QCash Financial is dedicated to serving credit unions with white-label products and service they need to provide responsible small dollar lending to their members. Given the right fintech solutions and affordable small dollar loans, credit union members can find the support they need to achieve financial health and overall stability. Read below to find answers to frequently asked questions.

If your question is not answered here, please contact us.

Affordable short-term small dollar lending helps support consumer financial health and stability by providing needed liquidity to balance daily financial needs and weather financial ups and downs, and the opportunity to build long-term financial health. By accessing these loans, members can improve their credit scores, build upward mobility, and establish financially healthy habits that can last a lifetime.

A digital small dollar lending platform is an omni-channel software-as-a-service application that uses a programming interface to integrate with your core financial, online banking and mobile banking for automated underwriting and instant funding.

QCash Financial offers a white-label, highly-configurable short-term small dollar lending platform. Our case study credit union, WSECU offers its members QCash and QCash Plus. QCash is a fee-based, single payment, short-term small dollar loan. QCash Plus is an interest-based, higher-balance short-term loan. They can be customized to meet your members’ needs for short term, small dollar loans.

Our platform can be easily configured to meet the PAL requirements for federal credit unions. Credit unions also have the flexibility to choose the pricing for their QCash and QCash Plus small dollar loan products.

QCash (fee-based, single payment loan)

    • Loan amounts: $50-$700 (configurable).
    • No credit checks.
    • Loans are instantly funded based on relationship criteria, not credit score.
    • Loan term: 60 days (configurable).
    • Automatic payment is set when the loan is booked on the due date of the loan.

 

QCash Plus (interest-based loan)

    • Loan amounts: $701-$4,000 (configurable).
    • No credit checks.
    • Loans are instantly funded based on relationship criteria, not credit score.
    • Loan terms: 6 – 36 months (configurable).
    • Automatic monthly payments are set up when the loan is booked.

The QCash digital small dollar lending platform is a software-as-a-service solution. The digital small dollar lending platform connects securely through the Microsoft Azure Cloud to the credit union’s core banking platform to retrieve member relationships, behavioral attributes and all information required for instant underwriting, decision making and funding. When a member applies in six simple clicks through their mobile device, online banking, contact center, branch or other customer service channel, information is sent to the Cloud; a decision is given within a minute and funds are immediately deposited into the member’s account.

The QCash lending decision engine is a proven, proprietary platform built on member relationships and behavior data perfected over more than 11 years of credit union lending experience, data analytics, automated underwriting, and real-time funding. Credit unions configure and implement the QCash decision engine to meet their unique lending and implementation needs. For more information, contact QCash Financial.

  1. Contact the QCash Financial team and sign a non-disclosure agreement.
  2. Begin high-level discussions on responsible short-term small dollar lending solutions.
  3. Review the program and your objectives, then see a demo.
  4. Discuss onboarding requirements with all stakeholders.
  5. Review and sign the contract.
  6. Begin pre-deployment planning.
  7. Implement and launch the solution.

QCash implementation varies based on credit union core processing, mobile and online banking systems, decision making, project planning and other variables. A typical implementation for an existing core, online and mobile banking integration is 12 weeks, while a new core, online and mobile banking integration can be done in about 20 weeks, or 5 months. To get started, please contact the QCash Financial Team.

There are two types of fees:

  1. Business-to-business fees: QCash Financial charges the client credit union for the short-term small dollar lending platform, which may include implementation, monthly subscription and per-loan fees based on the core processing, mobile, online banking and teller/contact center systems. For specific pricing, contact the QCash Financial team.
  2. Member fees: The client credit union may decide whether or not to charge member fees. These fees may include application fees, fees per loan amount, annual percentage rates and others. Regulations govern the fees and lending, depending on the credit union classification as noted below:
    • State-Chartered Credit Unions: States have varying rules impacting fees, interest rates and terms. Ask the QCash Financial team for details.
    • Federally-Chartered Credit Unions: The NCUA 10-RA-13, Part 701, Short-term Small Dollar Loan Regulation allows the following:
      • Small loans of $200 to $1,000 to borrowers who have been members for at least 1 month.
      • Short-terms of 1 to 6 months.
      • Application fees up to $20.
      • No rollovers.
      • Interest rate up to 28% Annual Percentage Rate if Federal Credit Unions meet all of the above conditions.

For more information, contact the QCash Financial team.

A dedicated project manager is needed to ensure the timeliness of implementation and a staging environment before going live. Once QCash is implemented, it becomes a fully automated system that requires one half to one full-time-equivalent employee to oversee internal and servicing operations. Note: Collection support is provided by the credit union’s Collections department.

Ready to learn more about implementing the QCash Financial responsible small dollar lending program at your credit union? Reach out to us today!

CU Insight