumers: all marketing efforts are associated with Avant of Connecticut, LLC d/b/a “Avant”, Small Loan Company License #SLC-1457409

The post Types of Personal Loans appeared first on The Avant Blog.

How Do You Build Credit?

Sophie Erskine — Mon, 31 Oct 2022 21:13:55 +0000

How to Build Credit

Your credit can impact virtually all of the financial aspects of your life. Anything that requires a credit check – like buying a car, getting a mortgage, or even renting an apartment – is made more difficult by having poor credit or no credit history, even if you know you’ll be able to afford the payments.

So how do you establish credit, and once established, how do you build it?

Best Ways to Build Credit

Fortunately, there are a range of options to help you establish credit and build your credit score. You can:

get a secured credit card
be added as an authorized user to a loved one’s credit card, or even
take out a credit-builder loan (or one that’s secured or co-signed).

To offer more in-depth guidance on how to establish and build credit, we’ve put together some of our best credit-building tips below.

How to Establish Credit

Before you try to establish credit, it can be helpful to understand what exactly credit is. In short, it’s a way for lenders to get a sense of your reliability and financial standing before offering you a loan, so they can gauge the risk you present as a borrower. Credit is influenced by factors like previous debt collections and your payment history. If you have no established credit, lenders won’t know how reliable of a borrower you are, so they may be more hesitant to lend to you.

If you have no credit history, here’s how you can start building credit the smart way:

Make sure you’re prepared: Before you start applying for loans and credit cards, pause to consider how your application appears to lenders. You’re more likely to get approval for starter credit cards or loans if you have a stable work history, steady income, and stable residential address history. Holding a job and maintaining a residence adds validity to your application and makes you seem more trustworthy as a borrower. If you haven’t had the same job or address for at least three months, consider waiting it out before applying for lines of credit.
Apply for a secured credit card: A secured credit card uses cash as collateral against the card. You make a deposit with the card issuer, which they hold onto while the account is active. The deposit may be equal to or slightly less than your credit limit. This presents a lower risk for lenders while allowing you to establish credit. Other than the deposit, a secured credit card works the same as a standard one. You can use it to pay for purchases online and in person. You’ll need to make payments on your balance each month. If you pay your full balance each month, interest won’t be added. Once you’ve had the card long enough, the issuer may even upgrade you to a standard card.
Apply for a store or gas card: Credit cards that are specific to one store or business may be easier to get approved for without having a previous credit history. Department stores, grocery stores, gas stations, and auto parts stores often offer cards like these. If you do get one of these cards, be conscientious about your spending. You should only spend what you can afford to pay off the next month. Making a late payment or maxing out your card will hurt the credit you’re trying to establish.
Open a joint credit card: Consider opening a joint credit card with someone you trust. If they have good credit, the card issuer is more likely to approve you both for the account. They will run a credit check for both of you since you’re opening a new account under both names. Keep in mind that any account actions will affect both people’s credit. If the account is well-managed, you’ll establish credit and start building it. If a payment is late or the account limit is reached, it will have a negative impact on both people’s credit.

How to Build Credit Without a Credit Card

Some people are wary of opening credit cards, for a variety of reasons. There are ways to build credit without a credit card, including:

Become an authorized user: If a trusted friend or family member already has a credit card and good credit, consider asking if you can become an authorized user on their account. You’ll receive your own card to make purchases using their credit, while they’re still responsible for making the monthly payments. Most card issuers allow at least one designated authorized user per account. Though credit checks aren’t done for authorized users (making this very convenient), the account’s financial history and details are reported to the credit bureaus – the three entities that determine your credit standing – under both users’ names. Check with your card issuer whether they report authorized user accounts to the credit bureaus (not all issuers do so), as this can help build your credit, sometimes giving it a jumpstart if the other user’s credit is good enough. If the account experiences a late payment or high balance, both parties’ credit will be affected.
Apply for a credit-builder loan: A credit builder loan is a small loan (less than $1,000) designed for those with no credit. The lender puts the money into a secure savings account – sometimes one that earns interest – under your name, and you make small payments over a set time period to repay it. Once you complete the payment plan, you are given the money from the loan. The lender will report your monthly payments to at least one credit bureau (Equifax, TransUnion, or Experian), building your credit. Another loan option is to have someone you trust co-sign a loan with you, which means they’d be responsible for making any loan payments that you don’t.
Use a credit building service: There are a variety of credit building services which can fix inaccuracies and help repair your credit score, but these can sometimes come with large price tags. Another option is to use a service that will report on-time payments of common bills (like utilities bills, subscription services, and cell phone bills) to credit bureaus.

How to Build Your Credit Once You Have a Credit Card

If you do get a credit card, how you use it can make or break your credit, too. To build your credit with a credit card:

Make payments on time: Your payment history will be reported to entities that determine your credit standing, and late payments will harm it. If you make a payment that’s more than 30 days late, your creditor will report it, and this can negatively impact your credit score. If a payment is 60 days or more overdue, your interest rates may increase, and future lenders will see it as a red flag. Late payments can stay on your credit history for up to seven years. To help avoid late payments, only charge what you know you can pay off in a month or less.
Use it sparingly: Your credit usage (how much of your credit limit is being used) is also reported to the credit bureaus. This accounts for a chunk of your overall credit standing and is determined by comparing your current credit account balances to the total credit limit offered to you. For instance, if your total credit limit is $500 and you have a balance of $250, you’re utilizing 50% of your credit. It’s recommended to keep your credit utilization below 35%. Going above that can negatively impact your rating.
Keep the account open: Even if you decide you no longer want to use the card, keep your credit card account open. Part of your credit standing is judged based on your average account age, with older being better because it offers more credit history. Closing your account can lower your standing, even temporarily, because the average account age will decrease. To keep the account open, make one small purchase per month, paying it off as soon as you receive the statement. Plus, you never know when you might need the credit card if you get into a tight spot, so it’s wise to keep one around.

Check If You Qualify for the Avant Credit Card

See if you qualify for the Avant Credit Card. Seeing if you qualify won’t affect your credit score.

What Credit Score Do You Start At?

Your credit score is generated by the three credit bureaus and used by lenders to determine your trustworthiness as a borrower. It’s a variable number that can differ between credit bureaus, as they use different models to calculate scores, generating different numbers. The FICO® credit score model is the one most commonly used by lenders.

