To meet a nation's projected financial expectations, a major factor which is closely monitored and analyzed is the population's access to credit.
The Virtual Center for Economic Stability reviews international financial data to understand how being able to acquire a short term loan can influence local individuals, families, communities, businesses, and economies.
The best way to promote economic stability is to learn from past mistakes. VCES reviews historic financial data and applies our unique approach to calculate future outcomes. Noticing key factors and sharing our knowledge allows out of balance economies to evade both short term and long term monetary meltdowns.
Economists are seeing an economic boost in countries that issue short term loans with affordable interest rates. Small dollar loans with short repayment terms provide borrowers a small amount of money to pay for groceries, housing, transportation, or other basic living expenses. When an individual decides they need to seek out supplemental funding to balance their finances, this decision makes them more aware of their money situation and helps them begin to organize their spending and savings. Subsequently, the borrower has the opportunity to turn their near term unfortunate circumstance into a long term financially stable lifestyle. Once their online short term loan is repaid on schedule, they may see a huge improvement to their credit score, making it easier to get a lower cost loan in the future. What was once a financially struggling borrower is now a better qualified borrower. This is great for economic growth because a smart borrower is also a healthy consumer.
Before payday and short term loan providers started extending credit to underbanked borrowers, including women and the poor, these customers had no other financial option other than borrowing money from relatives or community members. Without financing, they were often forced to go hungry or avoid necessary medical treatment. However, short term loan impact reports note that the poorest in the world have been able to graduate out of extreme poverty and live a higher quality life because of small cash loans. Short term lending has become a necessity in nearly all modern economies.
Financial Data Resources