One-third of Shreveport residents rely on payday loans to handle financial emergencies or other financial obligations. Pay day loans are loans in small dollar amounts, usually under $500 ($350 in Louisiana), and are due on the borrowers next pay day. They are also very expensive, often carrying triple-digit interest rates (annual percentage rate) as high as 782% (APR) on a $100 loan. If the borrower is not able to pay off the loan on their next pay day, he or she can roll it over again and again, which adds more fees, even as the interest continues to be added. As the total amount owed increases, the borrower gets trapped in a cycle of debt.
Below, Bank On Northwest Louisiana partner banks and credit unions offer a handful of loans as an affordable alternative when financial emergencies or new obligations arise. These loans have varied lending limits and requirements. However, each offers longer repayment terms and more affordable interest rates, which allow the borrower to get a loan when needed and pay it off responsibly.
Contact the bank or credit union directly to learn more about their loan.
Amount of Loan: $1,000 and above.
Special Note(s): Debt to Income Ratio will have to be a deciding factor and based on type of loan, i.e. unsecured/auto/home. BancorpSouth currently participates in the SEED program with City of Shreveport that offers low interest rates for home improvements.
Amount of Loan: $100 – $1,500
Term: Up to 12 months.
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Amount of Loan: $500 – $3,500
Term: Up to 36 months.
Special Note(s): Red River Bank offers small dollar loans at competitive interest rates. Standard fees apply, and there is no prepayment penalty. Applicants must meet the bank’s underwriting requirements in order to be eligible for participation.
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