Salary Advance Loan

Emergencies happen. Maybe you need a quick loan until your next payday. Our Salary Advance Loan is an inexpensive way to help.

Developed as a low-cost alternative to payday lenders, the Salary Advance Loan gives you the loan you need, plus a savings account and access to financial counseling to help you avoid a monthly borrowing cycle.

They trusted me enough to give me the money I needed to help
me get back on my feet. That was very valuable to me to know that LGFCU will give people a second chance."

Cynthia B. | Durham

Salary Advance Loan features

  • Maximum loan $500.
  • No fees.
  • Balance and accrued interest must be repaid by Funds Transfer from an LGFCU deposit account on the member's next pay date.
  • Must already have a paycheck on direct deposit with LGFCU.
  • Salary Advance Cash Account.
  • Self-serve process by phone or through Member Connect.

Salary Advance Cash Account

To help you begin saving for the future, a Salary Advance Cash Account is established for every Salary Advance Loan and serves as collateral for the loan.

  • The account earns dividends.
  • Access is restricted.
  • If a withdrawal is approved, borrowing privileges on the Salary Advance Loan may be suspended for a period of time.

There is a required deposit to the Salary Advance Cash Account as follows:

  • 5% if the balance is less than $500.
  • 7% if the balance is $500 or greater.

The Cash Account Annual Percentage Rate (APR) is based on the balance in Salary Advance Cash Account and subject to change. The APR cannot increase by more than 1% each quarter over the previous quarter and cannot exceed 18%. The APR is calculated by adding the index rate to the loan margin. When the Salary Advance Cash Account balance is at least $500, the loan margin is 5.25%. When the Salary Advance Cash Account balance is less than $500, the loan margin is 11.75%. The index rate is the 26-week Treasury Bill Rate set at the first auction held on or after the 15th day of the second month of the previous quarter adjusted up to the nearest 1/4%. The index rate cannot be less than 0.25%.

Next Steps

Choose a way to request your Salary Advance Loan.