Empower Review

What are Empower Loans?

Empower loans encompass diverse offerings such as the Empower Thrive line and Empower Cash Advance.

The Thrive line, subject to credit approval, offers customers a chance to access credit up to $250 instantly, with the potential to grow up to $1000 over time. It stands out not just for the financial support it provides, but also for its flexibility, with no additional credit card needed, and its focus on helping users build a positive credit history through timely repayments.

On the other hand, the Empower Cash Advance provides instant access to amounts ranging from $10 to $250, ensuring financial support when it's needed most, without interest, late fees, or credit checks.

Key Features

1. Flexible Repayment Options. Customers can benefit from flexible repayment options tailored to their financial situation, ensuring manageable repayment plans for both the Empower Thrive line and Cash Advance.

2. Credit Building Opportunities. The Empower Thrive line of credit offers customers the chance to build or improve their credit history through timely repayments and regular credit limit increases.

3. No Interest or Late Fees. Empower Cash Advance provides access to funds without the burden of interest charges or late fees, offering a transparent and cost-effective borrowing option.

4. No Credit Checks. With Empower Cash Advance, there are no credit checks required, making it accessible to a broader range of customers regardless of their credit history.

5. User-Friendly Mobile App. Empower's mobile app provides a convenient platform for managing loans, with features such as spend tracking, budgeting tools, and credit monitoring to help users stay financially empowered.

Pros and Cons

Pros

Cons

Reliability

Empower has established itself as a reliable financial partner, evident in its high ratings and positive reviews across multiple platforms. With a remarkable rating of 4.8 out of 155.9K ratings on the App Store and an equally impressive score of 4.7 out of 141K reviews on Google Play, Empower's consistent performance underscores its reliability and user satisfaction. These ratings reflect the collective experiences of thousands of users, highlighting Empower's ability to consistently meet the needs and expectations of its diverse customer base. The overwhelmingly positive feedback on both the App Store and Google Play speaks volumes about Empower's reliability and its commitment to providing quality financial services to its users.

How to Apply for an Empower Loan?

1. Download the Empower App. Start by downloading the Empower mobile app from the App Store or Google Play Store. The app is available for both iOS and Android devices.

2. Sign Up. Once the app is downloaded, open it and follow the prompts to sign up for an account. You'll need to provide some basic personal information, such as your name, email address, and mobile phone number.

3. Connect Your Bank Account. To access Empower's loan offerings, you'll need to connect your bank account to the app. This allows Empower to verify your financial information and determine your eligibility for loans.

4. Review Loan Options. Once your bank account is connected, you'll be able to review the loan options available to you. Empower offers various loan products, including the Empower Thrive line of credit and Empower Cash Advance. Review the terms and conditions of each option carefully to determine which best suits your needs.

5. Apply for the Loan. After reviewing the loan options, select the one that you're interested in and follow the prompts to apply. Depending on the loan product, you may need to undergo a credit check or provide additional information during the application process.

6. Receive Approval. Once you've submitted your loan application, Empower will review it and determine whether you're approved. If approved, you'll receive a notification through the app, along with details about the loan terms and conditions.

7. Access Funds. If your loan application is approved, you'll typically have access to the funds shortly thereafter. With Empower Cash Advance, for example, 98% of advances are delivered "instantly" within 15 minutes.

8. Manage Your Loan. After receiving your loan, you can manage it directly through the Empower app. This includes making payments, tracking your balance, and accessing additional features such as spend tracking and budgeting tools.

Conditions and Requirements

Conditions

1. Loan Products. Empower offers various loan products, including the Empower Thrive line of credit and Empower Cash Advance. Each product has its terms, conditions, and eligibility criteria.

2. FDIC Insurance. Deposits and cash advances made through Empower are FDIC-insured, protecting customers' funds up to $250,000 per depositor.

3. Subscription Fee. After the 14-day trial period, Empower charges an auto-recurring $8/month subscription fee for its services. This fee grants access to features such as loan management tools, budgeting assistance, and credit monitoring.

4. Credit Approval. Access to certain loan products, such as the Empower Thrive line of credit, may be subject to credit approval. Meeting the lender's credit criteria is essential for approval.

5. Transparent Fee Structure. Empower maintains a transparent fee structure, ensuring that borrowers are aware of any fees associated with their loans upfront. This transparency helps borrowers make informed decisions about their borrowing needs.

Requirements

1. Age. Borrowers must be 18 years old or older to apply for an Empower loan.

2. Bank Account. Borrowers need to have a bank account with a U.S. financial institution. This account will be used to facilitate loan transactions and repayments.

3. Mobile Phone. Borrowers must have a mobile phone number that operates in the U.S. and can receive SMS messages. This is typically used for account verification and communication purposes.

4. Social Security Number (SSN). If applying for certain loan products, such as the Empower Card or AutoSave account, borrowers may need to provide a valid SSN for identification purposes.

5. U.S. Residential Address. Borrowers must have a valid U.S. physical residential address. This address may be used for account registration and verification.

