About lender

SeedFi is a company helping its customers to grow their money, build credit and savings, and get financing options on better terms. The startup was founded by Eric Burton in 2019. 

The banking services offered by SeedFi are issued by the company's partners, Evolve Bank and Trust and Cross River Bank, both FDIC members. 

The company reports to the three major US credit bureaus: Experian, Equifax, and TransUnion. This enables the company to report on-time payments and improve its customers’ credit.

Pros and cons

Pros

• Allows to build credit in case of on-time payments

• Has savings accounts option

• You can get the funds from a savings account even if you paid fees.

Cons

• You cannot borrow over $500 for the personal line of credit

• You can't apply with a co-signer

• There is a high APR range on personal loans.

Terms and conditions

Credit Builder is focused on establishing and improving the credit scores of its applicants. The service is connected to the savings account. The company adds money to your savings account on the established date in the form of an interest-free loan. The minimum loan amount is $10. You pay back the funds, and SeedFi reports your payments to the credit bureaus. Each time you save $500, SeedFi allows you to withdraw the money. 

Borrow & Grow provides maximum loan amounts of up to $4,000. You get access to a certain amount of money, and the other part goes towards your SeedFi savings account. The annual percentage rate (APR) of these loans is 12.96% to 29.99%. The minimum loan amount is $300. You get $1,250 to $4,500 in savings. The loan term is from 10 to 48 months. 

Therefore, if you take a loan amount of $3,500 for immediate withdrawal, you can get an additional $3,500 in savings. So, you take a $7,000 loan. With a 37 months loan term and 26.99% APR, you will be paying $130 every two weeks.  

Funding a loan

SeedFi stores its customer’s funds in the accounts issued by its partner-banks. Those accounts are FDIC-insured. You can withdraw money from your Credit Builder savings account to your bank account or in cash.

The loan funds are disbursed to your bank account the same day you’ve applied depending on how quick you sign the contract.