About Lender
Golden Valley Lending is an online lender issuing small short-term loans. Golden Valley is a tribal lender regulated by the Habematolel Pomo of Upper Lake, a sovereign nation located in the USA.
The company issues installment loans customers can use for urgent financial needs such as medical bills. It has a straightforward online loan application process. The borrowers can fill out the application, get approval in several minutes, and receive funds on the next business day.
Golden Valley Lending has issued over 250,000 loans. The company specializes in providing financial assistance to people with low credit scores who are deprived of the opportunity to receive quick financing from a bank or other financial institution. Since 2021, Golden Valley Lending has suspended its activities and no longer issues loans.
Key Features
- Tribal lending: Golden Valley Lending is a tribal lending entity, which means that it is owned and operated by a Native American tribe. As a result, the lender is not subject to state or federal lending laws but instead operates under tribal laws and regulations.
- Short-term loans: Golden Valley Lending offers short-term loans with repayment terms of about several weeks. The loans are intended to help borrowers to get fast cash to cover unexpected expenses or emergency financial needs, such as car repair, travel expenses, or medical care.
- High-interest rates: Like many other tribal lenders, Golden Valley Lending charges high-interest rates on its loans. The interest rates can range from 200% to 800% APR, depending on the loan amount and repayment term.
- Online loan process: Borrowers can apply for a loan from Golden Valley Lending online. The application process is quick and easy, and borrowers can receive a decision within minutes.
- Small loan amounts: Golden Valley Lending offers small loan amounts, typically ranging from $300 to $1,500. This can be helpful for borrowers who only need a small amount of money to cover an unexpected expense.
- Automatic payments: Golden Valley Lending offers a payment schedule that involves bi-weekly payments for its short-term loans. The company believes that a fixed-term with an extended repayment period is advantageous to borrowers compared to other short-term lending services. It can provide borrowers with more time to repay the loan and may help them avoid falling behind on payments.
Pros and Cons
Pros
- No prepayment fees
- The loan is paid in installment payments
- Quick funding for the next business day using an ACH transfer
- To be eligible for a short-term loan from Golden Valley Lending, the borrowers do not need a high credit score.
Cons
- Low maximum loan amounts
- There is a late fee and a non-sufficient funds fee
- The maximum APR is too high, reaching up to 800%
- The lender is subject not to state laws but to tribal regulations
- The exact APR, loan term, and loan amount aren't disclosed on the website.
Judging by the BBB notice, the company offers expensive loans and might be a predatory lender. It is regulated by the nationally recognized Indian tribe Habematolel Pomo of Upper Lake and is subject to tribal regulations, not state laws.
In many states, the maximum APR for a payday loan is limited at the legislative level. Since Golden Valley Lending does not comply with these laws, the maximum APR for their loan can reach 800%. Even a borrower with a low credit score is advised to find another lender to receive funds for urgent financial needs.
Products
- Loan amounts: Golden Valley Lending's payday loans typically range from $300 to $1,500, depending on the borrower's creditworthiness and other factors.
- Repayment terms: The repayment terms for Golden Valley Lending's payday loans are about 14 days. The loans are intended to help borrowers cover unexpected expenses or emergency financial needs.
- High-interest rates: Like many other payday lenders, Golden Valley Lending charges high-interest rates on its loans. The interest rates can range from 200% to 800% APR, depending on the loan amount and repayment term.
- Fast approval process: Borrowers can apply for a payday loan from Golden Valley Lending online, and the approval process is usually quick and easy. Borrowers can receive a decision within minutes and, if approved, can receive their funds as soon as the next business day.
- Automatic payments: Borrowers can set up automatic payments to make repaying their loans more convenient. This can help ensure that borrowers don't miss any payments and incur late fees or penalties.
It is important to note that payday loans can be expensive and may not be the best option for everyone. Borrowers should carefully consider the costs and terms of a payday loan before applying and should only take out a loan if they are confident that they can repay it on time.
Reliability
Based on the available information, it is difficult to determine the reliability of Golden Valley Lending. Here are some key points to consider:
- Accreditation and rating: Golden Valley Lending is not accredited by the Better Business Bureau (BBB) but has an A+ rating with the BBB. However, BBB has issued a warning about the company and has noted a pattern of complaints about high-interest rates that aren't disclosed upfront to borrowers.
- Complaints: As noted above, there have been complaints about Golden Valley Lending Inc.'s high-interest rates and lack of upfront disclosure. Additionally, the Consumer Financial Protection Bureau (CFPB) has taken legal action against the company in the past for allegedly deceiving consumers and illegally collecting on void loans. The case involved similar action against three other online lending financial institutions: Silver Cloud Financial, Inc., Mountain Summit Financial, Inc., and Majestic Lake Financial, Inc.
- Trustpilot rating: Golden Valley Lending has a 4.7 rating on Trustpilot, which is a positive sign. However, it is worth noting that online reviews should be taken with a grain of salt, as they may not be entirely reliable.
Overall, it is important for borrowers to carefully consider the terms and costs of a loan before taking out a loan from Golden Valley Lending or any other lender. Borrowers should also be aware of the potential risks and drawbacks associated with payday loans and tribal lending.
Funding a Loan
In the loan application form, the borrower must specify the active checking bank account from which the loan payment will be made and to which the requested funds will be received.
The funds are transferred to the borrower's bank account using a secure ACH transfer on the next business day if the borrower receives approval before 4:30 PM EST on any day from Monday to Friday.
Loan Conditions
Golden Valley Lending offers an online loan that is paid in installment payments. This loan is suitable for emergency financial needs as it allows the borrower to get financing with a loan amount from $300 to $1,500 for the next business day. New customers have a credit limit of $1,000. A credit check may run a credit check. However, it does not specify the credit bureaus it cooperates with.
The borrowers must pay such a loan in bi-weekly payments. The maximum loan term is 40 weeks.
This is an expensive loan since the borrower needs to pay approximately a $30 fee for every $100 taken every two weeks. It is equivalent to an APR of about 800%. The minimum APR is approximately 200%.
The exact APR, available loan amount, and loan term are specified in the borrower's loan agreement. Golden Valley Lending has a $20 non-sufficient funds fee and a late fee, the amount of which is not listed on the company's website.
