Four community-focused companies are starting a course to save Maricopa County residents struggling to settle high expense name loans and help hook them up to a road to healthier credit and economic success.
This system is called вЂњLend a Hand,вЂќ and it is to be had through a partnership amongst the Arizona Community Foundation, MariSol Federal Credit Union, the Phoenix IDA, and take control America.
In line with the customer Federation of America, Arizona could be the seventh many concentrated name loan market in the united states. With its report, вЂњWrong Method: Wrecked by Debt,вЂќ the Federation also states any particular one in six title loan borrowers in Arizona encountered repossession of the automobile and associated charges averaging 1 / 2 of the borrowerвЂ™s loan debt that is outstanding.
вЂњIndividuals across our community are dealing with what’s called a financial obligation trap. They have caught in a vicious borrowing cycle of excessive interest levels, extortionate costs, and impractical loan terms,вЂќ said Juan Salgado, Phoenix IDA executive manager. вЂњThe provide a Hand loan system is an alternate for people who need assist paying down their loan in order to avoid losing their vehicle, ruining their credit, or even worse,вЂќ Salgado proceeded.
HereвЂ™s just just how a Lend a tactile Hand program works:
- Interested name loan borrowers can install an application and review eligibility needs at http://www.takechargeamerica.org/lendahand/ .