The lowest your FICO credit score can be is 300, but the first score generated once you open a credit account and use it for six months may be higher than that, depending on how you’ve managed your credit over that time.

If you have a score of 300 and it doesn’t improve, you may be unlikely to:

Qualify for new large lines of credit, like a car loan or mortgage.
Make large purchases that require credit checks or store lines of credit, like a new smartphone.
Easily land a new job, as some employers (like military, financial, or legal enterprises) use your credit rating to gauge your responsibility and reliability.
Rent a home, as landlords may not trust you to pay your rent on time for the duration of the lease.

If you do find a loan or line of credit that you’re qualified for, a score of 300 could lead to higher interest rates, less flexible loan terms, or a very low credit limit.

If you’re curious about your current score, you can request a free copy of your credit report from the bureaus at annualcreditreport.com. The CFPB has more information here.

How Can I Build My Credit Fast?

Since your credit impacts so many aspects of your life, it’s normal to feel a sense of urgency to build credit. However, building credit is usually a “hurry-up-and-wait” situation. Your credit score is a way to show lenders that you’re trustworthy, and that trust takes time to build.

If you’re smart with your credit – minimizing its usage, making payments on time, keeping your accounts open, and eventually having different types of credit (like a loan and a credit card) – then your score will grow. This can take some time and patience is key.

How Long Does it Take to Build Credit if You Have None?

Some credit score models only require three months of credit history to generate a score, while others require more. To have a FICO score, you usually need to have one credit account that’s been open for six consecutive months and one account that has been reported to a credit bureau within the past six months (these can be the same account). Basically, you should see your first credit score six months after opening a credit account. If you’ve had a credit account for six months and still don’t have a score, check with your lenders or credit bureaus to ensure the account is being reported.

Learn More About Avant Personal Loans & Credit Card Offerings

Whether you want to establish credit or build it, personal loans and credit cards through Avant can help. Loans through Avant feature fast disbursements, fixed monthly payments, and a convenient app that makes managing your payments a snap. If you prefer credit cards, the AvantCard is suited for credit building, with decisions made in minutes. Checking your rates won’t affect your credit score, so why wait? Start building better credit – and a better life – today.

Avant branded credit products are issued by WebBank.

Avant, LLC is a financial technology company, not a bank.

^Pricing may vary based on offers provided through different channels. If you received an offer in the mail, please refer to your letter for the specific terms offered. For more information regarding other account terms, see rates and terms.

* To learn more, see the Mastercard Guide to Cardholder Benefits here.

* Loan amounts range from $2,000 to $35,000. APR ranges from 9.95% to 35.99%. Loan lengths range from 12 to 60 months. Administration fee up to 4.75%. If approved the actual loan amount, term, and APR amount of loan that a customer qualifies for may vary based on credit determination and state law. Minimum loan amounts vary by state.

** Example: A $5,700 loan with an administration fee of 4.75% and an amount financed of $5,429.25, repayable in 36 monthly installments, would have an APR of 29.95% and monthly payments of $230.33.

*** Average FICO score of Avant customers accurate as of October 11, 2022.

†The decision process may take longer if additional documents are requested. Approval and loan terms will vary based on credit determination and state law.

‡ Funds are generally deposited via ACH for delivery next business day after approval if approved by 4:30pm CT Monday-Friday.

Avant of Washington, LLC DBA Avant is a wholly-owned and operated subsidiary of Avant, LLC Nationwide Multistate Licensing System #1440089.

Avant, LLC Nationwide Multistate Licensing System #1243761.

Connecticut consumers: all marketing efforts are associated with Avant of Connecticut, LLC d/b/a “Avant”, Small Loan Company License #SLC-1457409

The post How Do You Build Credit? appeared first on The Avant Blog.

How Does a Personal Loan Affect Your Credit Score?

Sophie Erskine — Thu, 27 Oct 2022 19:29:07 +0000

Thinking about a personal loan? It could be a great solution to pay for unexpected costs, urgent expenses, or to consolidate debt. Taking out a personal loan may also help build your credit when you make payments on time and when you use it to pay off revolving credit like credit card debt.

When you apply for a personal loan, the lender typically reports it to the major credit reporting agencies. That means it shows up on your credit report, and may slightly lower your credit score for a short time. Here’s what else you should know about how a personal loan may affect your credit score.

How Do Personal Loans Hurt Your Credit Score?

A personal loan is debt. How you manage that debt, and the amount of debt you have, impacts your credit score. Here’s how a personal loan can hurt your credit score.

It Triggers a Hard Inquiry On Your Credit Report

When you apply for a personal loan, the lender will run a credit check on you and that inquiry will show up on your credit report. A new inquiry can temporarily lower your credit score, but as long as you consistently pay your bills on time, your score may rebound quickly.

Curious to know what your personal loan options may be with Avant? You can check your eligibility without affecting your credit score.

It Increases Your Debt

When you take out a personal loan, you add to the amount of debt you owe. This may impact your credit score if the new loan has a high balance and if you have other high balances on other credit accounts. Since your debt-to-available-credit ratio makes up a good chunk of your FICO credit score, paying down the amount you owe can help to boost your score over time.

Missed Payments May Affect Your Credit

If your payment on your personal loan is 30 days or more past due, your lender will likely report that to the credit reporting bureaus, which could significantly lower your credit score. That late payment could also stay on your credit report for seven or more years. Setting up some simple strategies can help you stay on top of loan payments.

Paying Off a Loan May Impact Your Credit Score

Taking out a personal loan and managing repayments promptly shows you can manage different types of debt (like credit cards and personal loans) over time. However, when you pay off your personal loan, you may change that credit mix, particularly if your account closes once you pay off the loan. That, in turn, may impact your credit score.¹

¹Experian – Paying off a Personal Loan Early

Check Your Avant Loan Options

Checking your personal loan options does not impact your credit score.

How Do Personal Loans Build Your Credit?

Personal loans may positively impact your credit history and have the potential to boost your score when used the right way. Here are some ways a personal loan can help build positive credit history:

You Get Points for On-time Payments

Each month when you pay your loan on time, you show responsibility in handling debt. Making on-time payments is the easiest way to build a positive credit history. It’s also important: Your payment history makes up 35% of your FICO score, so paying on time is a critical component of your credit score calculation.

