Debt Settlement Companies Can Save Thousands With Early Graduation Loans
Freshstart Lending partnered with Greenbacks Consulting to learn how much a debt settlement company can save in overhead when they make use of early graduation loans.
SHERMAN OAKS, Calif., June 28, 2021 (Newswire.com) - Freshstart Lending, a division of LendingUSA, offers a new way to scale and increase cash flow for debt settlement companies through an early graduation loan. In addition to benefiting the debt settlement companies, this provides a fast track to financial recovery for clients.
After making six months of consecutive on-time payments towards their debt settlement program, clients may be eligible to move to Freshstart's loan program to begin their financial recovery. In traditional debt settlement programs, this process may take years. Only after that time has elapsed will all their enrolled debt be settled.
By taking on clients for six rather than 36 months, debt settlement companies can transform their cashflow and accelerate fee payment. When costs per client decrease with a solution such as the Freshstart early graduation loan, it becomes easier to scale business as it grows.
Early graduation loans allow debt settlement companies to potentially save thousands of dollars on overhead by reducing the servicing time required for each eligible client. Overhead expenses can lower as debt settlement companies move along their clients faster.
With Freshstart Lending, debt settlement companies are paid up-front and in full when they utilize their clients' early graduation loans to pay off enrolled debts. The only cost to the debt settlement company is a fee per funded loan. "Freshstart Lending offers both a flat fee and a percentage, so debt settlement companies can decide what works best," explains David Rueda, Executive Vice President at LendingUSA.
"For most debt settlement companies the [flat fee] is an easier way to manage it internally," says Teresa Dodson, CEO & Founder of Greenbacks Consulting, Inc. Additionally, a flat fee can be more beneficial as debt settlement companies scale their business. While some may wonder why they must pay a fee, Teresa explains that it's important to look at the larger scope of the debt settlement business.
Freshstart Lending offers a solution for both debt settlement companies and their clients. Clients may start their financial recovery faster, and debt settlement companies can enjoy improved cashflow, scalability, and customer satisfaction.
About LendingUSA
LendingUSA is an award-winning point-of-sale fintech company that offers merchants a seamless financing solution with access to loan decisions in seconds, promotional financing terms, and low monthly payment options for its customers across various niche markets. Founded in 2015, LendingUSA has enrolled over 10,000 merchants nationwide and has processed over $2 billion in borrower loan requests. LendingUSA is committed to creating the best financing experience available through its proprietary point-of-sale lending solution. The company boasts a consumer rating of 4.8 out of five stars on BirdEye. All loans are made by Cross River Bank, a New Jersey state-chartered bank, Member FDIC.
Press Contact
Alex Lancaster, Content Marketing Manager
Source: LendingUSA