About lender
Progressa is a Canadian company that specializes in debt consolidation. Progressa was founded in 2013, and CB Insights named it to the 2018 Fintech 250, a list of the world’s top fintech startups in Canada. They operate across the whole country except Quebec and pride themselves on having served more than 30.000 Canadians.
Progressa offers loans to customers who need to pay off their outstanding debts in one go. The company’s mission is to increase people's financial literacy and improve their financial health. Progressa pays customers’ debts and sends money directly to the lender. They provide relatively small loans in the range of $1,000 - $15,000 for a short period: 6 – 60 months. However, if they don’t pay an overdue bill, they can provide a loan by direct deposit. What is more, Progressa helps customers with creating loan protection plans.
Features
One of the most significant features is that Progressa has a narrow specialization and deals only with customers needing debt consolidation services. Moreover, they provide larger loans than payday companies, at lower interest rates, for more extended periods. Furthermore, they help customers increase their credit scores and improve their credit history. When a client's debt is consolidated and paid off directly, their credit score can begin to improve immediately, which affects customers’ financial health. Finally, they look at data other lenders don’t, like bank statements, employment history, and earning potential. This leads to a better picture of the customer’s financial situation and allows the company to offer an appropriate solution.
Progressa has two ways of funding: direct payments to the lender and direct deposits to the customer.
The APR varies between 19% and 46.95%.
However, the company doesn’t deal with customers who have an active bankruptcy, consumer proposal, or credit counseling process, and the customers who have discharged bankruptcy may need a co-signer.
Pros and cons
Progressa’s services have some advantages but are not free from drawbacks. Find an analysis below.
Pros
The company declares to be one of the fastest-growing financial start-ups in Canada;
Their services help customers to empower their credit;
The company has an A+ accreditation by BBB;
The application form is simple and can be found directly on the website;
The approval doesn’t take much time. Usually, it is a matter of 1-2 days after applying;
The company has two ways of funding: direct deposit and direct payment to the lender;
All the necessary information is provided on their website;
If the customer can’t repay the loan and informs the company about it, they will not charge NSF fees.
Cons
The company doesn’t operate in Quebec;
They don’t deal with bankrupts. Even customers who have discharged bankruptcy may need a co-signer;
As we see, the company has some advantages. Their services help people increase their credit scores and improve their credit history. Also, the company grows very fast and has an A+ accreditation by BBB. Moreover, they have a simple application form, and approval doesn’t take much time.
However, there are some disadvantages. The company’s specialization is too narrow, so their services won’t be for people who need a personal or payday loan. Also, they don’t deal with the customers with an active bankruptcy, and even clients who are discharged may have some problems.
Loan conditions
Progressa’s loan conditions are straightforward. First, a customer must fit Progressa’s basic requirements, such as being a Canadian citizen, being at least 18 years old, earning over $1,500 net pay per month, and having been with their employer for at least six months. In addition, the company will ask to provide proof of income, proof of Canadian residency, two pieces of government-issued photo ID (such as a passport or driver's license), three months' worth of bank statements, and pre‑authorized debit form or void cheque.
Firstly, the client needs to fill out the application form on the website, which usually takes minutes. After that, the client must receive the approval, which takes between 30 minutes and a few days.
Methods of loan funding
After being approved, the customer will receive funding in 2 ways. The company can pay the client’s debts directly to the lender, or the client can receive a direct deposit.