You Improve Your Credit Mix

A personal loan is an installment loan, which is different from a credit card. While a credit card is a type of revolving credit, a personal loan is a type of non-revolving credit. A non-revolving line of credit is a one time arrangement where the account is closed once the credit line is paid off. Revolving credit, on the other hand, remains open until the lender or borrower closes the account. Taking out a personal loan and managing your payments well shows you can manage a mix of different types of credit.

You May Lower Your Credit Utilization Ratio

When you have credit cards, your credit report includes your credit utilization ratio – the amount of credit you are using, measured against the total amount of credit available to you. The lower your credit utilization ratio, the better. So, if you have a total credit limit of $2,000 between all your credit cards and you have balances totaling $1,000, you’re utilizing 50% of your credit. According to Experian.com, it is recommended that you keep your total credit utilization rate below 30%.

Consolidating debt by taking out a personal loan to pay down or pay off your credit card balances can help to lower your credit utilization ratio. You consolidate multiple debts into one and only have to worry about one monthly payment. However, if you decide to go this route, it’s important to make your payments on time.

How Much Does a Loan Affect Your Credit Score?

According to data from Transunion, consumers pay down just over 58% of their credit card debt with new debt consolidation loans. More than 60% of consumers who consolidated their credit card debt saw their balances decline by 60% or more from pre-consolidation levels. The resulting drop in credit line utilization, together with other factors, led to a boost in credit scores for the majority of consumers who employed a debt consolidation loan.

Following consolidation, 68% of consumers saw their credit scores improve by more than 20 points. What’s more, while the initial score boosts were apparent after just one quarter, score improvements persisted a year later (albeit at lower levels).

Source materials for this data can be found from the following resources:

Learn More About Avant Personal Loans

Learn more about how to secure a personal loan through Avant. You can apply online from anywhere and checking your personal loan options does not impact your credit score.

Avant branded credit products are issued by WebBank.

Avant, LLC is a financial technology company, not a bank.

* Loan amounts range from $2,000 to $35,000. APR ranges from 9.95% to 35.99%. Loan lengths range from 12 to 60 months. Administration fee up to 4.75%.

* If approved the actual loan amount, term, and APR amount of loan that a customer qualifies for may vary based on credit determination and state law. Minimum loan amounts vary by state.

** Example: A $5,700 loan with an administration fee of 4.75% and an amount financed of $5,429.25, repayable in 36 monthly installments, would have an APR of 29.95% and monthly payments of $230.33.

†The decision process may take longer if additional documents are requested. Approval and loan terms will vary based on credit determination and state law.

‡ Funds are generally deposited via ACH for delivery next business day after approval if approved by 4:30pm CT Monday-Friday.

Avant of Washington, LLC DBA Avant is a wholly-owned and operated subsidiary of Avant, LLC Nationwide Multistate Licensing System #1440089.

Avant, LLC Nationwide Multistate Licensing System #1243761.

Connecticut consumers: all marketing efforts are associated with Avant of Connecticut, LLC d/b/a “Avant”, Small Loan Company License #SLC-1457409

The post How Does a Personal Loan Affect Your Credit Score? appeared first on The Avant Blog.

How to Get a Personal Loan

Sophie Erskine — Thu, 27 Oct 2022 18:43:42 +0000

If you ever need to pay for large or unexpected expenses, one of the options you have is to apply for a personal loan. When applying for a personal loan, however, remember that it’s not just the amount of money you borrow that’s important. It’s also important to think about the amount of money you’re able to pay back each month.

Applying for a personal loan is a big decision. You need to consider all the factors that go into taking on a loan, including your financial situation, how you plan to pay it off, and the lender you decide to use. Here are eight simple steps to help you confidently apply for a loan.

8 Steps to Apply for a Personal Loan

A personal loan can help you manage emergencies like unexpected hospital bills or car repairs. If you’re confident a personal loan is the right type of financing for you, these eight steps can help to keep your application process on track.

Check the numbers.
Run your own credit check.
Explore your possibilities.
Choose the best loan for your situation.
Comparison shop personal loan rates.
Decide on a lender and apply.
Gather and provide necessary documentation.
Accept the loan and begin making payments.

1. Check the numbers

Before taking out a personal loan, you want to ensure you can afford to pay back the amount you plan to borrow. Lenders will typically do their due diligence to make sure you have the ability to repay the debt, but it’s smart to also do your own math.

Begin by figuring out exactly how much money you’ll need. Remember that some lenders assess an origination fee and can deduct that from your loan proceeds so make sure you’ll still have enough left over after the fee to cover your expense.

The loan origination fee covers the cost of processing a loan. The loan origination fees are usually a percentage of the amount loaned.

It’s also wise to use a personal loan calculator to figure out what your monthly payment will be. This can be a little tricky if you aren’t up to speed on what kinds of rates and repayment terms lenders will offer. However, play around with the numbers to get a good idea of what the loan will cost you. From there, you can decide if your budget can handle the loan amount.

2. Run your own credit check

Your credit score helps lenders determine your creditworthiness and how likely you are to repay your loan; the higher your score, the better chance you have of being approved for a competitive interest rate.

Running your own credit check will give you a good idea of where you stand before you apply. You can request a copy of your credit report at AnnualCreditReport.com. All three credit bureaus (Equifax, TransUnion, and Experian) will provide you with a free copy of your credit report every 12 months. Carefully examine your credit report for errors, and if you find any, contact the main credit reporting agencies right away to dispute them.

If your credit score is low, there may be other reasons, however there are steps you can take to improve your credit before applying.

3. Explore your possibilities

Your creditworthiness may require you to have a cosigner in order to to qualify for a personal loan. You may also carefully consider your choice of lender. People with a lower credit score may find it difficult getting approved at traditional banks. However, some online lenders specialize in helping borrowers with less-than-perfect credit. Some credit unions also have short term loans that serve as less expensive alternatives to payday loans.

Remember: It may be worth taking the time to strengthen your credit if you don’t meet the typical requirements and your expense isn’t urgent. You can also reach out to a family member or friend with good financial health about being your co-signer.

