History about The Borrowing Club and what you need to know
The Borrowing Club is based in Pompano Beach, Florida, and has been in business since 2017. It’s licensed to do business as a lender in Florida and California. It provides personal and business loan consulting, advice and assistance to people looking for unsecured personal loans. It isn’t a direct lender, though it’s licensed as a lender in five states.
The Borrowing Club (TBC) is part of the Consulting Services Industry. The club has 9 total employees across all of its locations. Loan amounts range from $10,000 to $100,000, according to a few areas of the website, though one area lists the maximum personal loan at $500,000. Loans are for one to five years.
In this strategic mechanism, African countries “club” together, taking loans together and using each other’s growth prospects as collateral. The loan repayments will be small, and with low interest to allow easy payment – while also sufficient to build in a “cushion” for temporary collateral.
Borrowers will appoint a representative on a rotational basis to interact with creditors on their behalf.
In the event a project faces any challenges, delays on repayment issues then the borrower committee must agree for the cushion to be made available to support temporarily. Most importantly, borrowers in arrears do not get more loans.
The strategy of a borrower’s club has been proven in countless communities around the developing world. In fact, it entered the development literature when Yunus identified a group of poor women villagers who took loans together and used each other as collateral.
Yunus started by lending US$27 to women like these in 1976. By 1998, his microfinance initiatives had lent US$2.3 million; giving more communities’ access to credit that was not otherwise available.
This is just one reason why the Borrower’s Club is an innovative and timely strategy, enabling African countries to empower each other to access credit more easily – credit to build the infrastructure necessary for economic growth.
The services include explaining to clients the current cost of their debt service and how a consolidated loan program can save them money. Borrowing Club helps people rebuild their credit profile through debt settlement and consolidating high-interest debt.
How does The Borrowing Club work?
Potential borrowers must join The Borrowing Club by filling out an online form or calling a customer service phone number. The prequalification process takes about five to 10 minutes.
The Borrowing Club helps consumers find personal loans for debt consolidation that can be used to lower and consolidate monthly credit card debt payments. The loan amount can be used to pay off your outstanding debts.
You’ll then have one loan payment to make at a set rate.
You can only request for a loan from $5,000-$100,000. You can only be given loan within the range of $100,000.
How much does The Borrowing Club cost?
The Borrowing Club isn’t upfront about how much its services cost.
The good news is that the company says it doesn’t charge any up-front fees. Also, applicants aren’t obligated to choose a loan that’s offered by its loan providers.
TBC only charges a consulting fee if a borrower chooses a third-party loan that TBC finds. It doesn’t say on its website how much the fee is. The fees TBC charges customers who take on loans it recommends seem to be the main way it makes money.
Lenders will probably charge you fees and must disclose those fees in the loan documents that detail the repayment terms. They can include an origination fee, prepayment penalties, late fees, and application fees.
At the bottom of every page are the normal disclaimers. The last one gives an idea of how much lenders could charge. It states that interest rates range from 5% to 35.36%.
It gives the example of someone with excellent credit seeking a loan for $10,000 getting an interest rate of 5%, and an origination fee of $111 for an APR of 5.74%. The fees would be deducted from the loan amount, leaving the borrower with $9,889 and 36 monthly payments of $299.66.
Types of Loans the Borrowing Club will help you find
- Personal Loans
- Business Loans
- Consolidation Loans
- Home Improvement Loans