Karsten Wenzlaff, Advisor
August 26th, 2025
Karsten Wenzlaff is a Crowdfunding and Fintech Expert from Germany. He is Secretary-General of Digit[...]
Category Archives: Personal Finance
8 Ways to Raise Money Quickly for Emergencies
Guest Post | Jan 2, 2023
Image: Unsplash/Alexander Mils
You are not alone if you find yourself cash-strapped in an emergency. Six out of 10 American households experience one or more financial troubles each year. FEMA reports that one-third of American families do not have any savings to last an emergency. If you are stuck in such a situation with no funds to get you by, here are seven ways you can quickly raise money:
1. Sell Your Assets
In emergencies selling your assets can be the best way to raise money. These assets include property, vehicles, watches, jewelry, and designer clothing. Antiques like vases, paintings, and furniture in your house, can unexpectedly be worth a lot. You can sell your assets on online platforms like thredUp or eBay for quick cash.
Selling home appliances like TVs, tablets, phones, laptops, and game consoles can raise emergency funds. Online marketplaces like Decluttr, Gazelle, uSell, and Swappa are ideal places to sell home appliances and find that extra cash.
2. Get Money From Your Retirement Accounts
You can withdraw your retirement savings, such as your 401(k), early in case of an emergency. You only have to pay a 10% penalty for withdrawing from your 401(k) if you’re younger than 60. Even that is waived in case of a medical emergency.
You can also double your Roth IRA as an emergency savings account. Roth IRA allows you to withdraw your contributed sums at any time with negligible penalties. Check the rules of your employer and IRA provider regarding applicable taxes or penalties before withdrawing.
3. Organize a Garage Sale
You can always use your extra belongings lying around the house to earn some quick cash. Organizing a garage and yard sale can declutter your home and liquidate your belongings quickly to raise money. You can advertise your yard sale on Craigslist, Facebook groups, local print and online newspapers, and church bulletins. Consider putting effort into marketing your sale, such as by putting neon signs with black lettering around your neighborhood.
4. Pawn Your Items
If you have extra items in your house that you no longer require, consider selling them to a pawn shop for quick cash. A pawn shop will give you a fair value for your items, and will hold your item as collateral until you repay the money in a specific period. If you cannot pay them back, they can sell the item as they see fit.
Before selling to a pawn shop, polish up your negotiation skills, or bring along a friend who can bargain well. Pawn shops will try to pay you the minimum possible price for your item. By negotiating, you may increase the amount.
5. Get a Loan
If you have a history of paying back your loans late, it lowers your credit score. Bank loans require a good credit score and take time. However, you can still get a loan even with a bad credit score by applying for Urgent loans for bad credit. These include payday loans and collateral or secured loans.
Consider asking your place of employment for monetary aid. Many companies have policies for low-interest loans or advance salary payments for their employees. Contact your finance department for information on your company’s loan policies. Remember to repay this loan in time to avoid strains on your employability.
After securing a loan from an individual or company, draft a legal agreement and a cash memo. These measures help protect your interest. You should also set a repayment schedule to avoid miscommunication between both parties.
6. Pick Up Odd Jobs
You can offer professional services in your free time to earn extra cash. For example, you can establish local dog-walking, baby, and pet-sitting services. Statistics show that the hourly wage for babysitting is around $17, and for pet sitting, it is $14. Dog walkers can earn $15 per hour.
You can also offer to mow the lawn, wash cars, and help transport senior citizens to their routine checkups. If you can drive, sign up as a Lyft or Uber driver to earn extra cash. Rideshare drivers can make between $15 to $20 an hour. However, the exact rate will depend on where you live and your profile rating.
7. Donate Your Plasma
Donating plasma can help you raise money quickly. Its process is similar to blood donations. Instead, the organization to which you donate the blood separates the plasma from it through centrifugation, and the remaining components are delivered back into your body.
You can receive $15 to $40 from each plasma donation, and if you are in proper health, you can donate twice a week and recover quickly. Even in perfect health, you may experience short-term side effects from plasma donation, such as high temperature, body aches, fatigue, and dehydration. You may also feel dizzy, and it can sometimes escalate to fainting. To avoid suffering these consequences, take care of yourself after donating. Eat a proper meal, drink plenty of water, and get a good night’s rest.
8. Ask Family for Help
If you need money fast, consider asking your friends and family. Your parents only want what’s best for you and may provide you with funds without any strings. Other times they can give you little to no interest. However, asking someone for money in your circle can be uncomfortable, and being unable to repay them may cause tension in your relationship.