4. Choose the best loan for your situation

Now, armed with all the right knowledge, you may be ready to consider which type of loan best fits your situation. Do you go with a lender that will only approve loans for specific purposes or do you choose a lender that may not limit what you can do with the funds?

Whatever you decide, make sure you find a lender that is comfortable loaning you money for the reason you need it. For example, one lender may not allow you to use borrowed funds for business purposes, while another might let you borrow money to fund your small business.

A variety of different loans are offered through lenders, such as:

Debt consolidation loans: You decrease the number of payments you have to worry about each month and receive one (potentially lower) interest rate when you take out one loan to cover your existing debt. A very common use for personal loans.
Home improvement loans: Use a home improvement loan to pay for a large renovation up front without talking out a secured home equity loan.
Medical loans: Medical expenses are often unpredictable. Use a personal loan to alleviate the immediate financial burden and pay down debt over a number of years.
Emergency loans: Emergency loans can be useful in a variety of situations. Some examples may include, a car breakdown, your water heater breaks, or a smaller medical expense may be good reasons to take out a personal loan.

5. Comparison shop loan rates

Whatever you do, when personal loan shopping, do not simply settle on the first offer you receive. Shop around for the best possible interest rate and compare several types of lenders and loan types to get an idea of what you qualify for.

Personal loan offers are typically available from banks, credit unions, and online lenders. If you’re a long time account holder in good standing with your bank or credit union, check there first. A bank or credit union may be willing to overlook recent credit missteps or give you a better rate when they see a history of positive financial choices made over the years.

Some online lenders pre qualify you with a soft credit check. This typically doesn’t impact your credit score. Check to see if the lenders you are considering offer a pre-qualification process. This will help provide a full understanding of the rates available to you.

Lenders that don’t offer a pre-qualification process typically run hard credit inquiries as part of the loan application process. Too many hard inquiries may negatively impact your credit score.

6. Decide on a lender and apply

You’ve done your research. Now it’s time to pick the lender with the best offer for your needs and start the application process. Each lender treats the application process slightly differently. With some, you may be able to do the entire application process online. The local branch of your bank or credit union may require you to apply in person.

Lenders also require different information on their respective applications. That said, you can typically expect to provide your name, address, Social Security Number, and contact information.

7. Gather and provide necessary information

Even after you’ve submitted your application, your lender will likely ask you to provide additional documentation. Every lender has their own set of requirements. For example, you might need to upload or fax a copy of your latest pay stub, a copy of your driver’s license, or proof of residence.

The lender will tell you what documents they require, if any, and how you can get it to the right person. Remember, the faster you provide the information, the quicker you’ll receive a decision.

8. Accept the loan and begin making payments

When the lender notifies you that you’ve been approved, you will need to finalize the loan documents and accept the terms. You can typically expect to get the loan funds within a week – however some online lending platforms, like Avant, may get the money to you as soon as the next business day after you’re approved‡

Start keeping track of when your payments are due. Consider setting up automatic payments from your bank account. Some lenders may give you interest rate discounts if you set up your account to make auto-payments.

Loan Application FAQs

Am I eligible for a personal loan?

Lenders will take multiple factors into account when determining your creditworthiness. Lenders also use a credit score to determine the risk associated with providing you with a loan. Some factors lenders may consider determining creditworthiness include:

Income.
How long you’ve lived at your current address.
Employment stability.
Outstanding debt.

What credit score do you need to get a personal loan?

What credit score you need depends on how much you want to borrow and where you want to borrow from. Different lenders have different criteria. Having poor credit doesn’t necessarily mean you can’t get a personal loan. For example, while most Avant customers have credit scores between 600 and 700***, you may qualify for a loan through Avant with a minimum credit score of 580. You can check your personal loan options easily online.

How can I take out a loan with no credit?

Taking out a loan with no credit may cost you more, but is certainly not impossible. Here are some options to consider if you’re looking for a no-credit loan:

No-credit-check loans
Payday alternative loans
Possibly having a co-signer
Apply for a secured credit card
Apply for a credit-builder loan
Apply for a secured loan

What disqualifies you from getting a personal loan?

Your loan may be denied by any lender for a number of reasons. Your credit score may be too low. Your debt-to-income ratio (DTI) could be too high. You may have also asked to borrow more money than the lender thinks you can repay based on factors such as income, employment stability and other outstanding debts.

Do you need collateral for a personal loan?

Personal loans are typically unsecured. They don’t require collateral. That said, some lenders require some personal loans to be backed by something that holds monetary value. Examples of collateral on a secured personal loan can include things like cash in a savings account, a car, or perhaps a home.

Apply For a Personal Loan Through Avant

Fast and easy to understand. Personal loans through Avant may help customers pay bills, improve their homes, cover emergencies, and more – all while demonstrating responsible credit use. Apply for a personal loan through Avant today.

Avant branded credit products are issued by WebBank.

Avant, LLC is a financial technology company, not a bank.

* Loan amounts range from $2,000 to $35,000. APR ranges from 9.95% to 35.99%. Loan lengths range from 12 to 60 months. Administration fee up to 4.75%.

* If approved the actual loan amount, term, and APR amount of loan that a customer qualifies for may vary based on credit determination and state law. Minimum loan amounts vary by state.

** Example: A $5,700 loan with an administration fee of 4.75% and an amount financed of $5,429.25, repayable in 36 monthly installments, would have an APR of 29.95% and monthly payments of $230.33.

*** Average FICO score of Avant customers accurate as of October 11, 2022.

†The decision process may take longer if additional documents are requested. Approval and loan terms will vary based on credit determination and state law.

‡ Funds are generally deposited via ACH for delivery next business day after approval if approved by 4:30pm CT Monday-Friday.

Avant of Washington, LLC DBA Avant is a wholly-owned and operated subsidiary of Avant, LLC Nationwide Multistate Licensing System #1440089.

Avant, LLC Nationwide Multistate Licensing System #1243761.

Connecticut consumers: all marketing efforts are associated with Avant of Connecticut, LLC d/b/a “Avant”, Small Loan Company License #SLC-1457409

The post How to Get a Personal Loan appeared first on The Avant Blog.

What is Creditworthiness?

