Barbados finance company loans are usually obtained by borrowers who lack sufficient credit to qualify for bank loans. These loans are easier to get. They also have higher interest rates.
There are currently just a couple of primary finance companies operating in Barbados. Consumers who seek one of these loans have few options to choose from.
The second largest finance company on the island is Globe Finance, Inc. The company has been providing consumer loans since 1998.
While a “personal loan” product is offered, it is not a true unsecured personal loan. Collateral will be requested to provide security for the loan.
Payments must be automated through salary deduction. Employment will be confirmed prior to loan approval. The company must be contacted directly to determine interest rate amounts.
Signia Financial Group
Signia is another major consumer finance company serving Bajans since 2003. In addition to vehicle loans and other types, personal loans may be obtained as long as a security interest is provided to guarantee the loan.
Loans are available to those with reasonable qualifications. A minimum salary of $21,600 per year ($1,800) monthly is required. A bank account is necessary to show financial responsibility, even if the payments are made by salary deduction.
While Consolidated Finance Company Limited has been one of the major operators in Barbados over the years, the company may be reevaluating their lending practices. Their primary website has been taken down which is usually a sign that a firm may be shutting down.
At the same time, the company continues to support local promotional events. The Consolidated Finance Green Expo was held in July 2014. This event featured food, music, games and many vendors. It is unclear if Consolidated Finance will continue to be a viable loan option. It is supported by banking partners Bank of Nova Scotia and RBC Royal Bank of Canada (Barbados).
These are the primary options for customers that choose to shun banks. Rates can be high, making this a less favourable choice than a bank or co-operative.