What is Zippy Loan? Review with everything you need to know

The payday loans of all life used to be requested in stores. There, those interested could cash their checks and ask for a small credit to obtain immediate liquidity. Of course, not all of its features were (or rather are) as good as they seem. The high interest and payment terms could be quite aggressive, at least when compared to other loans on the market. ZippyLoan is a new way to access what those stores used to be.

Usually, Those lender stores can now be found online, giving people who need cash right away the opportunity to apply for a small personal loan without leaving their home. This is exactly where ZippyLoan comes in.

What is Zippy Loan?

Contrary to popular belief, ZippyLoan is not a financial institution. It also does not function as a broker or lender. The only thing that the page offers is a service that connects people who need moderate credit with the institutions that could grant it.

Most of the loans that you will find in ZippyLoan are of a personal or family type. This type of credit generally is not subject to any type of guarantee; so the applicant will not have to provide anything more than proof of identity, as well as determining what their main source of income is.

Once the applicant enters and submits their personal information, ZippyLoan will contact over a hundred lenders who will offer you plans that fit your needs. But we are going to evaluate this digital option much more thoroughly.

Remember, ZippyLoan is not a lender

ZippyLoan is not a platform that grants credits. It is also not a bank or lender. And that is, what ZippyLoan really does is offer a secure marketplace where people can access different loan offers. With its versatility and low demands, there is no doubt that this platform could be great for people with no credit or a low credit score.

Most are payday loans

Many of the short-term loans offered by lenders on ZippyLoan aren’t exactly the best way to raise funds because they tend to be subject to very high fees, surcharges, and fees. Keep in mind that when applying for a ZippyLoan payday loan, the payment date of each installment will be scheduled to coincide with the day on which the last deposit of your salary was made effective in your bank account. Conclusion? If you do not have a fixed or reliable source of income, it could be very difficult for you to pay this type of financing. Why? Because of the high commissions that the lender will charge you!

To give you an idea, in ZippyLoan payday loans you will have to pay an additional $10 to $30 for every $100 you borrow. The total amount of the loan (together with the related fees and commissions) must be paid within 14 days or at the time of receiving your next payment.

Let’s look at an example

Let’s say you apply for a loan with a $15 surcharge for every $100 you borrow. That means that if you request about $500, you would have to pay $560 when the loan matures, that is, two weeks after requesting the loan. Paying a fee of $15 dollars for every $100 you borrow – an amount that, moreover, is payable in 14 days – means that you would be committing to pay around 391% annual interest.

In fact, the latest report from the Consumer Financial Protection Bureau (CFPB) showed that the majority of consumers who use payday loans tend to fall into a kind of endless cycle, in which they must request a new loan to be able to replace the amount they have lost from their salary.

So much so that borrowers typically take about 10 payment days a year to cover their debts.. This is because the fees on these types of loans are very high, and people tend to refinance the debt several times before they can pay it off in full.

Tip: Take into account all the credit alternatives that you have at hand before deciding to apply for a payday loan. If you have already evaluated the options and believe that this is the best because you have a good salary, your job is stable and you are 100% sure that you will not refinance the debt; ZippyLoan may help you find the best offer on the market.

It will not give you a guarantee that they will grant you the loan

Although ZippyLoan is responsible for connecting borrowers with lenders, the platform does not guarantee that they will actually grant you the loan you need. If your income or credit history does not meet the requirements of the financial institution offering the loan, you may not be eligible..

Keep reading: 8 Alternatives to Credit Card Cash Advances

It can help you if you have a fair credit score

If you are looking for a personal loan, ZippyLoan could be perfect for you as it will connect you to a network of lenders offering fairly competitive interest rates or, in other cases, unsecured personal loans to consolidate debts, make home improvements, or cover other large or unforeseen expenses. This is undoubtedly a relevant advantage, especially if your credit score is not great, you are too young or have bad credit at the moment.

The payment terms for unsecured personal loans that you will find in the ZippyLoan network range from six months to six years. And the interests? Usually, the APR of the loan is between 12% and 35.99%.

