Reach Financial Review: Is It A Scam Or Is It Legit?

Are you in need of some extra cash? If so, you may have come across Reach Financial during your search for financial solutions. But before you make a decision, it’s important to gather all the necessary information. In this article, we will delve into Reach Financial, examining its offerings, terms, and customer reviews to help you determine whether they are a legitimate option for your financial needs.

What is Reach Financial?

Reach Financial is a reputable provider of unsecured personal loans that aims to assist individuals in achieving their financial goals. With a range of loan options, including debt consolidation loans, they empower customers to take control of their finances and simplify their financial obligations. The company has been in business for seven years and is based in New York, NY. They offer their services through their website, reach.com, and can be contacted via email at [email protected] or by phone at 800-606-8200.

Key Features and Eligibility Criteria

One of the standout features of Reach Financial personal loans is that they do not require collateral. These loans are issued by either MetaBank® National Association or FinWise Bank, a Utah chartered commercial bank, and are insured by the FDIC. The loan amounts range from $3,500 to $40,000, providing flexibility for borrowers with various financial needs.

Different loans from Reach Financial have different eligibility criteria and creditworthiness requirements. Therefore, it’s important to review these details before applying to ensure you meet the necessary qualifications.

The interest rates, expressed as the Annual Percentage Rate (APR), offered by this lender range from 5.99% to 35.99%. Additionally, the origination fee for these loans can vary from 0% to 5%. The loan terms are between 24 and 60 months, allowing borrowers to choose a repayment plan that suits their financial situation.

A Closer Look at Reach Financial’s Reputation

When considering any financial institution, it is essential to evaluate its reputation and track record. Reach Financial has an A+ rating with the Better Business Bureau (BBB) and has been accredited since April 17, 2019. Their accreditation status and positive BBB rating indicate a commitment to resolving customer complaints and maintaining high standards of service.

According to the BBB website, Reach Financial has an average of 69 customer reviews. While this number may not be extensive, it provides some insight into customer experiences with the company. In the past 12 months, they have successfully resolved eight complaints, which suggests a commitment to addressing customer concerns.

The Application Process and Approval Criteria

To qualify for a Reach Financial personal loan, applicants undergo a comprehensive approval process. This process includes reviewing credit history, employment status, verification of identity, and monthly expenses. Reach Financial aims to ensure that only those who are likely to be able to repay the loan are approved, safeguarding both the borrower and the lender.

It is important to note that being pre-approved for a personal loan does not guarantee that you will receive the loan. Final approval is contingent upon several factors, including your credit score, employment history, and income. Therefore, it is crucial to present a strong credit profile and provide documentation of employment and income to increase your chances of approval.

The Impact on Your Credit Score

When considering a loan from Reach Financial, it’s important to be aware of the potential impact on your credit score. Reach Financial performs a hard inquiry on your credit report during the application process, which can cause a slight decrease in your score. However, this impact is generally temporary and should recover over time with responsible financial management.

It is always advisable to carefully consider the potential effects on your credit before taking on any additional debt. If maintaining a high credit score is a priority for you, it may be beneficial to explore alternative options or speak with a financial advisor for personalized guidance.

Comparing Rates and Fees

Reach Financial offers loans with fixed APRs starting at 5.99% and going up to 35.99%. The origination fee for these loans can range from 0% to 5%. However, it’s important to note that these rates and fees may vary depending on your credit history and the loan amount. Therefore, it is crucial to compare rates and terms from multiple lenders to ensure you secure the most favorable option for your needs.

By shopping around and comparing rates, you can gain a better understanding of the competitive landscape and make an informed decision. This approach allows you to identify the most affordable loan option and potentially save money in the long run.

Customer Reviews and Feedback

Customer reviews provide valuable insights into the experiences of others who have used Reach Financial’s services. However, it is important to approach reviews with discernment, as individual experiences can vary significantly. While some customers have reported positive experiences with Reach Financial, others have expressed dissatisfaction.

To ensure you are making the best decision for your financial situation, consider reading a variety of reviews from different sources. This broader perspective will give you a more comprehensive understanding of the company’s strengths and weaknesses and help you make an informed choice.

