Cashback Loans review

Cashback Loans is proud to be a licensed direct lender from California – committed to helping their clientele get fast cash without hassle. Established back in 2003, the company has since grown, now boasting 29 locations throughout the state. They strive to provide superior customer service and create a welcoming atmosphere in each of their inviting storefronts. Not only do Cashback Loans guarantee exceptional support, they are also monitored by the Department of Corporations and abide by Californian law. The disadvantage? Their payday loans have extremely high-interest rates.

Cashback Loans: What are they?

California-based Cashback Loans offers three types of short-term loans:

• Payday loans: If you borrow $300, you’ll only receive $255 after Cashback Loans deducts a $45 loan fee – that’s $15 for every $100 borrowed. Terms vary, but most borrowers repay their loans within two weeks.
• Signature loans: In addition to the $75 administration fee, you can borrow between $2,510 and $3,600. The loan term is 24 to 36 months, and the interest is based on your credit and income.
• Auto title loans: On Cashback Loans’ website, vehicle title loans use your car title as collateral. This means you can borrow more – $2,510 to $50,000. However, you risk losing your vehicle if you default.

If approved, you can pick up your loan funds at a store or have them transferred into your bank account if you apply online, by phone, or in person.

In accordance with state regulations, Cashback Loans can charge a maximum annual percentage rate (APR) of 460% for its payday loans.

Cashback Loans: Pros and Cons

Cashback Loans offer some upsides and downsides. In general, we found they offer a fast and easy application process without a credit check which may be appealing to borrowers who need money quickly. However, they are available only in the state of California and are incredibly expensive compared to other types of loans.

Pros: 

1. Credit checks are not required
2. Cash on the same day
3. Application process online
4. Payday loan fees are transparent

Cons:

1. The APR is high (making it an expensive option)
2. Only available in California

How do Cashback Loans work?

A payday loan from Cashback costs $150, $200, $250, and $300. The company also offers title loans and signature loans. The company is entirely online, so you don’t have to go to a physical location to get your cash. You may be able to receive your money the same day you apply online.

At a glance, they offer the following:

• Maximum loan amount: $300
• Minimum loan amount: $150
• Duration: 1 to 31 days
• The 14-day APR is 460.16%

What is the cost of a loan through Cashback?

Cashback Loans offer varying interest rates based on the loan length. However, payday loans generally carry very high-interest rates relative to the amount borrowed.

The Cashback Loans website offers an example of a $300 loan with a 30-day repayment term. The finance charge (cost of loan) is $45.00, which means the APR is 460%. So, you’ll get $300 cash on the spot, but you’ll have to repay $345 within 30 days.

Can I get a loan?

Cashback Loans require the following requirements for payday loans:

1. California is your home state
2. Income that is regular
3. Identification issued by the government
4. A bank account that is open and active
5. You must be at least 18 years old

You’ll also need these items if you want to apply for an auto title loan

1. Having a valid driver’s license
2. Titles without liens
3. Insurance proof

What are the risks associated with payday loans?

It is common for payday loans to have an APR of 300%-500% compared to credit cards with 15%-30% APRs or bank or credit union personal loans with 10%-25% rates. In the end, this means that borrowing a small amount will cost borrowers a lot of money in the long run.

In a short amount of time, borrowing costs can skyrocket. Often, cash-strapped borrowers will return to their lender and claim they can’t afford to pay back the loan, which increases the fees and traps them in debt. Think of it as ‘financial quicksand.’

How safe are Cashback Loans loans?

As long as you’re okay with the fee structure of payday loans in California, dealing with Cashback Loans is safe. It operates in compliance with all applicable California state laws is licensed by the Department of Corporations and has the required permissions from the Department of Justice.

Your personal information is also protected by Cashback Loans’ website, which follows the Fair Debt Collection Practice Act.

Terms of Use:

CashBack offers payday loans, title loans, and signature loans, each with different terms and rates. These loans must meet eligibility criteria and you must be able to repay them.

Payday loans:

In general, CashBack payday loans have a maximum amount of $300 (up to $255 cash and $45 loan fees). Your exact amount may be less than $300, depending on your income.

CashBack payday loans require you to have an open checking account, a verifiable and stable source of income (paystub), and a government-issued ID (such as a driver’s license).

A 2-week payday loan has an APR of 460%.

Title loans:

The minimum title loan amount is $2,510 and the maximum amount is $50,000. The amount you can qualify for depends on the value of your vehicle.

With CashBack, you must have a driving vehicle, a clear title, proof of insurance, a driver’s license, a verifiable and stable income source, an active checking account, proof of address, and be at least 18 years old.

As long as you repay your title loan in installments, you can keep driving your car.

The lender mentions that some loans exceeding $5,000 come with an additional 10% prepaid interest fee, depending on your credit history. The application fee is $75 and the DMV fee is $15. A title loan’s exact interest rate will depend on the unpaid principal balance.

Signature loans:

The loan amounts range from $2,510 to $3,600, and the repayment period is between 12 and 36 months.

There is no application fee for CashBack signature loans, but there is a $75 fee on all funded loans. You must have an active checking account, a verifiable and regular income, and a state-issued ID number.

Interest rates will be determined individually based on the unpaid principal balance of your signature loan.

Cashback loans: What does the Internet say?

Cashback Loans doesn’t have a rating from the Better Business Bureau (BBB) and no complaints or reviews either.

This isn’t necessarily a bad sign, but it does mean that you’ll have a harder time judging previous borrowers’ experience with Cashback Loans’ service. You can tell a lot about a business by the way its customer service representatives treat you by calling or visiting your local branch.