Ways to Receive the Money

1. Direct Deposit to Bank Account. The most common method is direct deposit to the borrower's linked bank account. Once a loan is approved, Empower transfers the funds directly into the borrower's designated bank account. This method offers the advantage of quick access to funds and eliminates the need for additional steps to receive the money.

2. Instant Delivery (Optional). For certain loan products, such as the Empower Cash Advance, borrowers may have the option for instant delivery of funds. With instant delivery, borrowers can access the funds immediately upon approval, typically within minutes. Instant delivery may be subject to additional fees, which borrowers should consider before opting for this method.

3. ATM Withdrawal (Cash Advance). Borrowers who opt for the Empower Cash Advance may also have the option to withdraw funds from an ATM using a linked debit card or ATM card. This method provides immediate access to cash, making it suitable for borrowers who need physical currency for their financial needs.

Products

1. Empower Thrive Line of Credit (from $250 to $1000). This revolving line of credit provides borrowers with flexible access to funds, allowing them to borrow as needed up to their approved credit limit. Interest is only charged on the amount borrowed, providing flexibility and affordability.

2. Empower Cash Advance (from $10 to $250). This short-term loan option provides borrowers with quick access to cash without the need for a credit check. Funds can be deposited directly into the borrower's bank account or accessed through other convenient methods.

Other Loans

• Best Business Loans

Reasons for Getting Rejected for an Empower Loan

1. Income and Employment. Empower may assess the borrower's income and employment status to determine their ability to repay the loan. Insufficient income, unstable employment, or unemployment may lead to rejection of the loan application.

2. Bank Account Verification. Empower requires borrowers to link their bank account to the Empower app for loan transactions and repayments. If the borrower's bank account cannot be verified or if there are issues with the account, the loan application may be rejected.

3. Outstanding Debt. Empower may consider the borrower's existing debt obligations when evaluating their loan application. High levels of outstanding debt relative to income may indicate financial strain and result in the rejection of the loan application.

4. Incomplete or Inaccurate Information. Providing incomplete or inaccurate information during the loan application process may lead to rejection. Borrowers need to ensure that all information provided is accurate and up to date.

5. Failure to Meet Eligibility Criteria. Each Empower loan product has specific eligibility criteria that borrowers must meet to qualify. Failure to meet these criteria, such as minimum income requirements or credit score thresholds, may result in the rejection of the loan application.

How to Repay an Empower Loan?

1. Review Loan Terms. Before making any payments, borrowers should review the terms of their Empower loan, including the repayment schedule, interest rates, and any applicable fees.

2. Access Loan Management Tools. Borrowers can access loan management tools through the Empower mobile app. These tools allow borrowers to view their loan balance, repayment schedule, and payment history.

3. Automatic Payments. Borrowers can set up automatic payments through the Empower app, ensuring that loan payments are deducted from their linked bank account on a specified date each month. This method helps borrowers stay on track with their payments and avoid late fees.

4. Other Payment Methods. Depending on the loan product and borrower's preferences, Empower may offer additional payment methods such as electronic funds transfer (EFT) or debit card payments.

5. Submit Payment. Once the borrower has chosen a repayment method, they can submit their payment through the Empower app. For automatic payments, the payment will be deducted from the borrower's bank account on the scheduled date. For manual payments, the borrower will need to enter payment details and confirm the payment.

6. Adjust Payment Schedule (if needed). If borrowers encounter financial difficulties or need to adjust their payment schedule, they can contact Empower's customer support team for assistance. Empower may offer flexible repayment options or hardship assistance programs to help borrowers manage their loan obligations effectively.

Alternatives

Varo provides cash advances ranging from $20 to $250, with repayment periods extending up to four weeks. The platform boasts no subscription fees, offering $20 advances at no cost. With an instant funding feature, users experience a quick and seamless process. Varo stands out with its highly rated mobile app and eliminates the risk of overdraft fees. While customers praise the convenience, there are mixed reviews about the customer service. Unlocking the maximum $250 limit may also take some time. Overall, Varo presents a user-friendly option for those seeking small-dollar advances without the burden of fees and subscriptions.

Dave offers loans ranging from $25 to $500 with a repayment term aligned with the next paycheck. While a subscription fee of $1 is applied, the app provides users with in-app side hustle opportunities and the option to save through a high-yield savings account. The absence of overdraft risk is a notable advantage. However, users should be cautious about the cost of express funding, which can range from $1.99 to $13.99. Dave's suggested tip, although optional, is on the higher side. Despite these considerations, Dave remains an attractive option for those seeking higher loan limits and additional financial features.

EarnIn allows users to access up to $100 per day and $750 per pay period, aligning repayments with the next paycheck. The platform distinguishes itself by making tipping entirely optional, and users can set up and receive funding on the same day. The flexibility to use one's bank account and free credit score monitoring enhance EarnIn's appeal. However, users should be mindful of potential express funding fees, which can go up to $4.99. EarnIn provides a quick and flexible solution for those in need of smaller, short-term advances without mandatory tipping.

