Fig Loans

• No Minimum Credit Score
• Flexible Repayment Terms
• No Late Fees
• Improve Your Credit
• Credit Builder Loans
• Early Repayment Savings
• Customer Support
• Socially Responsible Payday Lending
• Positive Customer Reviews

No Minimum Credit Score

Fig Loans does not have a minimum required credit score and does not require a traditional credit check.

Flexible Repayment Terms

Even though all Fig Loans installment loans are initially set up with scheduled monthly installments to be paid in four to six-month repayment terms, borrowers are not required to pay off their small loan in that time span. 

No Late Fees

The Fig Loans customer service team will alter payment schedules as necessary to better suit borrowers' budgets.

Customers can change their payment dates within one business day of their due date.

Because the company works with clients to avoid non-sufficient funds (NSF) fees, borrowers will never be charged a fee to change a payment date or for late payments. This is something that is hard to come by when compared to other payday loan lenders.

Improve Your Credit

Reporting payments to the three main credit bureaus is the first step toward healthy credit history because it establishes a track record of good payments.

As borrowers repay their loan, Fig Loans will report the repayments to all three of the major credit bureaus: Equifax, Experian, and TransUnion.

Borrowers with poor credit will benefit as they pay off their Fig Loan, payments are reported to the credit bureaus. They can improve their credit score and become more financially stable for the future.

However, it's important to note that this repayment-reporting process can hurt borrowers' credit scores if they fail to make consistent on-time payments.

Credit Builder Loans

With Fig Loans, consumers can work on their credit score with a short-term traditional loan. Borrowers also have the opportunity to improve or repair their credit score through a longer-term credit builder loan, also known as a reverse loan. 

If consumers can't get approved by a standard credit card issuer, they likely won't be able to get approved for an unsecured loan or most other types of loans without a deposit or collateral. 

The U.S. Consumer Financial Protection Bureau (CFPB) recommends that people establish a credit report or build credit with three credit options: a secured credit card, a retail credit card, or a credit builder loan, like the one offered by Fig Loans. 

Here's how the Fig Credit Builder Loans process works:

1. Application
2. Approval
3. Pay a one-time origination fee to open the account
4. Make monthly payments into a savings account for 12 months
5. Your payments are reported to Equifax and TransUnion (Experian later this year)
6. Your credit score increases as you make payments
7. Your money that has been saved is released to you, and your credit score is improved by an average of 47 points

There are no late fees with the credit builder loan. If a borrower's monthly payment is 29 days past due, Fig Loans will close the account and release the funds back to the borrower. That way, borrowers can build good credit when they pay monthly, but their credit rating can't be negatively affected by the loan. 

When closed at 29 days, the lender doesn't have to provide an unpaid or late payment report to the credit reporting agencies, so the loan only adds positive credit history, rather than hurting it. 

These types of loans are not designed to be a source of fast cash. The process does take time, and people needing immediate money should look towards the standard Fig Loan option. 

Early Repayment Savings

Fig Loans does not charge borrowers an early repayment fee.

In fact, those who repay their full loan balance prior to the pre-set loan term will see savings, and all unearned interest will be waived. 

Customer Support

Fig Loans has been known to provide quality customer service. All service representatives are available by phone, email, or text.

Within minutes of contact, borrowers will be connected to an actual Fig Loans staff representative. 

Socially Responsible Payday Lending

Fig Loans is the first FinTech company to be certified as both a B Corporation, in 2017, and as a Community Development Financial Institution (CDFI), in 2019. 

This means that Fig Loans is a responsible lender with policies that work with, not against low-income and underserved borrowers with bad credit.

Certified B Corporations balance "purpose and profit" by meeting high social responsibility, environmental performance, public transparency, and legal accountability standards.

CDFIs are certified by the United States Treasury Department's Community Development Financial Institutions Fund. This distinction is reserved for financial service providers that promote community development and serve low-income target markets. Most of these are community organizations like nonprofits and community credit unions. 

Positive Customer Reviews

The majority of Fig Loans reviews are 5-star, which is particularly unique in the payday loan industry. This alone suggests that the company is a transparent and trustworthy lender. 

Satisfied customers most frequently highlight the following:

• Quick and easy loan approval
• Reliable customer service
• Significant credit score improvement

In addition, Fig Loans consistently responds to reviews, demonstrating that it cares about its customers and wants to ensure a successful borrowing experience.

• Only Available in Six States
• Strict Eligibility Requirements
• High Interest Rates
• Low Maximum Loan Amount
• Debit Card Fee

Only Available in Six States

Currently, Fig Loans' personal loan services are only available in six states, with varying rates and terms*:

This lack of state availability limits the number of consumers with bad credit who can gain access to this company's beneficial lending services.

_{*Important note: Rates and terms may vary from what is displayed in the table.}

Strict Eligibility Requirements

To be eligible for a Fig Loans installment loan, one must live in one of the eight states (CA, FL, IL, MO, NM, OH, TX, or UT), and meet the following requirements: 

• 18+ years old
• Stable source of income
• Have an active checking account with 90 days of history
• Get your paychecks through direct deposit

The company's loan application process requires that consumers enter basic information and verifying their bank account with Plaid.

The potential borrower's payment history, income information, and previous loan information are used to determine loan amounts and approval, rather than a credit score. 

High Interest Rates

Fig Loans' installment loans carry an annual percentage rate (APR) ranging from 36 to 190 percent. When compared to mainstream personal loans and traditional loan standards, this is rather high.

The company's introductory loan APRs start on the higher end of the spectrum and decrease as borrowers establish a good history of making loan payments on their small-dollar loans.

As consumers transition into the secondary builder loan, loan rates and fees change because the loan has a different structure and purpose.

However, Fig Loans' interest rates are still low compared to other payday loan lenders in terms of online or in-store loans, auto title loans, and consumer installment loans, which may be the only other lending options available to people with bad credit who need to gain access to emergency cash.

The majority of payday lenders often charge over 400 percent APR and in some states, it can be over 1,000 percent APR. 

Low Maximum Loan Amount

Unfortunately, Fig Loans' financial services are not meant for people that need to borrow a large portion of money all at once.

Installment-based Fig Loans are small-dollar, short-term loans that are designed to help those who need fast cash, not for those who are looking for long-term financial solutions.

Customers are not allowed to borrow more than $500 at a time. This is a relatively low maximum loan amount, which can be constraining for people who need to borrow a bigger loan amount because they are experiencing financial distress.

Additionally, Fig Credit Builder Loans are meant to help build financial stability for long-term credit success, but it is a secured savings account, which is not designed as a quick cash advance or emergencies or medical bills.

Debit Card Fee

There is a 3 percent fee charged if borrowers make a payment with their debit card, rather than paying directly from their checking account.

Keep in mind that most other online payday loan lenders or in-store payday lenders don't even let borrowers make debt payments at all with a debit card. This is a great plus for payment convenience.