.jpg){kind=avatar}
.jpg){kind=avatar}
Millennial's are well known to dislike credit cards however Backed has entered the market with a somewhat unique spin - reduce the interest rates on their loans by getting borrowers to line up sponsors with better credit histories to sign on to the loan as well.
“If you have a thin credit score we allow you to bring in a backer with a higher credit score to build in a two-step default mechanism… and we’re able to price the loans in a much fairer way,” Woltsovich says. “The main differentiator between a backer and a co-signer is that you’re responsible for the full amount of the loan as a co-signer and you’re only notified after the credit score is damaged.” Backed connects borrowers with lenders offering loans of anywhere between $3,000 and $25,000 at interest rates that average roughly 11%.
unknownx500
