Possible Finance Review: Is it a Scam or Legit?

Possible Finance

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In the landscape of financial solutions for those with limited access to traditional banking services, Possible Finance emerges as a beacon of hope. It targets a niche yet significant segment of the population: consumers with bad or no credit history, offering them a lifeline in the form of small, high-interest installment loans. This innovative platform aims to bridge the gap between immediate financial needs and the pursuit of financial health, presenting itself as an alternative to the predatory practices of payday loans. With its unique approach, Possible Finance promises not only immediate relief but also a path towards building a better credit history for its users.

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Possible Finance Pros and Cons

Pros:

  • Quick Funding: Possible Finance stands out for its rapid approval and funding process, offering financial relief within minutes of approval in some cases​​. This swift turnaround is crucial for users in urgent need of cash.
  • No Credit Check: Unlike traditional lenders, Possible Finance does not require a credit check, making it accessible for individuals with bad or no credit history​​. This opens doors for those usually excluded from financial systems.
  • Potential to Build Credit: By reporting repayments to credit bureaus, Possible Finance offers a unique opportunity for users to build or improve their credit scores, provided payments are made on time​​​​.
  • Flexible Repayment: Repayment terms are aligned with the borrower’s payday, easing the financial burden and helping avoid default​​.

Cons:

  • High Interest Rates: Although lower than traditional payday loans, Possible Finance’s interest rates are still significantly high, which can exacerbate financial strain over time​​​​.
  • Limited State Availability: Services are only available in a select number of states, restricting access for many potential users across the country​​.
  • Short Repayment Terms: With repayment terms of only eight weeks, borrowers have a narrow window to repay their loans, which might not be feasible for everyone​​.
  • Possible Origination Fees: Some loans come with an origination fee of up to 25% of the loan amount, increasing the cost of borrowing​​.

In weighing the advantages against the disadvantages, it’s clear that Possible Finance fills a critical gap in the financial market for underserved consumers. However, the high costs associated with its loans underscore the importance of considering it as a last-resort option and thoroughly exploring alternatives before proceeding.

Possible Finance Products and Services

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Possible Loan

The cornerstone of Possible Finance’s offerings is its installment loan, designed to cater to those with less-than-perfect credit scores. Borrowers can access up to $500, which must be repaid over an eight-week period through bi-weekly installments. This product is particularly aimed at consumers who might otherwise turn to payday loans, providing a more manageable repayment schedule and the potential to build credit​​​​​​.

  • Loan Amount: Offers range from $50 to $500, allowing for flexibility based on the borrower’s needs​​​​.
  • APR and Fees: The APR can be steep, ranging from 91.25% to 248.67%, depending on the state. While these rates are high, they are still lower than traditional payday loans. It’s important to note that fees vary by state, and there might be an origination fee in some cases​​​​.
  • Qualification Criteria: Possible Finance does not perform traditional credit checks but instead focuses on income and banking history. Requirements include a compatible checking account, a valid ID, and a Social Security number​​.

Possible Card

In addition to its loan product, Possible Finance has introduced a revolving credit card option. This is a relatively newer product and serves as an alternative means of accessing credit without the conventional interest rates associated with loans.

  • Credit Limits and Fees: The Possible Card comes with limits of $400 or $800 and is subject to monthly fees of $8 or $16, respectively. However, it doesn’t accrue interest in the traditional sense, making it a potentially more affordable option for ongoing access to funds​​.
  • Eligibility: To qualify for the Possible Card, applicants cannot have an outstanding Possible Loan or a pending loan application. The card is aimed at helping users build credit, so timely payments are crucial​​.

Both the Possible Loan and the Possible Card are innovative financial products tailored to a demographic often overlooked by traditional banks and lenders. By offering these services, Possible Finance not only provides immediate financial relief but also contributes to the long-term financial health of its users by offering opportunities to build credit. However, the high costs associated with the loan product underscore the importance of using such services judiciously.

Possible Finance Reviews

The consensus among users and reviewers sheds light on the nuanced experiences with Possible Finance. A blend of positive feedback and critical observations paints a comprehensive picture of what borrowers can expect.

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Positive Feedback

  • Quick Access to Funds: Users frequently praise Possible Finance for its swift approval and funding process. Many highlight the ease and speed with which they can access needed funds, often within the same business day or shortly thereafter​​​​.
  • Credit Building: Borrowers appreciate the opportunity to build or improve their credit scores through timely repayments. Reporting to credit bureaus is a significant advantage for users looking to enhance their financial standing​​​​.
  • Customer Service: Reviews often commend the quality of customer service, noting that even when issues arise, the company’s response is prompt and helpful​​.

Areas for Improvement

  • High Interest Rates: Despite being lower than payday loans, the interest rates are still a point of contention for many. Users advise caution, as the rates can significantly increase the total repayment amount​​​​.
  • App Glitches: Some users have reported technical difficulties with the Possible Finance app, which can hinder the application process and overall user experience​​.
  • Limited Availability: The restriction of services to certain states has been a barrier for potential users living outside those areas. This limitation narrows the pool of individuals who can benefit from Possible Finance’s offerings​​.

Overall, while many customers have found Possible Finance to be a valuable resource in times of financial need, the experiences highlight the importance of carefully considering the terms and costs associated with their loans. The positive impact on credit scores and the accessibility for individuals with bad or no credit are significant advantages. However, the high interest rates and technical issues are aspects that prospective borrowers should be mindful of.