See: TransUnion: US Credit-Card Loan Delinquencies to Rise in 2023
Only borrow money from family or friends if you can repay it. Unpaid loans can cause friction between the debtor and the creditor. To avoid problems, contract your repayment terms with the lender. This measure will set clear expectations and help prevent future conflict.
Endnote
Most Americans are financially unprepared for emergencies, such as natural disasters, accidents, or medical conditions. Taking credit-card debt may seem ideal in such situations, but it requires a good credit score which may only be possible after a while.
Instead, consider borrowing money from friends or family. If your credit score limits your options, get an emergency loan from an authorized financial institution. You can also sell your assets or earn money from doing extra jobs. Consider selling the extra items in your house in a garage sale or to a pawnshop. If you are in good health, you can make quick cash by donating plasma. You can quickly raise money and effectively overcome emergencies through these methods.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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5 Ways to Raise Cash Fast in an Emergency
Guest Post | Dec 29, 2022
Image: Pixabay
No one ever thinks it'll happen to them, but financial emergencies, like unexpected medical bills or a car repair, can occur at any moment. While now isn't the time to worry about how you ended up in such a situation, finding fast ways to raise cash is generally a top priority if you find yourself in an emergency. Whether you turn to friends and family for support, sell your physical items for a quick profit, look into loans from alternative sources or even adopt a side hustle during this stressful time, here are creative ways you can raise some money in an emergency.
Get a Car Title Loan
A car title loan is a secured loan where you can use your vehicle's title as collateral in exchange for cash. Car title loans are typically short-term, but the interest rate and terms may be more lenient than those offered by other sources. They often have a high interest rate, so weighing your options and understanding the full risks is essential.
Before signing any paperwork, calculate how much you'll need to pay each month and be sure you can make payments on time. If you're applying for car title loans online, thoroughly research the lender. Check the terms and conditions and read customer reviews to ensure you get the best deal.
Consider a Payday Loan
Payday loans are short-term, unsecured cash, and are generally provided as advances due on your next payday. While they often come with high-interest rates and can be risky if not paid back in time, they may offer a viable solution for those with poor credit who need an influx of cash quickly. As with car title loans, it's essential to research all terms and conditions carefully before entering into any agreement.
The downside to payday loans is that, in some cases, the interest rates can be astronomical, so it's essential to pay attention and ensure you know what you agree to. Also, taking out too many payday loans at once could hurt your credit score.
Ask Friends and Family for Help
If you need help in an emergency, don't be afraid to reach out to your network of friends and family. You may be surprised at how many people will loan you with a reasonable interest rate or no interest. It's crucial to craft a plan for repayment that everyone is comfortable with before finalizing any agreement.
Sell Your Stuff
You never know how much your stuff is worth until you list it for sale. Look around your home and consider what items you can part with quickly to make extra cash. You may even be a better deal at the pawn shop, but remember that they take a hefty cut of the final sale. Items like electronics, jewelry, and antiques are great places to start. You can also sell your clothes, furniture, and other household items on resale sites like eBay or Craigslist.
Seek Out Alternative Loans
If you have a good credit score, you may be able to find an alternative loan with reasonable interest rates. Personal loans are a great way to access cash without the risk of accruing too much debt. With some lenders, you can apply and receive your funds in as little as one business day.
See: Tips for Choosing the Best Mortgage Lender
There are several ways to raise cash in an emergency. Whether you turn to friends and family, take out a loan or sell your items for a quick profit, there are options available that can help get you the money you need when time is of the essence. Remember to research before entering any agreement with a lender and have a plan in place.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Tips for Choosing the Best Mortgage Lender
Guest Post | Dec 28, 2022
Choosing a mortgage lender is a crucial home purchasing decision because they determine the interest rate and other different fees you'll be paying. Consider your specific financial condition and needs when looking for a good mortgage lender. This article outlines five tips for choosing the best mortgage lender.
1. Research your mortgage options
Researching the various mortgage types that different lenders offer, including conventional, jumbo, fixed-rate, adjustable-rate, FHA, and other government-supported loans is essential to helping you find the best mortgage lender. A lender evaluates your financial condition and ability to repay to ascertain whether you satisfy their underwriting standards. Based on their findings, they then offer you various mortgage loan options with different terms and interest rates.
Shopping around for mortgage lenders enables you to find the best terms and the lowest interest rates. Reading online resources, such as Canada’s finance blog and other materials, can help you determine the most suitable mortgage option, depending on your budget and financial situation.
