RESOURCES FOR CONSUMERS

OLA represents companies who provide a useful and valuable service to consumers, helping bridge the gap in household cash flow between paychecks, usually for urgent needs such as groceries, utilities, car payments and repairs.

OLA and our member companies believe all consumers should be conscious and informed about the risks involved with online borrowing. Part of OLA's mission is to educate consumers about the online lending industry and its practices and provide resources including credit counseling, education and assistance where appropriate.

Using Online Micro Loans Responsibly

While online micro loans can offer you the ease of borrowing within the convenience of your own home, there are significant financial risks when borrowing money. Thus, OLA urges its customers to use online micro loans responsibly. Below are a few tips:

• Be aware that online micro loans are real loans and must be paid back within the terms laid out by the lender.
• Read all the terms of the online loan carefully before agreeing to the loan. OLA member companies are required to provide full disclosure of loan terms to customers.
• Online micro loans are like any other loan and come with a fee. If you must extend the amount of time in which you can pay back the loan, the fee will most likely increase.
• Applying for an online loan requires you to submit a great deal of personal information including your bank account information. Look for information on the lending website about protection and security of your personal information. OLA encourages its members to display the OLA logo on their websites so consumers can borrow with confidence.
• Never agree to loan terms you cannot afford. For example, do not borrow more than you can repay in the allotted time frame.
• Do not use online micro loans as an unrealistic or long-term financial solution.
• Do not use an online micro loan to pay off an existing micro loan.