Possible Finance BBB (Better Business Bureau)

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While the direct citations from the Better Business Bureau (BBB) regarding Possible Finance were not available in the sources reviewed, it’s common practice to evaluate a company’s standing on the BBB as part of assessing its credibility and customer service quality. Here’s an analysis based on standard BBB evaluation criteria and the information provided by other reviews:

BBB Accreditation and Rating

  • Companies accredited by the BBB generally meet specific standards for business practices and ethics. While the exact status of Possible Finance’s accreditation could not be confirmed, businesses in the financial services sector often seek BBB accreditation to establish trust with potential customers.

Customer Reviews and Complaints

  • The BBB platform allows consumers to leave reviews and file complaints about businesses. For Possible Finance, potential feedback could range from experiences with customer service to the terms of the loans offered. Generally, a high number of positive reviews and resolved complaints can indicate a company’s commitment to customer satisfaction.

Resolution of Complaints

  • An important aspect of a company’s BBB profile is how it responds to and resolves complaints. Effective resolution is a positive indicator of the company’s dedication to its customers. Although specific details about Possible Finance’s responses were not provided, the company’s engagement with reviews and feedback on other platforms suggests a proactive approach to addressing customer concerns​​​​.

It’s always recommended to check the BBB website directly for the most current and detailed information regarding a company’s rating, accreditation status, customer reviews, and complaint history. This can provide valuable insights into the company’s business practices and reliability.

Possible Finance Cost

Understanding the cost structure of Possible Finance loans is critical for prospective borrowers. The company positions itself as a more accessible and somewhat more affordable alternative to traditional payday loans, yet it’s essential to navigate the specifics to fully grasp the financial implications.

Interest Rates and APR

Possible Finance’s loans come with a notably high APR range, which is a significant consideration for anyone considering borrowing. The APR varies by state but typically falls between 91.25% to 248.67%. While these rates are substantially lower than the triple-digit APRs often seen with payday loans, they are still considerably higher than most other forms of credit, including credit cards and personal loans from banks​​​​.

Fees

The cost of borrowing from Possible Finance doesn’t stop at the interest rates. Although there’s an emphasis on transparency, borrowers should be aware of potential origination fees. In some cases, these fees can be up to 25% of the loan amount. This fee structure is something to carefully consider, as it adds to the overall cost of the loan​​.

Repayment Terms

Repayment terms for Possible Finance loans are relatively short, typically spanning over 8 weeks with bi-weekly payments. This expedited repayment schedule can be both a pro and a con. On one hand, it allows borrowers to clear their debt relatively quickly; on the other, it demands a higher payment in a shorter period, which could strain the borrower’s finances if not carefully planned​​​​.

Comparative Analysis

When compared to traditional payday loans, Possible Finance does offer a more manageable and less predatory option. The ability to repay in installments, rather than a single lump sum, provides a more flexible arrangement. Additionally, the lower APR, compared to conventional payday loans that can soar well beyond 300%, makes Possible Finance a less costly option. However, when compared to personal loans from banks or credit unions, which typically have APRs ranging from single digits to around 36%, Possible Finance’s loans are expensive​​​​​​.

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Bottom Line

The cost of borrowing from Possible Finance is a critical factor to consider before applying. While it presents a viable option for those with limited access to traditional credit sources, the high APR and potential fees highlight the importance of using such loans judiciously. Borrowers should exhaust all other financial avenues and consider Possible Finance as a last resort for emergency funds, ensuring they can adhere to the repayment schedule without exacerbating their financial situation.

Conclusion

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In wrapping up this comprehensive review of Possible Finance, it’s clear that the platform offers a unique and necessary service for individuals with limited access to traditional financial products due to bad or no credit. While its loans provide a quicker and potentially less expensive alternative to payday loans, the high APRs and fees underscore the importance of considering Possible Finance as a last-resort option.

The opportunity to build credit and the flexibility in repayment terms are significant benefits that set Possible Finance apart. However, borrowers should be diligent in evaluating their ability to meet the repayment schedule to avoid further financial strain. As always, exploring all available financial options before committing to a high-interest loan is advisable for maintaining long-term financial health.

Frequently Asked Questions

How does Possible Finance help improve my credit score?
Possible Finance reports your loan repayments to the three major credit bureaus, which can help improve your credit score if you make your payments on time. This feature distinguishes it from many payday lenders and cash advance apps that do not report to credit bureaus​​​​.

Can I get a loan from Possible Finance if I have bad credit?
Yes, Possible Finance does not perform traditional credit checks. Instead, it focuses on your income and banking history to determine eligibility, making it accessible to those with bad credit or no credit history​​​​.

How quickly can I receive funds from Possible Finance?
Funding can happen within minutes of approval, depending on the time of day your loan is approved and the method of fund transfer you choose. Some users report receiving funds the same business day or within one to two days after approval​​​​.

Are there any fees associated with Possible Finance loans?
Yes, while there are no late fees or prepayment fees, Possible Finance’s loans come with high interest rates, and in some cases, an origination fee of up to 25% of the loan amount may apply​​​​.

In which states is Possible Finance available?
Possible Finance offers loans to residents of 21 states, including Alabama, California, Delaware, and others. They are continuously working on expanding their services to more states​​.

Is Possible Finance accredited by the Better Business Bureau (BBB), and what is its rating?
While specific details about Possible Finance’s accreditation and rating on the Better Business Bureau (BBB) were not directly available from the sources reviewed, businesses in the financial sector often pursue BBB accreditation to demonstrate their commitment to trust and ethical business practices.

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