5 Qualities to Look for in a Direct Lender

If you need quick cash, you may be considering borrowing from a direct lender. This can be a solid option for people who have an unexpected expense and a viable plan for repaying the loan on time and in full.

At Lending Bear, we’re here to provide a variety of loans to meet borrowers’ financial needs. In this guide, we’ll discuss the 5 qualities to look for in a direct lender.

Excellent Reputation

When researching a lender to borrow from, you’ll want to look for excellent reviews of the company. You should be able to determine that previous customers have had satisfactory experiences with the lender’s representatives and the overall loan process.

At Lending Bear, we have over 5,000 5-star reviews that reflect our commitment to offering a smooth, hassle-free, transparent, and accessible loan process. We’re also proud to be the #1 rated payday loan company on BloggerLocal.

Our A+ Better Business Bureau rating reflects the BBB’s confidence that our business practices are trustworthy and that our commitment to customer satisfaction and communication is high.

Look for a State-Licensed Direct Lender

It’s always advisable to look for certified lenders to better protect your information and finances. At Lending Bear, we are a state-licensed direct lender. This means that we are legally allowed to accept loan applications and operate as a direct lender in the state where we operate. If a direct lender can not provide proof that they are state-licensed, it’s not safe to do business with them.

Look for a Direct Lender that Follows Industry Best Practices

As a borrower, you’ll want to make sure that you work with a financial institution that follows the industry’s best practices of business operations. At Lending Bear, we are a member of the National Pawnbroker Association, our website is Level A ADA (Americans with Disabilities Act) compliant, and as a member of INFiN, we meet INFiN best practices.

At Lending Bear, we meet INFiN best practices by being in full compliance with all federal and state laws and regulations, holding all necessary licenses and registrations, following truthful advertising and disclosure, resolving customer complaints, maintaining privacy, following appropriate debt collection practices, following industry monitoring, complying with managing any vendor relationships, supporting balanced financial legislation, and displaying the INFiN membership seal.

Transparent Loan Information

Lenders legally must disclose the full cost of the loan including interest rates and any upfront fees before a borrower agrees to the terms of the loan. If a lender is not upfront with you about the terms of the loan, not only is this practice unethical, but it’s also a violation of the Truth in Lending Act.

If you are working with a lender who is not readily willing to discuss the terms of your loan in a clear and easy-to-understand language, then this is a major red flag to walk away from that company. At Lending Bear, we strictly follow the Truth in Lending Act, not only because this is the law, but because we are highly committed to providing a transparent, easy-to-understand, accessible loan process to our borrowers.

Personal Information Security

Direct lenders must ensure the protection of your personal information. When applying for some types of loans, you may need to provide in-depth information such as your address, banking information, social security number, etc. Lenders should practice gold standards of security protection at their in-store locations and online.

At Lending Bear, our website is encrypted, protected by firewalls and anti-virus technology, passwords are protected, and databases are access restricted. Our online and in-store representatives are trained to handle personal information with the utmost care, and sensitive physical documents are kept in secure locations.

Contact the Pros at Lending Bear

At Lending Bear, we understand the importance of providing a high-quality, fair, accessible, and transparent loan process. If you need a highly reputable direct lender, contact us and find out how we can help you today!