This blog article discusses amigo loans, a small-business lending company that announced on December 13th, that they would be closing their doors as of December 24th. The company faced heavy losses upon announcing the closure.
What is amigo loans?
Amigo loans, formally known as the Social Investment Loan Programme (SILP), are a type of loan that are designed to help individuals in the UK access finance for small businesses. These loans provide short-term credit solutions for businesses with a low credit score and limited collateral, making them an ideal solution for small businesses who may not be able to secure traditional funding. Amigo loans are currently closing down, with the government announcing that they will no longer offer this type of funding. This announcement follows criticism of the programme from MPs, who argue that it is not accessible enough and does not support small businesses in the right way. The government has announced that they will instead focus on providing larger loans through the Business Loans Programme (BLP). SILP will still be available to business owners who need longer-term credit solutions, but there is concern over how these smaller loans will be able to compete against government-backed loans. This announcement comes as a surprise given the recent success of amigo loans. Between April 2016 and March 2017, SILP lent £497 million to over 17,000 businesses – a growth rate of 16%. However, this growth is likely to come to an end as the government announces that
Types of Amigo Loans in the US
Amigo loans are one of the most popular types of loans in the US. There are a lot of different types of amigo loans, so it can be hard to know which one is right for you. In this blog post, we will discuss the four main types of amigo loans and their benefits. The first type of amigo loan is the traditional amigo loan. This type of loan is usually shorter-term and has lower interest rates than other types of loans. Plus, you can usually withdraw your money sooner if you need to. These loans are good for people who need cash quickly but don’t necessarily need the highest interest rates. The next type of amigo loan is the installment loan. With an installment loan, you borrow money over time and pay back each installment with interest. The interest rates on installment loans can be higher than traditional amigo loans, but you usually have more flexibility with repayment options. If you can afford to repay your debt on time every month, an installment loan is a great option. The final type of amigo loan is the refinance amigo loan. This type of loan is similar to a traditional mortgage product. You pay down your
Why did amigo loans close?
Amigo Loans closed down in January 2017 after failing to find a sustainable solution to their financial issues. The company was founded in 2007 and served as a popular source of short-term loans for people in need. They offered online loans, personal loans, and payday loans, as well as products like insurance and credit counseling. In total, the company made over $200 million in loan transactions. After failing to find a sustainable solution to their financial issues, amigo loans closed down in January 2017.
Pros and Cons of amigo loans
If you are looking for a quick and easy way to get cash, amigo loans may be the perfect solution for you. However, before you take out an amigo loan, be aware of the pros and cons of this type of credit product. Pros: -Amigo loans are typically easy to get. All you need is a driver’s license, social security number, and address. -You don’t need to provide any collateral or proof of income. -The interest rate on amigo loans is typically very low, making them a relatively affordable option. Cons: -Amigo loans are not always reliable. If you cannot repay your loan in full on time, your credit score may suffer as a result. -An amigo loan may not be the best option for if you have serious financial concerns. These types of loans can exacerbate problems if you cannot repay them in a timely manner.
Alternatives to Amigo Loans
There are a few other options for borrowing money that you may want to consider when Amigo Loans closes down. First, check with your bank or credit union. They may be able to offer you a loan at a lower interest rate than Amigo Loans. Second, consider applying for a personal loan from a direct lender. This type of loan is often more expensive than getting a loan from a bank or credit union, but it could be a better option if you need quick access to money and can provide accurate information about your finances. Third, look into peer-to-peer lending platforms like Lending Club and Prosper. These platforms allow you to borrow money from friends and family members at interest rates that are typically lower than those offered by traditional lenders.
Sadly, many amigo loans are currently being closed down as the lending industry faces an uncertain future. It is important to be aware of these closures in order to protect yourself and your own interests, so read on for more information about what you need to do if you’re affected.