[LoanMe]

Not really their rates can go as high as 149 percent ( I believe the lowest is 24 and a 5 percent origination fee )
Monthly is a big plus
But compare to a 1.3 factor for 12 months it is more expensive.
Now I do get that a 1.3 is not 30% apr as merchant is making daily payments but it is a lot less then 149%

Michael- Comparing a 1.30 factor to our 149% rate, probably isn't the best example.

Lets compare a $10k 1.35 factor 6 month term to our 94% rate product (Term Loan C).

MCA Example
Amount: $10k
Factor: 1.35
Term: 6 months
Daily payment: $107= ~$2250 monthly responsibility
Payback: $13,500

LoanMe Unsecured Term Loan C (Daily accruing simple interest)
Amount: $10k
Rate: 94% per annum
Term: 120 months
Monthly Payment: $783.43
Payback: $93,960 (We suggest borrowers pay off early saving interest charges)

If the borrower pays the same monthly amount as the MCA example above, watch what happens to the Term and Payback amount.

Loan Amount: $10k
Rate: 94% per annum
Term: reduces to 6 months (based on $2250 monthly payments)
Monthly Payment: $2250 (using same monthly responsibility as the MCA example above)
Payback: $13,438.53 pretty close to the MCA example above.

Bottom line is the LoanMe product is more flexible with monthly payments, no pre-payment penalties and the ability to let the borrower choose to:
1.) Make minimum monthly payments and pay off early in one lump sum which stops accrued interest
or...
2.) Make larger monthly payments reducing the Term and Interest charged.