We all know that payday loans can be dangerous. Those quick and seemingly, “easy solutions” can be extremely costly, with many payday lenders charging $75, or more, for a loan of $500 for two weeks or less - this equates to an Annual Percentage Rate of 400% or higher.
Police FCU has a better alternative. Get cash, from $250 to $500, to tide you over until payday, and unlike those payday lenders, we’ll give you up to 3 months to pay the loan back and at a reasonable rate of interest.
It’s easy to qualify for our Quick Draw Loan:
To apply for your Quick Draw Loan, simply complete an application, provide a recent pay stub (within 30 days) and pay the $20 application fee. As long as you meet the above criteria, your loan will be ready for you within a few hours, if not sooner.
We want to help you eliminate the need for these types of loans and have financial counselors on hand to help you establish a budget and start building a savings account. In fact, we’ll offer you a lower rate of interest on your Quick Draw Loan if you want to start building that savings account with 10% of your Quick Draw Loan proceeds.
For example, if you deposit $50 from a $500 Quick Draw Loan to a savings account with the Credit Union, we’ll lower your interest rate to 18% APR. Otherwise, your rate will be 24% APR*. The total cost for a loan of $500 for 3 months would be either $35 or $40 including the $20 application fee depending upon whether you elect the savings option. Compare that with payday lender fees for only 2 weeks.
*APR = Annual Percentage Rate.
Payment example: $500 loan at 18% APR for 3 months is equal to a monthly payment of $171.60.