Consumer Finance Company (Noun)
Meaning
A finance company that makes loans to people who have trouble getting a bank loan.
Classification
Nouns denoting groupings of people or objects.
Examples
- The consumer finance company provided an alternative for individuals who were rejected by traditional banks due to poor credit scores.
- Many people rely on consumer finance companies to secure loans for essential purchases, such as cars or home appliances.
- Consumer finance companies often charge higher interest rates compared to banks, reflecting the higher risk of lending to borrowers with imperfect credit histories.
- The consumer finance company offered personalized loan plans to help individuals manage their debt and improve their financial stability over time.
- Some critics argue that consumer finance companies take advantage of vulnerable borrowers by charging excessive fees and interest rates, leading to a cycle of debt that is difficult to escape.