Sophie Erskine — Mon, 08 Aug 2022 20:14:07 +0000

Creditworthiness is a measure of a person’s likelihood and ability to repay their debts. It is one of many measures a lender can use to determine if you will be approved for a new credit card, loan, or line of credit.

Creditors consider several factors to figure out how big of a risk they would be taking by lending you money. The creditworthiness standards and definition may vary slightly between lenders. Some consider your income, how much you owe (liabilities), and how much you own (assets) when determining how likely you are to pay back the money you borrow.

Creditworthiness should be a goal for your future because the most creditworthy individuals are typically offered the best interest rates.

What is Your Creditworthiness Based On?

Creditworthiness factors are based on a review of your credit history and a determination of your ability to make repayments. A creditor wants to see that you have a track record of repaying your debt with on-time installments, including any past loans and credit card debt, before lending you money or extending your credit.

The steps to determining your creditworthiness include:

Reviewing Your Credit Report

Your credit report will show your credit history and how well you manage credit. A lender will look to see how much debt you owe, credit limits, and whether you have made late payments or if any payments are overdue to determine how likely it is that you will repay any money they lend you.

Calculating Your Debt-to-Income Ratio

Your ability to pay back a loan is partly determined by your income. By comparing your monthly debt payments to your monthly income, a creditor can figure out how much you can afford each month in installment payments. A debt-to-income ratio of 35% or less usually indicates good creditworthiness.

Checking Your Credit Score

Your credit score helps determine your creditworthiness and affects the interest rate you will be charged. A lower credit score indicates that you may be a higher risk for borrowing money and typically means you will be offered higher interest rates. When you have a low credit score, you may pay more to borrow money because the lender is taking a bigger chance that they won’t get their money back. A credit score of 670 to 739 or so usually indicates good creditworthiness.

Verifying Your Income

To be considered for a loan or credit, you are usually required to show proof of income. A copy of your tax return from the previous year or a paystub from your employer documents the amount of your income and helps creditors understand if you have a reliable source of income to help repay the credit.

How to Improve Your Creditworthiness

Improving your creditworthiness is an important goal for your future. It can affect a number of aspects of life, from getting an apartment lease or being approved for a mortgage, to qualifying for a car loan. Knowing how lenders define creditworthiness, you can see that paying your credit card bills on time is one of the most important steps you can take to develop creditworthiness. Other steps include:

Make credit card payments on time

Making on-time payments and avoiding late or overdue payments is one way to steadily increase your creditworthiness.

Clear up past-due debt

Pay your outstanding balances. If you can’t get current on your account, ask for a payment arrangement to get your past-due balance paid off.

Pay more than minimum

Paying more than the minimum amount due each month will get your debt paid off faster and save money on late fees and interest charges.

Check your debt-to-income ratio (DTI)

It’s easy to know your DTI score. Divide your total monthly debt by your monthly gross income. A DTI under 35% is acceptable to most lenders, although 28% is ideal. Reducing your debt and increasing your income can improve your DTI.

Pay credit card balances in full

Start building a solid payment history by paying your whole credit card bill each month. You may have to adjust your credit card spending to fit within your monthly budget.

Grow your credit

Apply for another credit card from a different bank or ask to have the credit limit on your existing credit card raised. When you have more credit available to you, your creditworthiness can improve.

Learn More About the Avant Credit Card

Improve your creditworthiness with the Avant credit card. Transparent and easy-to-use with zero fraud liability for unauthorized purchases and zero deposit required, the Avant credit card is a responsible choice for building strong credit. Checking your eligibility online does not affect your credit score; responsible use of the Avant credit card can help improve your credit score by establishing a track record of on-time payments.

Avant branded credit products are issued by WebBank.

The post What is Creditworthiness? appeared first on The Avant Blog.

How to Pay Off Your Debt Faster

Sophie Erskine — Mon, 08 Aug 2022 19:54:17 +0000

Key Takeaways

If your debt is weighing you down, it’s time to break free of it. While you can’t just make it disappear, you can use strategies like debt consolidation and a targeted repayment approach to ease the load, helping you pay it off faster. Here’s what you should know about debt payoff strategies to help you breathe easy and feel more confident about your financial future.

Are you looking for a shortcut to pay off your debt sooner? The best way to build momentum in your debt repayment efforts is to follow a debt payoff strategy or submit larger monthly payments. Keep reading to learn tips on both of these so that you can pay off your debt as fast as possible.

Remember, the sooner you amp up your debt repayment process, the quicker you will experience financial freedom.

Pick a Debt Payoff Strategy

Knowing how to pay off debt fast doesn’t have to remain a mystery. There are four primary methods for paying off credit card and other debts quickly: the debt snowball method, the debt avalanche method, a debt consolidation loan, and a balance transfer credit card. All methods have their own benefits, and the one that’s right for you will depend on your situation.

1. Debt Snowball Method

This way to pay off debt focuses on paying off the account with the lowest balance first. You’ll continue to make minimum payments on your other accounts, but you’ll put as much as possible toward the account with the lowest balance until it’s paid off. When that one reaches $0, do the same for the next account with the lowest balance.

For instance, say you have credit cards with balances of $400, $1,000, and $1,400. Plan to make the minimum payments for the $1,000 and $1,400 cards, but pay as much as you can on the $400 balance each month. When that balance gets to $0, start paying down the $1,000 balance while continuing to make minimum payments on the $1,400 balance.

Pros
With the snowball approach, you’ll pay off debt fast, one account at a time. It’s not quite instant gratification, but it’s close enough to keep you motivated and provide a sense of accomplishment. Plus, you’ll steadily reduce the number of outstanding balances you have, which can ease your stress.

Cons
The snowball method may be the best way to pay off debts with similar or low interest rates, but it doesn’t account for debts with high interest rates. If your highest account balances have the highest interest rates, you may want to choose a different method of paying off your debt to avoid paying more in interest.

2. Debt Avalanche Method

This method focuses on accounts with the highest interest rates, minimizing the amount you pay over time. To use the debt avalanche method, look at the statements for each credit card and loan you have open, and note the Annual Percentage Rate (“APR”). The card or loan with the highest APR is the one you should start paying down first, then move on to the next.

In this case, imagine you have three lines of credit with APRs of 15.99%, 18%, and 21.99%. With this method, you would focus on paying down the account with the 21.99% APR, regardless of each account’s balance. You’d then pay down the line of credit with 18% APR, leaving the 15.99% APR account for last.

