Summary: If you’re looking to borrow money and need it fast, there are several options available to you. While credit cards and personal loans are popular options, you may find it hard to qualify if you have bad credit.
One company that is rising in popularity among bad credit borrowers is RISE Credit.
RISE Credit allows you to borrow up to $5,000 and get the funds deposited into your bank account as soon as the following business day.
If you’re looking for in-depth RISE Credit reviews to help you determine whether you should apply, you’ll want to keep reading.
In this RISE Credit review, we’ll be going over how RISE works, dissecting their loan fees, and also shedding light on what makes them different from other short-term lenders.
What Is RISE Credit?
RISE Credit is an online installment loan for bad credit borrowers and they assign rates and loan amounts according to each person’s income.
You can borrow anywhere from $500 to $5,000 and use the money for any purpose.
RISE Credit is available in 33 U.S. states right now and offers line of credit in Kansas and Tennessee.
Their loan options are not one-size fit-all so how much you can borrow and your interest rate will vary depending on your state and your financial situation.
For example, in my home state of Illinois you can borrow anywhere from $2,000 to $4,000, choose a payment term of 15 - 25 months, and you can expect an interest rate of 60% to 99%.
In order to qualify for a loan you need to meet these minimum requirements.
- Be at least 18 years old (19 in Alabama and Nebraska)
- Live in a state that Rise Credit services (view the list of states here)
- Have a job or regular source of income
- Have an active and valid checking account (savings and prepaid accounts won’t be accepted)
- Have an email address to receive account information
How Does Rise Credit Work?
Getting started with RISE Credit just requires a few easy steps then you could be well on your way to receiving your loan funding.
Use their secure online application form to see if you qualify for a loan. RISE makes it clear that when you submit an application to check your loan options, you will get a soft inquiry from TransUnion and Clarity which will not affect your credit score.
However, they may obtain information from Teletrack, which would result in a hard credit inquiry that could affect your overall credit profile.
When applying for any type of credit, it’s important to understand that submitting an application will likely result in a hard inquiry on your credit report. Hard inquiries can stay on your report for up to 2 years.
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Consultation is quick, easy, and free.
After submitting the online application, you’ll get a decision in minutes. If you get approved, you’ll be prompted to choose your loan amount and terms.
How much you can borrow and your interest rate will depend on your credit profile and your state’s guidelines.
Your repayment term will also depend on your state but most states allow you up to 26 months to pay back the loan.
The final step is to get the loan funds deposited into your account. This is why it’s so important to have an active checking account before applying.
Once your loan is approved and you’ve chosen your terms, the loan funds can be deposited directly to your checking account by the following business day.
Just complete your loan application before 6 pm ET on Monday - Friday (preferably a non-business holiday) to receive your money in the quickest amount of time.
RISE offers a 5-day risk-free guarantee which means you have 5 business days to cancel the loan. Just repay the full loan amount in this timeframe and you won’t face any fees.
How Much Does RISE Credit Cost?
RISE Credit loans don’t have origination fees so the biggest cost you will have to worry about is interest. Some of their rates are nearly as high as a payday loan. This is the major downside of getting a loan through the company.
How much a loan with RISE Credit costs will vary depending on your state. I mentioned how in my home state of Illinois, the interest rate can be as high as 99% for a RISE loan.
However, in Texas, your rate could be as high as 299% and RISE will also charge borrowers a CSO fee. CSO stands for Credit Services Organization and it basically means that Rise is charging a fee to help you find a lender in your state for your loan.
Not every states that RISE Credit helps service has a CSO fee attached to the loan. Still, this is just something to keep in mind. Let’s take a look at how much you might pay if you got a Rise loan in Texas
As you can see, the payment term in this example is shorter so you’d make a payment every two weeks for about 5 months to pay the loan off. Due to the high interest rate, you’d spend $333.60 to make each bi-weekly payment if you borrowed $2,000 at a 275% interest rate.
This means by the end of your term, you would have paid back $3,336 to borrow $2,000. There is the option to pay your loan off early with no penalty fees and this could help you save some money as well by paying less interest over time.
Is RISE Credit Just Like a Payday Loan?
After seeing how high the interest rate with a RISE loan can get, you may be wondering what makes this company so different from a typical payday loan company.
RISE Credit tries to set itself apart from traditional payday lenders with a few different features.
The average payday loan rate in the U.S. right now is 400%. The APR of RISE loans ranges from 50% to 299% depending on the customer's state of residence and approval rate.
RISE encourages borrowers to pay back the loan early with no prepayment penalties.
They also offer a service called Free Credit Score Plus to provide spending tips and tools along with a way for you to track your credit. Another benefit is that RISE can elect to lower your interest rate if you continue to make on-time payments.
This isn’t guaranteed but RISE has dropped rates for over 150,000 borrowers as a way to reward people who are making responsible credit decisions.
While RISE is certainly not the best loan option around due to their high rates, they do try to appear as a step up from a payday lender.
Does RISE Credit Work?
RISE Credit is a legitimate loan company that helps borrowers with bad credit get approved for short-term loans in their state. You can repay your loan by check, ACH, or by debit card according to your repayment term schedule.
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As with any loan, if you stop making payments on your balance, you could incur fees and other penalties. RISE Credit tries to help avoid this situation by allowing borrowers to request a payment extension up to 7 days.
What Credit Score Is Needed For A Rise Loan
Rise Credit Loans are in a position to be able to help people with bad credit and lower credit score.
The credit score needed for a Rise Credit Loan depends on a number of factors, including your credit history, income, employment, and which credit score they pull.
RISE Credit Complaints
Wondering if RISE Credit has negative complaints from customers? Of course they do just like any other loan product that’s available.
There have been some complaints about the high interest rate for their loans.
Other customers have complained that RISE does not provide enough assistance to those who may be struggling to make payments due to financial hardship.
Aside from their option to extend your payment due date, customers who have fallen on hard times say they have no other relief as late fees and interest piles up.
This is the risk borrowers run when they apply for any kind of loan. You may run into a financial setback making it difficult to continue submitting timely payments.
RISE Credit Pros and Cons
Just like every credit option, there are pros and cons and RISE Credit is no different.
- Quick and easy loan approval for borrowers with bad credit
- Loan funds can be deposited as soon as the following business day
- 5 days to try out RISE risk-free and return the loan if you decide it’s not the best option for you
- Ability to request a payment extension up to 7 days
- No penalties for paying your loan off early
- Free access to your credit score
- High interest rates
- Hard credit pull is likely
- Only available in a limited number of states
RISE Credit Reviews: Final Take
RISE Credit is geared toward borrowers serving borrowers with bad credit who may not have other borrowing options.
They make their loan rates clear on their website and also express that they may not be the best borrowing option for you.
Due to how expensive the loan can get RISE Credit shouldn’t be your primary loan option if you have other alternatives.
While RISE charges a high rate just like many other bad credit lenders, it does seem like they do a little more to help borrowers get a better credit score so they may not need to use their services in the future.