Financial Education

NCP Finance Credit Information

NCP Finance respects the rights of its customers to make decisions regarding their finances. NCP Finance is also committed to ensuring that the decisions you make are based on accurate information. This document is intended to assist you in determining if the loan you are applying for is the best option for you.

The loan you are applying for is a short-term loan. Before you borrow the money, you should consider the following:

Do I need to borrow this money?

If you are using this loan to purchase items that you want, but do not need, you should consider waiting to purchase the item until you have available cash.

Even if the item in question is a necessity (such as urgent medical care), you should consider whether there are other expenses you can temporarily delay to avoid the need to borrow.

Consider establishing a monthly budget, listing out all your regular expenses and your income. If you are spending more than you are earning, consider ways to reduce expenses rather than incurring the additional expense of this loan.

Can I pay this loan back when it is due and pay all my other expenses?

Your expected pay check is large enough to pay this loan, but it needs to be enough to pay all other expenses that you will need to pay between now and the date this loan is due. The loan product for which you are applying can become costly if you are unable to make a payment on time or request a rollover or replacement loan.

If you know you cannot pay back the loan when it is due or if you are not sure, a longer term loan may be a better product for you and can avoid some of the additional charges you might incur should you be unable to pay.

Are there less costly ways to borrow money?

Although rates and availability of such loans may be impacted by your financial situation and your credit rating, traditional bank and credit unions may offer long-term loans with lower costs and rates.

If you own a home, and you do not currently owe more than the home is worth, you might be eligible for a home equity loan from a traditional bank or credit union. Oftentimes, these loans may have longer terms with more favorable rates.

Credit Cards, if you pay the outstanding balance off each month, can be a less costly way of managing your immediate needs for cash.

The relative costs of various loans are set forth below:

Where can I get additional information?

There are many resources available at no cost regarding managing your finances and different types of credit. Some that might be helpful can be found at the following websites:

• 360 Degrees of Financial Literacy  (360financialliteracy.org)
• MyMoney.gov  (mymoney.gov)
• Money Wise  (money-wise.org)
• National Endowment for Financial Education  (nefe.org)