Bank of America wades into payday loans business

    29 Oct    Payday loans

    Source: Bank of America

    Bank of America today introduced Balance Assist, a revolutionary new solution that provides a low-cost way for clients to manage their short-term liquidity needs, borrowing only the amount they need, up to $500.

    Balance Assist is the latest offering in a comprehensive selection of financial solutions and services designed to help clients bank confidently and improve their financial lives.

    “Balance Assist is the latest in a powerful set of transparent, easy-to-use solutions to help our clients budget, save, spend and borrow carefully and confidently,” said D. Steve Boland, president of Retail at Bank of America. “People want the power to achieve financial freedom and stability, and are seeking simple, clear solutions and advice to help them along the way.”

    Bank of America clients can increase their financial fitness by establishing a savings discipline, working to build their credit, and improving their budgeting skills in part through this selection of helpful solutions. Delivered through the company’s award-winning digital channels and knowledgeable financial specialists, this set of safe banking solutions helps meet clients’ everyday banking, savings and lending needs, and includes:

    Balance Assist – With this new short-term, low-cost loan, Bank of America clients can now borrow up to $500 (in increments of $100) for a $5 flat fee regardless of the amount advanced to their account. Repayments would be made in three equal monthly installments over a 90-day period. To learn more, review these additional product details and eligibility criteria. Borrowers must have been a Bank of America checking account client for at least one year. Balance Assist is scheduled to launch in select states by January 2021 and in remaining states early next year.
    SafeBalance™ – Today, over 2 million clients use this account, which is designed to help them spend only the money they have available. With SafeBalance, there are no overdraft fees and the monthly maintenance fee is waived for eligible students under the age of 24 or clients enrolled in our Preferred Rewards program. Clients can make payments with a debit card or digitally when enrolled in Zelle®, mobile or online banking.
    Keep the Change® – Introduced in 2005, Keep the Change was the first program of its kind to help clients build savings by automatically depositing spare change from rounded up debit card transactions into a savings account. Today, more than 6 million clients use Keep the Change. Over the last 15 years, this program has helped clients direct more than $15 billion in excess change to savings accounts.
    Secured Card – This simple and convenient credit card can help clients establish, strengthen or rebuild their credit. Clients can apply for an account with a security deposit of $300. With responsible credit behavior, clients can improve their credit score and, over time, may qualify to have their security deposit returned.
    Affordable Home Loans – In early 2019, Bank of America launched its $5 billion Community Homeownership Commitment, which has already helped nearly 13,000 low- and moderate-income homebuyers achieve homeownership through low down payment loans and down payment and closing cost grants.

    “We continue to develop a variety of innovative solutions to help our clients achieve solid financial footing,” said April Schneider, head of Consumer and Small Business Products at Bank of America. “Solutions like Balance Assist, SafeBalance and Secured Card help provide clients with financial stability, and can put them on a path to longer-term financial wellness.”

    These solutions and services are available through the award-winning Bank of America Mobile Banking app and are supported by Erica, our digital assistant. These solutions are built to encourage good financial habits, as are additional resources available through Better Money Habits®, our free financial education platform that provides a simple, accessible way to connect people to the tools and education they need to help take control of their finances. Since 2013, Better Money Habits content has been viewed more than 120 million times.

    This content was originally published here.