2. Build your credit score
While the credit score requirements for mortgage loans differ by lender and type of loan, a high credit score can help you find the best lender and more loan program options. Before beginning your mortgage lender shopping, know your credit score and ensure the credit report is accurate. If your score is unhealthy, find ways to boost it to increase the possibility of qualifying for a mortgage loan and reduce your interest rates.
Mortgage lenders review your credit history to determine if you’re a risky client. Mortgage lenders might decline your loan application if your credit score is too low. Lenders may look at your DTI (Debt-to-Income) ratio to determine if you can handle the mortgage payment plus any existing debt.
3. Create a budget
Knowing how much you can afford for a house is crucial to finding the right mortgage lender. Lenders may qualify for loans that maximize your budget while leaving no room for unforeseen expenses. Nonetheless, accepting such a mortgage can be detrimental to your finances. Lenders pre-approve your mortgage loan depending on revolving debt, outstanding loans, and gross income. They don’t take into account other monthly bills, including gas, utilities, groceries, or insurance.
Consider all your financial goals and all these expenses to get a precise idea of how much you can afford. Look at your net income to calculate what you can spend on the mortgage payment. With a proper budget, getting the best mortgage lender becomes easier.
4. Compare multiple lender rates and terms
Picking the first lender you speak to isn't a good idea because different lenders have varying loan terms and rates. Consider comparing multiple mortgage loan lenders, including credit unions, banks, individuals, and online lenders, to ascertain that you're settling for the best deal concerning fees, terms, and interest rates. Look for a lender who communicates in your preferred way. Comparing lenders can help save money in the long term.
5. Get recommendations
Recommendations from family or friends are one of the simplest ways to find the right mortgage lender. Ask them everything about the lender and the service terms they got. If you’re in a similar financial condition, consider using the information to negotiate better or similar terms.
Endnote
Getting the best mortgage rates and terms solely depends on the lender you're working with. Use these tips to choose the best mortgage lender.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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How Learning About Coupon Shopping Can Help You Manage Your Money Better
Dec 23, 2022
Image: Unsplash/Tamanna Rumee
Shopping with coupons is one of the best ways to save money on everyday items. It can help you stretch your budget and get more for less. Coupon shopping allows you to find the best deals available so that you can maximize your savings and still get quality products. In this blog post, we will explore some tips and tricks for successful coupon shopping. We will also look at some of the common mistakes that people make when using coupons, and how to avoid them. With these tips in mind, you'll be able to maximize your savings without spending a fortune. Let's get started!
You Can Save On Luxury Brands
Many people think that coupon shopping is only for everyday items, but it can be used to save even on luxury brands. With a little research and savvy shopping tactics, you can find coupons that will help you get designer clothes, accessories, and other items at discounted prices. Look out for coupons in magazines, newspapers, online stores, and websites, and use them when shopping at luxury retailers to save a bundle. You can find Dior deals, Gucci discounts, and more by searching for coupons. To ensure you are getting the best deal, compare prices at various retailers. With a little effort, you can get great high-end items at discount prices!
Food Coupons Help The Pantry Budget
Food coupons can be a great way to help stretch the grocery budget. They make it easier to buy more while spending less. Not only do they save money, but they also support local businesses. Many people don't realize that when they use their food coupons at the grocery store, they are helping keep local businesses afloat as well.
By using food coupons to buy items that the pantry has on its shopping list, shoppers can help provide much-needed groceries to families in need. Food coupons are a great way to make sure that everyone has access to healthy, affordable grocery options while helping support local businesses.
Using A Coupon In Addition To A Sale Is Great
Shopping with coupons in addition to taking advantage of a sale can be an incredibly effective money-saving tactic. Combining the two will often result in a greatly reduced price for the item you’re purchasing, so it pays to keep an eye out for both opportunities when shopping. Coupons are especially useful if the store is offering a sale on something you already wanted to buy, as the coupon can make it even cheaper.
Shopping with coupons and sales is also a great way to stock up on items like paper towels or cleaning supplies at a significantly reduced cost. By doing this, you’ll be able to save money in the long run while still getting the quality product that you need. So, next time you’re shopping, don’t forget to check for coupons in addition to the sales that may be available. It could mean big savings for your wallet!
Image: Unsplash/freestocks
Some Stores Will Let You Use Duplicate Coupons
Many stores will allow shoppers to double up on coupons, meaning they can use two identical coupons for the same item. This is a great way to save even more money when shopping with coupons! To be able to do this, you'll need to check each individual store's policy (which may change often) and make sure that they allow duplicate coupons.
