October 2020 Update

By Kaitlyn Szabo • November 3, 2020

An Update on Our COVID-19 Response

Thanks to a generous donation designated exclusively to provide direct relief to participants, Exodus Lending helped 241 Minnesotans impacted negatively by COVID-19. Since May, Exodus Lending covered $27,476 of loan payments for 190 participants and distributed $71,400 worth grants of up to $500 each to 156 individuals.

Through these efforts, Exodus Lending provided participants with:

• Flexibility. We lessened many participants’ debt burdens through covered payments and added much-needed disposable income through grants ranging from $200 to $500 each.
• Improved credit. Covering payments outright meant we could report on-time, in-full payments to the credit bureaus. Doing this means we could likely help participants’ improve their scores.
• Relief. At a moment of extreme uncertainty and hardship, Exodus Lending provided compassionate and timely support to economically vulnerable people, who have been so appreciative of our efforts.

“Thank you to Exodus for their continued assistance in helping those of us out here who are truly struggling. You have made (and continue to make) a huge difference in our lives, so we can buy simple things like groceries and gas and pay our bills during these hard times. Thank you so much.”

This much-needed relief is in addition to our ongoing interest-free predatory loan refinancing program. Our program team has enrolled 66 Minnesotans this year. On their behalf, we refinanced about $52,522 of predatory debt. We saved these new participants an estimated $170,896 in interest and fees that they’d otherwise had paid to exploitative lenders over a year’s entrapment in the payday loan debt trap.

“Exodus has been such a blessing to me. Thank you to you and ALL of your supporters and donors!!”

Theater of Public Policy Recap

Thank you to everyone who joined The Theater of Public Policy and us at our virtual event earlier this month! If you missed the live event, check out the recording on YouTube.

Upcoming Events in November

Exodus Lending will join the University of Minnesota Extension, Prepare + Prosper, and LSS Financial Counseling on a webinar, “Gearing Up for Tax Season 2021: Financial Wellness + Resources During COVID-19” on Thursday, November 19th at 10 am. Register today!

Oh, and November 19th is also Give to the Max Day! If you’re planning on taking part in Minnesota’s giving holiday, please consider a gift to Exodus Lending. 

Predatory Lending in the News

In case you missed it, here are some of the latest news items on predatory lending:

• As reported by InForum, the Moorhead City Council has voted 7-1 to approve limits on payday lending, including a 33% interest rate cap. The law is likely to take effect Jan. 1, 2021. 
• In her opinion piece in the New York Daily News, New York’s Department of Financial Services Superintendent Linda Lacewell explains how “rent-a-bank” schemes harm vulnerable communities.
• The Charlotte Observer details the Bank of America’s plans to launch its “Balance Assist” small-dollar installment loans in 2021 as a potential alternative to payday loans from mainstream banks.

Exodus Lending’s office remains closed. Our team is working remotely and can be reached by phone at (612) 615-0067 or by email at [email protected].

Exodus Lending E-Newsletter: October 2020