Pros

The debt avalanche approach saves you money by reducing the amount of interest you pay on your debts. For accounts with high interest rates, this could save you hundreds of dollars over time.

Cons
Accounts with high balances will take a while to pay down. If the account with the highest interest rate also has a high balance, you could make payments for a year or more before it’s paid off, which can be frustrating or disheartening. If you think slow progress will be discouraging, consider other ways to pay off your debt.

Debt Consolidation Loan

A debt consolidation loan can simplify your life and your finances, and it can save you money. With this approach, you take out a personal loan equal to the balances of the credit cards and loans you have and use it to pay off your debts. This leaves you with one monthly payment instead of several, and if you find a personal loan with a low interest rate, you’ll pay less over time.

For example, say you have four credit cards or open accounts, with balances of $500, $700, $800, and $1,000. The highest APR on these is 21.99%. For debt consolidation, you would want to take out a $3,000 loan (enough to cover your existing debt) with an APR of 20% or below for the best savings. From that point forward, you’d only need to make one monthly payment, and you’ll pay less interest.

Pros

Consolidating your debt into one loan means only having one monthly payment, and with a debt consolidation loan through Avant, you’ll have one fixed interest rate. Budgeting will be simpler, and your monthly payment may be lower than the sum of the payments you were making before. Personal loans may also offer lower interest rates than credit cards, so consolidation is especially advantageous if credit cards are your main source of debt.

Cons

If your credit could use some improvement, you may receive a higher interest rate or lower loan amount than you’d like. In these situations, other options for debt consolidation may be a better fit for you.

4. Balance Transfer Credit Card

This is another consolidative way to pay off debt. A balance transfer credit card allows you to transfer balances from other accounts to the new card, paying off those balances and resulting in one new balance and payment.

Balance transfer credit cards can offer special introductory APRs – even 0% APR for a short time. This could allow you to pay off part or all of your existing debt with little to no interest, potentially generating significant savings. Once the introductory period is over, though, interest will begin to accrue.

Pros

There’s nothing like being able to pause the interest accrual on a debt. Some balance transfer credit cards offer 0% APR during the introductory period, which could last for a year or more. Stopping the accrual of interest could help give you a leg up on paying down your balance, and it may motivate you to pay it down faster.

If you’re able to pay it all off before the introductory period expires, you’ll avoid paying interest at all on the balance you transferred, which can make a world of difference to your finances.

Cons

Balance transfer cards may charge a fee each time you transfer a balance to it, usually 3-5% of the transferred amount (with a $5 or $10 minimum fee). If you’re transferring $3,000 to the card, a 5% fee would be $150, which is added to the card’s balance.

You’ll also have a credit limit on the balance transfer card. If you have a $2,500 limit but $3,000 of debt, you’d be left with $500 still on the original account, accruing interest. If you still have a balance when the introductory period ends, interest will start accruing. The introductory period can be revoked early if you make a late payment.

Another consideration is how this move could impact your credit score. Credit utilization accounts for 20% or more of your overall score, so if the balance you’re transferring is close to the credit limit on the balance transfer card, your score may take a hit.

Increase Your Monthly Debt Payments

Increase Your Income

Increasing your monthly payments is a reliable way to pay off credit card and loan debt fast. Here, we break down different approaches and tips for paying off credit card debt and loans by increasing your payments.

Become a virtual assistant on the side – There are many legitimate sites where you can sell your time and skillset. Perhaps you are good at resume writing, you’ve got a knack for transcription, or you like to design blog avatars in your spare time. To get you started earning extra cash, check out similar listings on Upwork.com for ideas as well as price ranges. Then, submit your own!
Cash out credit card rewards – Is it time to cash out your credit card reward points? See if you can get a statement credit, actual cash, or get a gift card for a purchase you were planning to make anyway so that you can use that money towards debt repayment.
Pick up extra shifts at work – Sometimes the easiest way to bring in extra cash is to ask for more work (if you are paid hourly… salary workers, you probably don’t want to do this).
Get a seasonal, part-time job – Do you have time to work at a Christmas tree lot in the winter? Or become a weekend camp counselor in the summer? There are lots of seasonal opportunities that can be a great, temporary infusion of cash to help you reach your goal quicker.
Ask for a raise – The fact is, increasing your pay can turbo boost your debt repayment, so it’s worth it to ask! Ramit is a great go-to resource for helping you do this knee-wobbling task.
Host a digital yard sale – Gather up all of those extra belongings you’ve been meaning to get rid of and take an afternoon to list them on eBay, Craigslist, local Facebook groups, etc.
Dog walk and pet sit – This is a great way to get some exercise and make some extra cash. Post your ad on a community bulletin board, Facebook page, or Craigslist, or just spread the word among dog owners. You’ll be surprised how lucrative this can be, especially in a big city.
Pick up scrap metal – Do you have a truck? You can pick up people’s old appliances and other scrap metal and actually trade it in at your local center for some cold, hard cash. Money earned is based on metal type and weight.

Save Money

There are a variety of areas to potentially save money so that you can put more towards paying off your debts.

Negotiate a lower interest rate – Call up your credit card company, medical creditors, and others to ask for a lower interest rate.

Carpool – Carpooling is a great way to cut your monthly gas costs considerably, enabling you to use that money for debt repayment. Look for online communities around your local metro on Craigslist, Reddit, or other regional websites. Not only do you get to take days off from driving, you won’t have to face the commute alone every day!
Make sure you apply for all eligible tax deductions and credits – Many people miss important (and lucrative) tax credits or deductions. If you are unsure of how to do your taxes or what you are eligible for, then it could save you money in the long run to hire a professional (hint: generally the cost of getting your taxes professionally done is tax deductible as well).
Leverage your social network – Some of the services you currently use probably have an affiliate network or referral plans, which pay you to generate more business for them. Sign up for your favorite service’s affiliate program, and start touting their benefits to your family and friends!
Have medical debt? The Affordable Care Act requires non-profit hospitals to make financial assistance available to low-income patients and post those policies online, and half of US hospitals are non-profit.

