I know it comes across as me being a Self-Lender 'hater'...truth is I'm not
But I don't like the idea that they have a HIGHLY unique offering...it's just NOT true!
None of the "Advantages of using self lender" are exclusive to Self Lender...not ONE!
Again, no offense but the 1st out the gate ADVANTAGE is being '100% online'.....
C'mon we're being polite here but that's a bunch of crock, as your #1 advantage, in 2017?
Most ppl not under a rock, especialy on an online forum know better than a 'trip needed to the local credit union'
is NOT a HUGE advantage...
Sorry sir but most of know it isn't 1987...duh! We're online RIGHT NOW!
Are we REALLY to assume that folks that found themselves, HERE wouldn't also be able to find an ONLINE capable CU?
Again, no offense but that's kinda laughable and a bit insulting
Again, perhaps 19 y.o. kids don't know but PLENTY of CUs/banks will indeed lend money and do the 'immediate' lock in an account, till paid back move absolutely NOTHING 'new' or unique 'to' Self Lender about that tactic, sir and I'm sure you know thast unless maybe you're 22 yourself
True the 'confusion' and/or play on words is that product isn't called SSL many bankc/CUs have 'cute' names for what many refer to as 'credit builder' loans (adding to the confusion is that some institution refer to a SSL 'as' a credit builder loan) truth is, it's just marketing NAMES...there is no LAW as to what to CALL the product but for those of us that have actually worked in banks and CUs and have underwrting loans and issued, these products or just KNOW the lay of the land know a spade is a spade, a duck is a duck...
I signed ppl up for this product while working for my 1st credit union part time back in college, when Bush 1 was in office ZERO new stuff...just a 'nice' marketing spin to the uninformed!
3) Is a hit n miss...very institutional dependant...very wide range, again nothing particularly unique to 'Self Lender' ONLY!
Again, I'm not a 'hater' I just LOVE truth in advertising and prefer that companies just go ahead and say
"Hey look, we WANT your business, over here...we'll do a great job...yada yada"
Impying they've CREATED sliced bread....attempting the 'punk' unknowing folks into believing they've stumble upon a fountain of youth type deal NEVER before known about and not readilt available elsewhere....
In the past, I've given you guys a head nod for creative MARKETING of an OLD product but let's NOT get carried away, with the idea that, that one branch bank you guys use in Austin,Tx CREATED this concept or by ANY MEANS are doing anything 'special'...again just ASK for the business...please don't go OVERBOARD with being some SAVIOR product.
Btw due the name being ChexSystems even the banks that will deny folks a checking acct, will generally still allow a person to open a SAVINGS which is the only thing relevant to securing a loan with a 'savings' acct, correct?
I don't begrudge a business grabbing their slice of business but also feel if it feels misleading to have folks 'snowed' into believing that only Starbucks sells coffee or that they somehow created it is dangerous (not that James, said that but) sometimes folks seem to think because Self Lender pitches this product heavily, lately that they've sliced bread....
Then, folks compares the product apples to oranges to a SSL vs the gazillion exact same product offered elsewhere...many, many places will do the exact thing thing (many cheaper) they just don't push or advertise neither the SSL or CB builder loans but they have them.
And last thing, since we went there.....
One HUGE possible advantage of that "maligned" trip to the local CU is that relationship can indeed DIRECTLY lead to the opening of future lines of credit, with said lender....if we're gonna speak of 'could bes' let's spill it all
There are plenty of scenarios where... BECAUSE that face to face happened 6-12 months later, an unsecured CC or auto refi is actually OFFERED by the local CU...some times PREAPPROVED due to ARs by the multifaceted lender....
Your banking partner, Austin Bank is a one horse pony they don't even offer CC's, so again there is a HUGE advantage to VISITING and working with a vendor that can EXPAND their ability to offer TLs tht benefit the credit seeker, with Self Lender it's one and done
While local Bert & Ernie CU can follow up that 'useless' trip down to the brick n mortar with other useful credit TLs, as a useful relationship has been established...too often today ppl have been sold on so-called "convenience" perhaps at the expense of a more fruitful bounty long-term....
As, I said earlier...just ASK for the business, nicely and move on, don't try to be a hero...there will be ppl that know where the warts are
You're right — self lender is no better than any other CD/savings-secured loan. We didn't invent them (nor claimed to) and all CD/savings-secured loans — whether the collateral is funded by you or the institution— accomplish the same thing: helping you responsibly build credit.
Just wanted to clarify two things though:
1) We're not advertising on this forum and we're not being deceptive. I take the time to reply to every thread because I care how my company is being perceived by this community. It's important to recognize that there's zero tolerance for BS on this forum — and if I were making false claims or advertising, I would have been banned ages ago.
2) We're adding two new bank partners at the of 2017. We're also launching our own revolving credit product in Q2 2018. In other words, we'll be able to "graduate" our customers into other responsibly financial products.
Appreciate the feedback and candor!
I'm wondering if anyone has thoughts on a program called Self Lender in which a bank opens a $550 savings in your name and you pay a set amount for 12 months until you've matched the savings amount, at which time the money becomes yours. While you're making payments, the lender is reporting your payments to the credit bureaus. It supposedly boosts your score. Is this a better way to try to boost a score vs. a secured card for someone without access to unsecured credit? What are the possible drawbacks?
Personally, I would prefer a secured card that has the capability of graduating to an unsecured status--with the focus being growth and longevity.
I have started SelfLender it's a great addition to raising your score and getting secured credit cards. I currently am paying off all my debt to become debt-free and just got a $500 secured card with Discover. Start off with paying off any debts that may be affecting your score down to 25-30% utilization and your score will climb anywhere from 50-100 points. Also the secured card and Selflender will show your payment history so you should receive another bump after 6-9 moonths again they report it as credit utilized at 100% but as you pay down your score will go up. I will try to post after few more months on any fico changes.