Brigit stands out as an app offering cash advances of up to $250 without the expectation of tips. In addition to its free plan, Brigit offers paid plans such as the Plus plan ($9.99 per month) and Premium plan ($14.99 per month). These plans provide not only cash advances but also features like overdraft coverage, credit monitoring, and a credit builder loan. Express delivery is available at an extra cost. Brigit's unique approach of not requiring tips and providing financial advice makes it an interesting choice for users looking for a straightforward cash advance experience.

Loans like Empower

OnDeck

OnDeck stands out as an excellent choice for short-term business loans, offering the flexibility of borrowing substantial amounts, even for businesses with a minimum credit score. What makes OnDeck particularly attractive is its ability to provide funds swiftly, with same-day approval and disbursement for qualifying applicants. Moreover, OnDeck emphasizes the opportunity to build and strengthen business credit by consistently making on-time payments. The loan terms range from 18 to 24 months, with loan amounts spanning from $5,000 to $250,000. While the starting interest rate is 35.40% for a portion of customers, the accessibility and speed of funding make OnDeck a notable player in the short-term business loan landscape.

Funding Circle

Funding Circle distinguishes itself in the realm of long-term business loans by offering competitive rates, extended repayment terms, and a lack of prepayment penalties. This lending option caters to businesses seeking larger loan amounts, ranging from $25,000 to $500,000, with a reasonable starting interest rate of 11.29%. Beyond financial support, Funding Circle prioritizes efficiency, enabling businesses to access funds in as little as two business days. Notably, Funding Circle also showcases its commitment to diversity by providing funding options specifically tailored for women-owned businesses and minority entrepreneurs. The loan terms extend from 6 to 84 months, making Funding Circle a favorable choice for businesses with a more extended financial horizon.

Credibly

Credibly positions itself as a reliable source for working capital loans, particularly for businesses requiring quick funding to address immediate operational needs like payroll or inventory expenses. Notably, Credibly's working capital loans boast a rapid approval process, often providing funds in less than 24 hours. The lender exhibits flexibility by considering applicants with a minimum credit score of 500 and a willingness to look beyond a less-than-perfect credit history, provided there is a healthy annual revenue. Beyond working capital loans, Credibly collaborates with a network of lenders to offer a diverse range of financing options, including merchant cash advances, business lines of credit, equipment financing, SBA loans, and invoice factoring.

Fundbox

For startups in need of swift financing, Fundbox presents an appealing option with its business line of credit, offering up to $150,000. What sets Fundbox apart is its relatively lenient eligibility criteria, allowing new companies to qualify after just six months of operation and a minimum annual revenue of $100,000. The business line of credit provides the flexibility to withdraw funds as needed, and businesses only pay interest on the amount utilized. Additionally, Fundbox offers perks such as up to 20% off fees through its Fundbox Plus upgrade. With competitive starting interest rates ranging from 4.66% for 3-month terms to 8.99% for 6-month terms, Fundbox addresses the financial needs of emerging businesses seeking quick and accessible startup loans.

Editorial Opinion

Important

How to Choose a Lender

1. Make sure to confirm whether the lender is licensed to operate in your state. You can verify this information with your state regulator or attorney general.

2. Check if the lender is a member of a reputable association, such as the Community Financial Services Association of America. Membership in such organizations may provide an extra level of reliability.

3. Carefully review all the terms and conditions of your payday loan contract.

4. Thoroughly examine the interest rates on payday loans and ensure that your contract includes a detailed breakdown of the total cost of the loan.

5. Take advantage of your right of rescission. Usually, you can rescind the loan within three days after signing the agreement. Alternatively, there is typically a "cooling-off" period, which allows you several days to thoroughly review the contract before making an informed decision to enter into a consumer loan agreement based on the terms specified by the lender.

6. Choosing a payday lender is a significant decision that demands careful consideration and a good understanding of how such organizations operate.

Methodology

At Finanso, we've carried out a comprehensive analysis of over 50 business lenders, assessing them based on 35 different parameters across six key categories: accessibility of loans, customer relations, quality of service, interest rates, and transparency of conditions.

In each category, we carefully considered the most critical factors in selecting a lender. These factors include the interest rates, available loan amounts, minimum credit score, minimum income, application fees, and the speed at which funds are transferred.

At Finanso, we highly value our users, which is why we also focus on the quality of customer service, user reviews, and additional features that can aid our users in making a well-informed decision.

Our ultimate goal is to provide insightful recommendations and expert advice to assist you in selecting a lender that best caters to your specific needs.

Additional Resources

• GoKapital Account Review
• How to Apply for GoKapital Loan
• How to PayOff GoKapital Loan
• GoKapital Mobile Apps
• GoKapital Reviews

Sources

• Empower
• Best Cash Advance Apps of 2024
• 8 Loan Apps in 2024: Cash Advances and Overdraft Protection