What are the red flags that FigLoans is a loan shark or not?

FigLoans is NOT a loan shark. It is a registered LLC with physical headquarters, founded by identifiable individuals (Jeffrey Zhou and John Li), and partnered with United Way . However, here is the complete red flag checklist you should apply to ANY lender—and how FigLoans measures up:

🔴 Red Flag #1: No physical address or identifiable owners

• FigLoans status: PASSES - Has headquarters in Sugar Land, Texas, and founders are publicly named .

🔴 Red Flag #2: Demands access to your phone contacts and photos

• FigLoans status: PASSES - No mobile app exists, so no contact scraping possible. However, they do ask for references on the application form .

🔴 Red Flag #3: Interest rates exceeding 100% APR

• FigLoans status: WARNING FLAG - APRs range from 35.99% to 279% depending on your state . While lower than traditional payday loans (which often exceed 400%), 279% is still predatory territory.

🔴 Red Flag #4: No credit reporting (so default hurts but on-time payments don't help)

• FigLoans status: PASSES - They report to TransUnion (and soon Equifax). On-time payments build your credit .

🔴 Red Flag #5: Hides terms or refuses to provide written contracts

• FigLoans status: PASSES - They provide clear loan terms and a responsible lending model .

🔴 Red Flag #6: Uses high-pressure tactics or cold-calls

• FigLoans status: PASSES - Fig never cold-calls customers. They only contact you via SMS if you started an application .

🔴 Red Flag #7: Asks you to send money to anyone else or purchase gift cards

• FigLoans status: PASSES - They explicitly warn against this common scam tactic .

Verdict: FigLoans passes most safety checks. The only amber flag is the high APR in some states. If you are in a state where the APR exceeds 100%, consider this a very expensive loan—use only as a true last resort.