What Are Tribal Payday Loans?

Most people, when they think of tribal loans, will picture a tribe of Native Americans in traditional garb. However, the term “tribal loan” can refer to any type of lending that is done through an organization that has been set up by a group or community rather than an individual company or bank. Tribal loans are available for all types of borrowers and offer many benefits over other types of borrowing options.

Payday loans are a type of short-term loan that people can take out for very small amounts, and they’re typically repaid on the borrower's next payday. They're available to borrowers who have jobs and steady incomes, but may not be able to afford the payments on things like rent or utilities bills.

we could not find any specific definition for Tribal Loans, but generally Speaking Tribal loans are offered by Companies, which are owned and operated From Tribal Land.

Tribal loans are available for all types of borrowers and offer many benefits over other types of borrowing options.

Tribal Loans' interest rates can be as high as 300% APR, but the lenders may also provide a loan that is affordable with lower repayments. Tribal Loan providers typically require collateral to approve funds

-No prequalification necessary -Credit score does not factor into eligibility for Tribal Loans and there is no need to provide collateral -Interest rates on tribal loans are typically higher than other types of lending and may be as High as 300% APR

-Unemployed and People on Benefits who aren't eligible for traditional loans are often offered Tribal Loans

-Tribal Loan providers understand that people with poor credit don't always have collateral to provide and may need more time than other lending options allow.

-Tribal Loans are not loans as defined by FDIC and are not regulated by FDIC

-Since they are unregulated, many Lenders charge higher interest rates to borrowers.