It's also important to check that the coupon is valid and unexpired before using it. If you are able to use duplicate coupons, be sure to stack them up for even bigger savings! With a little bit of research and proper planning, this money-saving strategy can pay off in big ways.
Don't Be Afraid Of Bartering
Bartering is a great way to save money when shopping with coupons. You can use coupons to get discounts on items and then barter with the store or retailer for an even better deal. Don't be intimidated by the process—it doesn't have to be complicated. Start by looking around at competing stores and websites, as they may be willing to offer better deals.
You can also try asking for a discount or offering to pay cash instead of using a credit card. Finally, don't be afraid to walk away if you're not getting the deal that you want—you never know when another opportunity will come along. Once you get comfortable with the process, bartering for coupon shopping can be an incredibly effective way to save money!
See: Best Online Payment Processors For Small Business In 2022
In conclusion, coupon shopping can be a great way to save money and support local businesses. With a little bit of research and effort, you can take advantage of discounts on items like Gucci and more. You can also use coupons in addition to sales for further savings, as well as double up on identical coupons at certain stores. Finally, don't forget about bartering for discounts or special offers—it can be an easy way to get the best deal possible on an item. So, next time you go shopping, don't forget about coupons!
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Legal & Financial Tips to Help You Handle a Road Crash
Dec 22, 2022
Image: Unsplash/Karsten Würth
No one expects to be involved in a car accident, but it happens more often than you think. It can be challenging to determine the next steps if you've been an unfortunate road crash victim. You must know your legal and financial rights when dealing with an automobile accident. This blog post focuses on some tips on how to handle a road crash legally and financially so that you get the best possible outcome from such an unfortunate event.
Call the Police and File a Report
Informing the authorities is the first step towards handling a road crash. Calling the police will help to document any evidence, such as witness accounts and photographic evidence. It also means that your legal rights are protected and that you can bring a case against anyone who was at fault for the crash.
Filing a report is essential for receiving insurance money or other financial compensation. You will also need to make a statement documenting what happened from your perspective.
Seek Medical Support
Your health needs to be your top priority in the event of a car crash. Even if there are no visible injuries, it is crucial that you seek medical advice and support to rule out any potential internal or unseen damages.
Make sure to keep all your medical records, as they will be helpful when filing for compensation from insurance companies or other parties at fault. Remember that even if you don't feel any pain or discomfort immediately, the effects of car accidents can take days or even weeks to show up.
Seek Legal Support
Given the complexity of legal matters regarding road crashes, hiring a lawyer is often advisable. You must clearly understand your rights and the best way to get the compensation you are entitled to.
When choosing a lawyer, find one who specializes in car crash cases and has a high success rate. Read reviews and ask for references to ensure that you are working with the best possible person for your case. The best car accident attorney will also be familiar with local laws and regulations, which will help your case. Target a legal team that will fight for your rights and ensure you receive the most favorable outcome. Look also at the level of exposure.
Understand Your Insurance Policy
It is essential to read through your insurance policy to know what is covered and what isn't. Understanding your policy means knowing how much coverage you have and what kind of financial support you can expect in the event of an accident.
If you need more clarification, contact your insurer or talk to a legal advisor who can explain things more clearly. Knowing what is covered by your insurance policy will also help you determine any potential costs that may have to be met out of pocket.
Concentrate on Evidence Compilation
If you can, take pictures and video footage of the accident scene. This will help strengthen your case if it goes to court. It would be best to gather witness statements from people who saw the accident or were involved.
It is also essential to save any documents related to the crash, such as medical bills and repair costs. This will allow you to understand better any financial losses you have incurred due to the incident.
Get the Lawsuit Valuation Right
To receive the compensation you deserve, you must ensure that the compensation calculation is correct. This means ensuring that all your losses, such as medical bills and repair costs, are considered.
It can be difficult to calculate an accident-related injury's monetary value accurately. Therefore, it is essential to have a legal expert with experience in these cases to ensure that the lawsuit valuation is accurate and fair. A legal team can also help you by negotiating with insurance companies and other parties involved.
Censor Your Conduct
Image: Unsplash/Erik Mclean
It is important to remember that anything you say or do can be used against you in court or when filing for compensation. Therefore, you must avoid making any statements that could be interpreted negatively and refrain from doing anything that could hurt your case.
Ordinarily, avoiding talking to the other party involved in the accident is also advisable. If necessary, remain polite and cordial but don't make any commitments or provide details. The same applies when speaking to insurance companies. Let your legal team handle all negotiations on your behalf.
