Commitment to Action

No-Cost Cash Loans: Breaking the Cycle of Debt

Commitment by

Zebit

In 2016, Zebit Inc. committed to funding the creation and implementation of a no-cost, zero interest loan which employers can offer to their employees as a benefit. This loan product will provide an alternative to expensive small dollar loan products. Access to affordable small dollar loans is a challenge for many Americans, especially for those with no credit score or low credit scores. The annual interest rates for small dollar loans vary between states, but can be as high as 400% per year. Through this program, 16,250 workers will receive a loan of up to 5% of their annual salary to be paid back to their employer without interest using a card product (such as a debit card or payroll card) over a pre-determined time period. This commitment will reduce financial stress for Americans who need access to capital during financial emergencies.

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Overview
Summary

Commitment

No-Cost Cash Loans: Breaking the Cycle of Debt

Launched

2016

Est. Duration

2 years

Estimated Total Value

$500,000

Region

Northern America

Countries

United States

Commitment by

Zebit