Cut out entertainment services – If you subscribe to multiple streaming services, try cutting back to just one or two, even if it’s only for a few months. Put the money you save toward paying off your debts, and use more of your free time to read, make art, or even earn online certifications relevant to your career, which could snag you a raise.
Spend $20 less on groceries each month – Whether it’s by using coupons or cutting back on unhealthy snacks, saving just $5 each week on groceries can add up. If you save $20 each month, you’ll have an extra $240 every year to put toward your debts, which could cover an entire month’s credit card payment.
Ditch unused memberships –Chances are high that you have memberships or subscriptions – such as digital magazines, gaming platforms, or a gym membership – that you barely use. Go through your bank and credit card statements. If there are recurring charges for a service you haven’t used in a month, cancel it. You can always pick it back up once your debts are paid down.
Take food with you – Instead of buying food while you’re at work or out running errands, pack some with you, such as leftovers for lunch or an apple for a snack. If you don’t think this will help much, check your most recent card statements, adding up the amount you’ve spent on food (not including groceries). If you put even half of that toward your debts, you can still treat yourself occasionally while making progress on your debts.
Keep the change – Are you constantly finding change in your couch, under your TV stand, or in your car? Start dropping it all in an empty container (like a coffee can), then cash it in when it’s full. You won’t miss your loose change, and you’ll be surprised at how much you accumulate. Put it toward your debts to pay them off faster.

Learn More About Avant Debt Consolidation Loans

Dealing with ongoing debt is hard financially and mentally, but Avant offers solutions to help. Check out our debt consolidation loans, which offer fast disbursement, fixed monthly payments, and APRs as low as 9.95%*, depending on your credit standing. You can manage your account through our easy-to-use mobile app, and we’ll be with you every step of the way. It’s just one way Avant makes a difference.

Avant branded credit products are issued by WebBank.

Avant, LLC is a financial technology company, not a bank.

* Loan amounts range from $2,000 to $35,000. APR ranges from 9.95% to 35.99%. Loan lengths range from 12 to 60 months. Administration fee up to 4.75%.

* If approved the actual loan amount, term, and APR amount of loan that a customer qualifies for may vary based on credit determination and state law. Minimum loan amounts vary by state.

** Example: A $5,700 loan with an administration fee of 4.75% and an amount financed of $5,429.25, repayable in 36 monthly installments, would have an APR of 29.95% and monthly payments of $230.33.

†The decision process may take longer if additional documents are requested. Approval and loan terms will vary based on credit determination and state law.

‡ Funds are generally deposited via ACH for delivery next business day after approval if approved by 4:30pm CT Monday-Friday.

Avant of Washington, LLC DBA Avant is a wholly-owned and operated subsidiary of Avant, LLC Nationwide Multistate Licensing System #1440089.

Avant, LLC Nationwide Multistate Licensing System #1243761.

Connecticut consumers: all marketing efforts are associated with Avant of Connecticut, LLC d/b/a “Avant”, Small Loan Company License #SLC-1457409

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What’s the Difference Between a Credit Card and a Debit Card?

Sophie Erskine — Fri, 20 May 2022 17:35:01 +0000

A debit card uses funds from an attached account. After making a purchase, you can see the funds deducted from your account. By contrast, a credit card extends you a line of credit assigned to your card, which is a short-term loan to be repaid. Your monthly credit card bill keeps track of your purchases and allows you to repay these small loans over time or in full each month.

While there are several differences between debit and credit cards, both are accepted for purchases by most retailers. Understanding the differences between a credit card vs a debit card can help you better manage your money and enhance your financial knowledge. Here’s a quick overview of how credit cards and debit cards generally work. This article provides general information regarding debit and credit cards, and may not reflect the terms and conditions of specific products. For more information regarding products offered through Avant, see Credit Cardmember Agreement.

Credit Card	Debit Card
Make purchases, even if you don’t have the cash at-hand	Pay for items, only if your account has enough money to cover the purchase
No interest charges if paid in full each month	No interest charges
Extends a short-term loan you can pay back later	Draws money from your account
Can help you to build a credit history and influence your credit score	Does not influence your credit score
Charges fees for some transactions	Only charges fees if you overdraw your account
Protects against fraudulent charges	Limited protection against fraudulent charges

What is a Debit Card?

A debit card is a method of payment similar to cash, but easier to carry. A debit card is linked to the funds in your deposit, checking, and/or savings account. It transfers money electronically from your account to the merchant when you make a purchase.

Another type of debit card is a prepaid card, like a gift card. Unlike a traditional debit card, a prepaid card is not attached to a deposit, checking, or savings account. Rather, it has a certain amount of money loaded onto it. Every time you use it, the cost of what you purchase is deducted from the total value of the card until the balance reaches zero. In some cases, you can replenish funds on a prepaid card in order to re-use it. One of the chief benefits of a prepaid card is that this type of card can help to prevent you from spending more than you have, limiting you to the amount assigned to your card.

How Do Debit Cards Work?

Your debit card accesses money from the account it is linked to. You can use it to make online or in-store purchases, as well as ATM transactions like checking your balance, withdrawing cash, making deposits, or transferring money. To keep your account secure, you may need a personal identification number (PIN) when using your debit card.

With a debit card, you are limited to only withdraw or spend the amount of money in your account. Any attempt to exceed that amount will typically be declined unless your account offers an overdraft protection product. Three ways to avoid having your debit card transaction declined are:

Always know the balance of your account and stay within those limits.
Link your debit account to a savings account with backup funds.
Sign up for overdraft protection if your account offers it.

Depending on your debit card provider, it could be linked to a savings account as well as a checking account so any purchase amount exceeding funds in your checking account will be deducted from your savings if you go over your balance. Overdraft protection covers transactions beyond your account balance with a small loan, like credit, from your financial institution.

What Are the Advantages of Using a Debit Card?

Don’t like carrying cash? Not sure how much you’ll need? Debit cards provide the convenience and security of using your money when and where you like. They give you ready and safe access to your money almost anywhere. The benefits of using a debit card include:

No interest or monthly bill.
Keep money in your account until you want to spend it.
Track your spending effortlessly.
No need to visit an ATM to make purchases.
Widely accepted.

What Are the Disadvantages of Using a Debit Card?

