5 Installment Loans for Federal Employees: Terms, Requirements Detailed

Installment loans for federal employees are available from a variety of privately-owned financial firms, as well as from some non-profit organizations. These loans can help federal employees during unexpected financial emergencies or hardships. For more details of the installment loans available to federal employees and how to apply, see below.

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Installment Loans for Federal Employees

An installment loan differs from other short-term loan options like payday loans in that it offers the borrower a longer term over which to repay the debt, which usually makes the payments more affordable. Installment loans are paid back in regularly-timed “installments” of a single, fixed dollar amount, making them relatively easy to plan for and budget.

It’s still important to exercise caution when taking an installment loan. While a fixed payment is more straightforward to budget for, the terms of installment loans are often determined by on your credit score, which may lead you to pay a higher interest rate and have a higher total borrowing cost. Additionally, there may be fees for paying off the loan early, depending on the lender.

Like everyone else, federal employees sometimes run into financial setbacks or hardships that require immediate funding. Many lenders offer affordable (and occasionally interest-free) installment loans specifically designed for federal employees and their families. Below, we have the list of lenders that offer special financing options for federal employees.

Looking for loans that accept poor credit? See our list of lenders that offer loans for federal employees with bad credit — some with no credit checks.

BMG Money

BMG Money offers installment loans to federal employees who work with specific partner employers. You can check to see if your employer is a BMG Money partner on BMG Money’s website.

Loan amount: Amounts, terms, and interest rates vary depending on your employer. Your credit score will not be affected by applying, and a poor credit score doesn’t necessarily disqualify you from a loan.
Terms: Vary; loans are repaid via automated bi-weekly payments
APR: Varies; BMG money also provides an interest rate match guarantee
Requirements: Borrowers must be at least 18, cannot be active-duty military, and cannot be in bankruptcy. You must have an employment history of at least one year and must work for one of BMG Money’s partner employers.
Source: BMG Money Loans for Feds
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FedChoice Federal Credit Union

FedChoice Federal Credit Union exclusively serves federal employees and their families. It offers a wide range of loan products to choose from, including installment loans.

Loan amount: $500 to $35,000
Terms: Up to 60 months
APR: 7.65% or higher, depending on the loan amount and your creditworthiness
Requirements: You must be a federal employee or a federal employee’s immediate family member to apply. You will be subject to a credit check.
Source: FedChoice Loans
Apply

Federal Employee Education & Assistance Fund

This non-profit organization offers confidential, interest-free loans to eligible federal employees who can demonstrate immediate financial need or hardship.

Loan amount: Up to $1,200
Terms: 10 months
APR: N/A
Requirements: Borrowers must be full- or part-time federal employees who have been working for at least one year. Only certain financial hardships and expenses are eligible for an FEEA loan, including (but not limited to) physical illness or injury, major property damage due to a natural disaster, safe housing for victims of domestic violence, rent and/or mortgage payments, home utilities, and funeral expenses. Recommended Article: The Cost of Headstones and Mausoleums Cost
Source: FEEA Emergency Hardship Loans
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Kashable

Kashable offers low-cost loans specifically designed for federal employees.

Loan amount: $500 to $20,000
Terms: Six to 24 months
APR: 6% and up
Requirements: Borrowers must demonstrate a “responsible financial history.”
Source: Kashable Loans for Federal Employees
Apply

Superior Funding

Superior Funding specializes in loans for postal workers who may have less-than-ideal credit. Keep in mind, these loans come at a higher APR than the other loans featured in this list.

Loan amount: Up to $1,000 for first-time borrowers; up to $3,000 thereafter
Terms: Roughly 11 months (22 bi-weekly payments)
APR: Either 94 or 95%
Requirements: Borrowers must demonstrate full-time employment, a bi-weekly income of at least $700 after taxes, no bankruptcy filings within the last three years (or two within the last 10 years), and available payroll allotment from which to withdraw monthly payments. Poor credit will not affect your loan approval rate.
Source: Superior Funding
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In Summary

If you’re a federal employee, you can apply for the above-listed installment loans. For more information on financial resources for federal employees, see our articles: Allotment Loans for Government Employees: Lenders Listed and The Federal Employee Discounts List.