It is a common misconception that all short term loan customers are poor or from minority communities. The truth is, there isn't just one typical short term loan borrower.
After a year of collecting data, Speed-e-loans found that 100 percent of its customers are employed full-time. Additionally, 50 percent of short term borrowers are white collar workers: 23 percent are employed in office or administrative roles, 14 percent are in managerial positions and 13 percent are in sales and marketing. Of borrowers, 25 percent work in the public sector as nurses, doctors, teachers, members of the military or police officers. Many customers also have stable housing. Twenty-nine percent own their own homes and 86 percent have resided at their current address for more than one year. Short term loan consumers also have a variety of different reasons for seeking out this form of nontraditional credit
. Nearly one-third borrow money to short term-to-day bills, 22 percent use the money for an emergency purchase and 19 percent need the funds for a special occasion. Whatever the reason, short term lenders offer consumers a choice when they have financial needs and their paychecks are several days away.