Carrying a debit card is better than carrying cash, but it does have some down-sides:

You could face fees for transactions at ATMs.
You won’t build your credit history or improve your credit score by using a debit card.
You could be responsible for fraudulent charges if your card is lost or stolen.
You may tend to overspend because of the convenience of carrying a debit card.

What is a Credit Card?

A credit card is a line of credit – a promise of a loan of any amount at any time you need it until you reach a total maximum. When you get your credit card, you agree to repay any amount you borrow, plus interest, according to the terms of the credit card agreement.

How Do Credit Cards Work?

Every purchase you make with a credit card is a small loan. At the end of each 30-day billing cycle, you get a statement that tells you how much credit you used, how much is still available to you, and what fees, if any, you’ve incurred.

The credit card bill gives you two options:

If you pay the balance in full, you start the next month with your full line of credit intact. This means you could charge up to your maximum credit limit.
If you pay only a portion of the balance, you are agreeing to pay interest on the rest. Those interest charges will be noted on your next month’s statement.

To keep your credit account current and avoid late fees, you must pay at least the required minimum payment by the date noted on your credit card statement. Consistent on-time payments will help you establish a good credit history.

What Are the Advantages of Using a Credit Card?

Credit cards offer some of the same conveniences as debit cards, but also offer several added advantages:

If your card is lost or stolen, you may not be held responsible for fraudulent charges.
You can use a credit card for emergencies when you don’t have the cash available.
Credit cards can help you build your credit history and improve your credit score.
Rewards programs let you earn benefits for using your credit card.

What Are the Disadvantages of Using a Credit Card?

There are downsides to using credit cards, including:

You will be charged interest on purchases if you don’t pay off your balance each month.
You could be charged fees for late payments, cash advances, and foreign transactions.
Some credit cards charge an annual user fee.
You could build up debt by spending money you don’t have and compounding it with monthly interest charges.

Debit vs. Credit Card: Which One Should I Use?

Using a credit card or debit card is a decision based on the situation. The deciding factor is almost always whether you have disposable cash to use for the purchase and, if not, whether you can pay off your credit card balance at the end of the month.

For routine purchases, like your morning latte, a debit card is easiest. It is just like using cash. A debit card will also help you stay within your budget when shopping for needs and wants.

You may choose to manage your money by using your credit card for all purchases and then paying it off in full at the end of each month. This way, you could take full advantage of any rewards your credit card offers.

When you don’t have enough cash, a credit card may be your only option for true emergencies. Charging more on your credit card than you can pay off in full the following month will trigger interest charges for the time it takes you to pay off the balance.

Avoid adding your five-dollar morning latte to your credit card balance unless you want to end up paying seven dollars for it. Your debit card is usually the best choice for all purchases while you are paying off the credit card balance.

Can I Use My Debit Card as a Credit Card?

Using your debit card as a credit card is usually an option when you make an in-store purchase. A debit card will still take the funds out of your account, even if you use it as a credit card. The only difference is how the merchant will process the transaction. A credit card transaction on your debit card does not require your PIN and may take longer to remove the funds from your account.

Can You Transfer Money from a Credit Card to a Debit Card?

Transferring money from your credit card to your debit card is considered a cash advance. You should check your credit card terms to see what, if any, fees and interest you will be charged. Decide whether the cost is worth it to you before proceeding. Once the money is in your account, you can use your debit card to spend it or withdraw it from an ATM as cash.

In the Market for a Better Credit or Debit Card?

Whether you are new to credit, need to rebuild your credit, or are just a responsible borrower, Avant has the right credit and debit card options for you. Our easy application process makes the Avant Credit Card^ your simple and transparent choice.

Take charge of your finances with Avant.

* Avant, LLC is a financial technology company, not a bank.

** The Avant Debit Card is issued by Evolve Bank & Trust pursuant to a license from Visa U.S.A. Inc. and may be used everywhere Visa® debit cards are accepted.

^Avant branded credit products are issued by WebBank.

This page is for informational purposes only. Avant does not provide financial, legal, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for financial, legal, or accounting advice. You should consult your own financial, legal, and accounting advisors before engaging in any transaction.

The post What’s the Difference Between a Credit Card and a Debit Card? appeared first on The Avant Blog.

What You Should Know About the Second Stimulus Bill

Sophie Erskine — Tue, 12 Jan 2021 02:01:51 +0000

As millions of Americans continue to struggle through the pandemic, a $900 billion relief bill was signed into law at the end of 2020. For some Americans, the new $600 payment has already been deposited, but for millions of others an error between TurboTax and the IRS has led to delays.

Stimulus checks

The new bill will give each taxpayer a $600 check, or $1,200 to married couples filing jointly. That amount will be increased by $600 for each eligible child under 17, so a family of four could get $2,400.

To get the maximum payment those who filed their 2019 federal taxes as a single taxpayer need to have had less than $75,000 in adjusted gross income. The limit is $112,500 for heads of household, and $150,000 for married joint filers. Payments are reduced by $5 per $100 adjusted gross income over the income limit.

The IRS has said that all checks should be delivered to taxpayers by January 15th, with some checks already having made their way into Americans’ bank accounts.

If you didn’t file a 2019 tax return or you didn’t receive your stimulus payment automatically, you can claim the $600 amount as a tax credit on your 2020 federal income tax return (you can also claim the first stimulus payment on your 2020 taxes if you didn’t receive it for some reason).

Unemployment benefits

Americans who lost their jobs and are collecting unemployment will see an additional $300 per week added to their benefit. The benefit enhancement will last until March 14, 2021 and there’s nothing you need to do to receive the enhanced benefits if you’re already receiving unemployment benefits.

Rental assistance

The new stimulus extends the eviction protections provided by the CARES act until January 31, 2021. The bill also expands funding for rent assistance programs.

Nutrition benefits

The stimulus also increases the current SNAP benefit by 15% for the next six months, but doesn’t expand eligibility for the program. There’s nothing you need to do to receive the expanded benefit — it’s automatically applied.

Here’s a free resource that can help

If you’re having trouble making ends meet during this difficult time, check out SpringFour. This free tool will connect you with trusted resources and could help you reduce your monthly expenses by $250.¹

Get Free Assistance

¹ Reduction of costs by as much as $250 per month based on survey responses provided to SpringFour. Individual results may vary.

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