Helping to Build
Your Financial Story
A TruPartner Credit Builder Loan provides you with the opportunity to build or rebuild your credit history. At the same time it helps establish a habit of setting aside something every month or every paycheck.
How it works… The amount you borrow is deposited into your savings account. No up front deposit is required. You then make regular payments on the loan, establishing a positive payment history. We report this to the credit bureau, and as a result, your credit score improves. A higher credit score translates into better rates on future loans and can have a positive impact on the cost of other services including insurance, rental agreements, and employment.
Credit Builder Loans are offered at a low interest rate and since the loan amount is deposited into savings, you earn interest on the amount borrowed, further reducing the cost of the loan. Your net cost to improve your credit is a few dollars a month for the term of the loan. Compare this to the savings you’ll get from lower costs on future services.
Credit Builder Loans are offered for a minimum of $500, up to $2,000. The term on the loan can be anywhere from 9-24 months. There is no prepayment penalty. You must be at least 18 years old to qualify.
When the loan is paid in full… You can withdraw the funds from savings and put it to a variety of uses – the down payment for a major purchase that can now be financed at a better rate; or an emergency fund for unexpected expenses; maybe you use it to pay off other debt, freeing up income and further improving your credit score.