CBLP is a consumer loan program available to any employee in the Target Market. The loans are secured with the employee’s leave/vacation/sick time. Client’s payments are payroll deducted to LLFS. With all loans at 8% interest, the CBLP loans can vary in duration from 6-18 months in an effort to provide a substantial credit history.
- The CBLP Loans are designed to build a positive credit history. Since half of the employees in the Target Market are unbanked, the CBLP provides a method for bankability by reporting the credit to the 3 major bureaus. Many CBLP recipients struggle with access to affordable credit. The CBLP provides affordable, safe loans while boosting the client’s bankability.
- CBLP loans inject money into the Target Market economy. Banks typically break even or lose money on making small consumer loans like the CBLP loans. Because of the affordability and availability, LLFS makes over 500 CBLP loans a year. With an average loan of about $1000, the Target Market economy realizes an influx of over $500,000 that would otherwise not exist.