Borrowers’ Frequently Asked Questions
How much does it cost to apply for HFLSD loans?
There is no fee to apply for an HFLSD loan.
What additional documentation will I need to provide?
We will ask that you provide tax documents, recent paystubs, proof of need, government issued identification, and potentially additional documentation depending on loan type. HFLSD will also obtain a credit report.
How much interest is charged on HFLSD loans?
HFLSD loans are interest-free.
What is the maximum amount I can borrow?
The maximum amount of an HFLSD loan is $20,000, with some exceptions.
When will I know if my loan is approved?
You will know within one week after your interview if your loan is approved, and you will then sign a promissory note for the amount of the loan.
If I am married, can my spouse act as a guantor on HFLSD personal loans?
If you are married, both you and your spouse will be co-borrowers on your loan. You would need to have other people as the loan guarantors.
Who must sign my promissory note?
In addition to your spouse (if you are married), your qualified guarantors must sign the promissory note. Hebrew Free Loan of San Diego must approve all guarantors.
I am a guarantor for an HFLSD loan that is being paid back. Can I apply for an HFLSD personal loan?
If you are a guarantor on an HFLSD loan that is being repaid, you may not apply for an HFLSD loan until the loan you guaranteed is paid in full.
How much time do I have to repay my loan?
Personal loans repayment terms are based on the loan amount and typically are from one to three years. Special circumstances that require longer terms will be discussed during your interview.
I am currently paying back an HFLSD loan. Can I apply for another one?
If you are repaying an HFLSD loan, you may be considered for an additional loan. Please contact Hebrew Free Loan of San Diego at info@hflsd.org or (858) 345-8018 to discuss your situation.
I previously had an HFLSD loan and paid it off in full. Can I apply for another one?
If you have paid off an HFLSD loan, you may be considered for an additional loan. Please contact Hebrew Free Loan of San Diego at info@hflsd.org or (858) 345-8018 to discuss your situation.
Why does HFLSD require guarantors?
HFLSD requires guarantors on our loans to ensure that we can continue to help people in the San Diego Jewish community! Guarantors serve as our form of back-up, in the event that a borrower defaults on a loan. When you borrow money from HFLSD, you only pay back what you borrow. We do not charge interest; therefore, we do not generate any money from the loans that we grant. We exist solely on donations, grants, and our loans being paid back. Repayment ensures that HFLSD can continue servicing the community in the future!
I am too embarrased to ask for a guarantor. Do you have any tips?
Of course! Asking for a guarantor on a loan is nothing to be embarrassed about. Everyone needs help at some point in their lives, and chances are that there is someone in your life who will understand your situation and be willing to help you. A guarantor is a person who will help you help yourself through an interest-free loan. When asking someone to co-sign you may want to consider the following:
- Ask people who are permanent figures in your life—family, close friends, trusted religious figures, etc. It helps to ask someone who has known you for a long time and knows your character.
- Explain your current situation to the potential guarantor(s). Be honest and open! If the person you are speaking with truly understands why you need the loan, they will be more willing to help.
- Show your potential guarantor(s) that you have the ability to repay a loan through HFLSD. It may be helpful to show them the budget sheet from our application and the surplus that remains in your budget after you subtract your expenses.
- Let your potential guarantor(s) know that they do not have to disclose their financial information to you. If they decide to be a guarantor for you, they will work directly with HFLSD during the review of their financial documents.
- Do not expect an answer right away! Ask your potential guarantor(s) to think about it and get back in touch with you after a day or so. Assure them that HFLSD is happy to answer any questions that they may have, and that they may call us at (858) 345-8018 or email info@HFLSD.org
Watch the video on why guarantors are important.
Is the guarantor kept "in the loop" regarding the loan s/he guaranteed?
If a borrower is late on payments or has stopped making payments, guarantors will be notified by phone, email, and mail. Once a loan is paid in full, guarantors will receive written documentation that the loan has been repaid.
