At EasyAZLoans, one of our Payday Loan companies is
Cash Advance Micro Loan
. It is a payday loan that you can apply for online and receive up to $1000. Credit is not a concern, as Cash Advance Micro Loan doesn’t check your credit rating. What they do is match you with a lender and within one hour, you can be approved for a payday loan. As long as you have a steady income and a bank account, you can apply. The funds will be transferred to your account within one business day. What does this have to do with Micro Loan Investing? It’s all part of an effort to fund new start-up businesses for those who cannot afford to obtain a traditional loan through a bank. These businesses can be home based or store front.
How Does Micro Loan Investing Work?
In the US and the UK, there are several micro finance lenders who receive their money from individual investors. These lenders receive support from individuals who assist them with collecting the money, assist in management of said funds and collected investments. According to one source, there are over 50 micro finance institutions that assisted borrowers by lending over $6 billion dollars. The loans given are small, usually ranging from $50 to $1000. It should be noted, however, that because the borrowers have little or no credit, their interest rates are quite high, up to 30%. But, the sources tell us, the default rate is among the lowest among lenders in the US. This makes perfect sense since anyone who has the will and the commitment to start a new business will do everything required to make it a successful one.
Is Micro Loan Investing Profitable?
No, the truth is the returns are very small. But if you are investing in Micro Loans for the sole purpose of helping others in their quest to realize the American dream of owning their own business, and eventually their own home – it doesn’t matter what the rate of return is because you are literally doing so for the greater good. No amount of money can equal that kind of personal reward!