FAQ Category: Personal
What is a Share Covered Loan?
A Share Covered Loan, also known as a Share Secured Loan, is a type of loan in which the borrower uses funds from their savings or share account as collateral. This loan allows you to borrow against your savings without withdrawing the funds, and it...
Continue ReadingCan I still earn interest on my savings while it’s used as collateral?
Yes, even though the funds in your savings account are being used as collateral, they will continue to earn dividends during the life of the...
Continue ReadingHow much can I borrow with a Share Covered Loan?
The amount you can borrow is typically based on the balance in your savings account. In most cases, you can borrow up to the full amount of your share balance, although the exact amount may...
Continue ReadingWhat happens if I can’t repay my Share Covered Loan?
If you're unable to repay your Share Covered Loan, the funds in your savings account that are being used as collateral may be used to pay off the remaining balance of the loan. However, this could negatively impact your savings and credit score, so...
Continue ReadingDoes a Share Covered Loan affect my credit score?
Your payment history on a Share Covered Loan will be reported to the credit bureaus. Making on-time payments can positively affect your credit score, while late payments or defaults can harm...
Continue ReadingCan I pay off a Share Covered Loan early?
Yes, People Driven Credit Union allows early repayment of Share Covered Loans without penalties. Paying off the loan early can save you money on interest and free up your savings more...
Continue ReadingWhat’s the difference between a Share Covered Loan and an Unsecured Loan?
The main difference is that a Share Covered Loan is secured by your savings, which allows for lower interest rates and easier approval. An unsecured loan does not require collateral, so it typically comes with higher interest rates based on your...
Continue ReadingCan I use a Share Covered Loan to build credit?
A Share Covered Loan can be an excellent way to build or improve your credit. Because it's secured, it's often easier to get approved, and as long as you make on-time payments, it will positively impact your credit...
Continue ReadingWhat can I use a Share Covered Loan for?
A Share Covered Loan can be used for various purposes, including home improvements, debt consolidation, large purchases, or covering unexpected expenses. Its flexibility makes it a versatile borrowing...
Continue ReadingWhat credit score do I need to qualify for a credit card?
Most credit card issuers look for a fair to excellent credit score, typically ranging from 580 to 850, depending on the card. Higher scores generally increase your chances of approval and offer better interest...
Continue ReadingHow long does it take to get approved?
Credit card approval can take anywhere from a few minutes (for online applications) to a couple of business days, depending on the complexity of your financial...
Continue ReadingAre there any fees for applying for or using the card?
There are no application fees or balance transfer fees, but there are a few fees to be aware of: [table...
Continue ReadingWhat happens if I miss a payment?
Missing a payment can lead to late fees, higher interest rates, and potential harm to your credit score. To avoid this, it’s essential to make at least the minimum payment by the due date each month. Keep in mind that any missed or delayed payments...
Continue ReadingWhy was my PD Quick Cash application denied?
PD Quick Cash application decisions are entirely system-driven to ensure fairness and consistency. While we cannot provide specific reasons for denials, we’re happy to assist you in understanding the next steps or offering advice on improving your...
Continue ReadingCan I apply for a PD Quick Cash Loan over the phone?
PD Quick Cash applications can only be submitted online. To protect your personal information and meet our security standards, phone applications are not permitted. This ensures your privacy and guarantees that all required information is accurately...
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