See: Global Reinsurance Giant Calls for More Innovation, Capital, and an Insurance-Linked Securities (ILS) Marketplace
By following these tips, you can ensure you get the best possible outcome from a road crash. Knowing your legal rights and understanding your insurance policy is key to ensuring you receive the compensation you are entitled to for any damages or losses. Feel free to seek professional help if necessary to handle your case correctly.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Why You Should Never Invest Your Emergency Fund
Guest Post | Dec 20, 2022
Credit: Austin Distel via Unsplash
It’s a tough time for people who like to save. Thanks to a 40-year-high inflation rate, the money sitting in your emergency fund is rapidly losing value.
It’s simple math. Inflation has been hovering around 7% for some time now, while a basic savings account barely scrapes together 1% interest. That means the rising price of a latte, a week’s groceries, or a car outstrips any gains you make on your emergency fund by a long shot.
With your savings actively losing value, you might consider investing your emergency fund to maximize your growth potential. But should you? Generally, it’s a bad idea. Here’s why.
You Might Not Be Able to Access it Quickly Enough
The typical emergency fund is an urgent backup of savings to help you as soon as something goes south. If your dog gets hit by a car and needs immediate care, you can dip into this cash to cover your vet bills without delay.
You can withdraw cash from a personal savings account with relatively few hurdles or time delays, but the same can’t be said about all investments.
While some investments are nearly as liquid as savings, others are not. Depending on your investment, you may not be able to cash out as quickly as you expect.
Borrowing Comes with Interest and Finance Charges
When your investments are on hold, it can feel like you’re fielding an emergency without any savings at all. If your trip to the vet can’t wait, borrowing a line of credit may be the only way to save your pet.
The lenders at Fora Credit host simple and quick applications that may fast-track your access to a line of credit. If approved, you can draw against your limit and receive your money quickly.
A line of credit is a popular safety net used by millions of Canadians. However, like any personal loan, a line of credit comes with interest and finance charges. These extra fees mean you pay more this way than if you use basic savings.
You May Pay Taxes on Your Withdrawal
Usually, when you take out money from the ATM, you don’t have to worry about paying taxes on your withdrawal. At most, you may have to pay the earned interest on your account.
Cashing out your investments doesn’t go as smoothly from a tax perspective. If you sell at a higher price than what you initially paid, you’ll have to pay taxes on 50% of your capital gains.
While taxes aren’t the same as the interest and finance charges applied to a line of credit, they serve the same purpose. Capital gains tax adds to the cost of your emergency; you’ll pay more to access these funds than if you withdraw cash from a basic savings account.
You Could Lose a Lot of the Money You Save
Historically, stocks increase over the long term despite momentary ups and downs in the economy. But you have to endure these dips to capitalize on the eventual rise.
See: Do employees pay less taxes by exercising stock options pre-IPO?
Unfortunately, the nature of emergencies means you might have to cash out fast, long before you can see improvements over time. Worse yet, your investment may fall on the day you need to withdraw, meaning you have less money than what you started with.
Bottom Line
The stock market isn’t an ideal holding for your emergency fund. If you’re still worried about losing value on your savings, search for high-interest savings accounts instead. They earn more than the average basic account, so they’re a better defence against inflation.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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TransUnion: US Credit-Card Loan Delinquencies to Rise in 2023
BNN Bloomberg | | Dec 14, 2022
Image: Pexels/Monstera
US credit-card and personal-loan delinquencies are likely to rise in 2023 to the highest in a dozen years, with lenders cutting back on originations as a potential recession looms.
- Forecast released Wednesday by credit-reporting firm TransUnion:
- Serious card delinquencies are expected to climb to 2.6% at the end of next year from 2.1% at the close of 2022.
- Delinquency rates for unsecured personal loans are also expected to gain, to 4.3% from 4.1%.
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See: Walmart-backed Fintech Startup to Launch BNPL Loans
- Credit-card originations are expected to slump 7.6% next year while still remaining higher than last year’s total. The projected dropoff would follow two years of aggressive loan growth, especially for credit cards and personal loans, and serious-delinquency rates close to pre-pandemic levels.
- Outside of credit cards and personal loans, another area of lending is seeing a dropoff in originations: mortgages. The Federal Reserve has been boosting interest rates in an attempt to damp inflation, increases that have made their way into home-loan costs. The average rate for a 30-year, fixed loan surged past 7% this year — the first time it’s broken that level in two decades.
- Opportunity for lenders is in auto-loan originations, TransUnion said, with an expected growth of 6% across all borrower risk tiers in the fourth quarter of next year.
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The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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