How to Choose a Trustworthy Money Lender: A Borrower's Checklist
Key Takeaways Licensed money lenders are regulated at the state level. A trustworthy lender holds active licenses in every state it operates in. A direct lender uses its own capital and signs the loan agreement directly with the borrower. A broker routes the application to third parties, which often leads to contact information being sold to multiple companies. Federal Truth in Lending Act rules require five disclosures in writing before signing: loan amount, finance charge, APR, total of payments, and payment schedule. A lender that won't provide these in writing is a warning sign. A six-point checklist (licensing, direct-lender status, full disclosures, real customer service, identifiable company history, and clean advertising) separates strong money lenders from weak ones. Money Stash is a licensed direct lender operating in Idaho, Missouri, South Carolina, Utah, and Wisconsin, making loans from $100 to $1,250. Bills don't wait. Rent is due on the first. The car needs a...