Note: Keep in mind that you may not qualify for the rates advertised on the page, since ZippyLoan is only a marketplace and therefore does not guarantee the interest rates that each lender will offer you.

Tip: Always compare the rates offered by ZippyLoan lenders with those that traditional banking would offer you. Think that, believe it or not, many banks and credit unions could extend you a much more attractive loan.

Not available nationally

Unfortunately, ZippyLoan does not offer its services nationally. In fact, residents of New York, Oregon, West Virginia and Washington DC will not be able to access the loans of the platform.

Tips for applying for a personal loan through Zippyloan

If you need an urgent loan, here we tell you some of the things you should take into account before applying on the platform.

  • Please note that loan amounts range from $100 to $15,000. The exact amount that the lender will approve will depend on your credit history or score, your monthly income and other eligibility conditions established by each participating institution.
  • Be careful with payday loans! Remember that even if the amount is small, you will have to pay it on your billing day. Make sure you read the contract very well -including the fine print- before accepting and do not forget that this type of loan usually has an APR of more than 300%.
  • Loans are generally unsecured. Most of the loans offered at ZippyLoan do not require any collateral. What does this mean? Which, fortunately, you won’t have to use your car to ensure credit payment.
  • Funds will be available quickly. Once the loan is approved, the money will reach you almost immediately. (Next business day)
  • Interest rates vary, and a lot! Remember that ZippyLoan is not responsible for granting loans, so it does not guarantee that lenders will offer you a loan subject to one of the rates published on the platform.
  • Technically, there is no minimum credit score required. Although ZippyLoan does not guarantee that you will get a loan, you may qualify for one of the many on the platform, even if your credit score is fair or poor.

Who could benefit from ZippyLoan?

ZippyLoan specializes in connecting people who have a bad credit score (or a fair credit score) with various lenders who will offer them fast and instant financing. Obtaining a loan through the platform could be a great solution for those who are going through a personal emergency or for those who momentarily do not have the necessary liquidity to pay their debts or expenses.

If you do not have a credit card and do not qualify for other traditional loans, ZippyLoan could be a viable alternative. Of course: be very careful with what you sign to avoid falling into a financial loop of endless debt.

How to apply for a loan with ZippyLoan?

Since Zippy Loan is not a lender, you will not be able to apply directly through the company. So how to do it? First, go to the ZippyLoan website and click on the “Get started” button. Now, fill in the form with the requested data, as your source of income, your credit score and your bank account information.

After you submit the form, ZippyLoan will forward this information to its network of lenders, who will make offers to you based on the information you have submitted. If you want to accept any proposal, you must complete the individual application that the lender sends you, which is usually an online application.

Remember: Lenders will certainly check your credit score and will also assess the accuracy of the information you provide them.

Not sure if ZippyLoan is for you? Take a look at these platforms

If you are looking for a personal loan and you do not have the credit you would like to go to your trusted bank, do not worry! Even if you haven’t loved how ZippyLoan works, we will give you some similar options:

  • Advance. Avant has unsecured loans for those borrowers who have a fair credit score or a little better than that. The good? It does not charge penalties for advance payments.
  • OneMain Financial. What we like about OneMain Financial is that it works with borrowers who have fair or even poor credit scores. You may have to establish some guarantee, like a car, for example, but there is a factor that compensates: the reimbursement terms are quite reasonable.

In short, what is ZippyLoan? All you need to know

ZippyLoan could be a great alternative for younger consumers because they don’t yet have enough credit history to have a good credit score. It would also be a good option for those who, without being young, are going through a bad financial time or do not have the best score in the world.

But wait! Before looking for a lender using ZippyLoan, we invite you to take a look at the pros and cons of the platform:

pros Cons
Loans as small as $100 Payday loans are subject to sky-high fees
Loan options for people with bad credit There is no guarantee that the lender will grant you the loan
Possible immediate financing (Next business day) Your information will be sold to a network of lenders
You can complete the process online Not available nationwide

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