FAQs

1. How quickly can I receive funds from Reach Financial?

Answer: Reach Financial strives to provide a fast and efficient loan process. Once your loan application is approved, funds can be deposited into your bank account as soon as the next business day. The exact timing may depend on factors such as the time of application submission, the verification process, and the policies of your specific bank.

2. Can I use a Reach Financial loan for business purposes?

Answer: No, Reach Financial personal loans are intended for personal use and cannot be used for business expenses. They are designed to assist individuals with various financial needs, such as debt consolidation, home improvements, medical expenses, or unexpected costs. If you require funding for business purposes, it is advisable to explore business loan options specifically tailored to meet those needs.

3. Are there any penalties for early repayment of a Reach Financial loan?

Answer: No, Reach Financial does not charge any penalties for early repayment of their loans. In fact, they encourage borrowers to pay off their loans ahead of schedule if they are able to do so. Early repayment can save you money on interest payments and help you become debt-free sooner.

4. What happens if I miss a payment with Reach Financial?

Answer: If you miss a payment with Reach Financial, it is important to contact their customer service team as soon as possible. They understand that financial difficulties can arise, and they are committed to working with borrowers to find solutions. Reach Financial may offer options such as payment rescheduling, temporary payment reductions, or other arrangements to help you get back on track. However, it is crucial to communicate with them proactively to avoid any negative consequences on your credit or loan terms.

5. Can I apply for a Reach Financial loan with bad credit?

Answer: Reach Financial considers applicants with various credit profiles. While they do not disclose specific minimum credit score requirements, they take into account multiple factors during the approval process, including credit history, employment status, and income. Therefore, even if you have bad credit, it is still possible to be approved for a Reach Financial loan. However, keep in mind that a stronger credit profile can potentially lead to more favorable loan terms, such as lower interest rates.

6. Are Reach Financial loans available in all states?

Answer: Reach Financial loans are available in most states across the United States. However, it is essential to check their website or contact their customer service to confirm whether they operate in your specific state of residence. Each state may have different regulations and licensing requirements that can impact the availability of its services.

7. Can Reach Financial help me consolidate my credit card debt?

Answer: Yes, one of the primary purposes of Reach Financial personal loans is to assist individuals in consolidating their credit card debt. By using a Reach Financial loan, you can pay off your high-interest credit card balances and streamline your debt into a single monthly payment. This approach can potentially save you money on interest payments and simplify your financial management.

8. Can I change my loan terms after receiving the funds from Reach Financial?

Answer: Reach Financial offers a unique feature that allows borrowers to customize their loan terms and monthly payment amounts before accepting the loan offer. However, once you have received the funds, the loan terms are set, and they cannot be changed. It is crucial to carefully review and consider your loan terms during the customization process to ensure they align with your financial goals and repayment capabilities.

9. Can I apply for a Reach Financial loan if I am self-employed?

Answer: Yes, Reach Financial considers applications from self-employed individuals. During the approval process, they may require documentation to verify your income and employment status. This can include providing tax returns, bank statements, or other relevant financial documents. By demonstrating a stable income and meeting their other eligibility criteria, self-employed individuals have the opportunity to qualify for a Reach Financial loan.

10. What security measures does Reach Financial have in place to protect my personal and financial information?

Answer: Reach Financial prioritizes the security and confidentiality of customer information. They employ industry-standard security protocols to safeguard personal and financial data. This includes encryption technology, secure data storage, and adherence to strict privacy policies. Reach Financial takes privacy and data protection seriously to ensure that your information remains secure throughout the loan application and approval process.

Conclusion

Reach Financial offers unsecured personal loans that can provide individuals with the financial assistance they need. With their range of loan options, competitive rates, and commitment to customer satisfaction, they strive to empower borrowers to achieve their financial goals.

When considering Reach Financial, it is crucial to review the terms, eligibility criteria, and customer feedback carefully. While the company has an A+ rating with the BBB, customer reviews are mixed, indicating the need for thorough research and evaluation. Additionally, comparing rates and fees with other lenders can help you secure the best loan option for your specific needs.

Remember, taking on any financial commitment requires careful consideration and understanding of the terms involved. By conducting due diligence and exploring multiple options, you can make a confident decision that aligns with your financial goals and aspirations.