Cash Kitchen Loan Reviews: Everything You Need to Know

Cash Kitchen has become an increasingly popular option for getting quick cash loans in recent years. But are they legit or just another predatory lender? In this comprehensive review, we’ll take an in-depth look at Cash Kitchen including their loan products, fees repayment terms, eligibility, and whether or not they are a scam.

Overview of Cash Kitchen

Cash Kitchen operates an online lending platform that provides short-term installment loans and lines of credit up to $5,000 They market themselves as a way to get fast cash transferred right to your bank account to cover emergency expenses or bridge gaps in income.

According to their website, Cash Kitchen considers factors like income, employment, and credit history when determining loan eligibility and terms. However, they claim to work with both good and bad credit borrowers.

Cash Kitchen Loan Products

Cash Kitchen offers the following loan products:

• Installment loans – These are lump sum loans for a set dollar amount that are repaid in fixed monthly payments over 3 to 24 months. Loan amounts range from $100 to $5,000.

• Lines of credit – With a line of credit, you are approved for a maximum credit limit but can draw down as needed up to that limit. As you repay, that credit becomes available to access again. Credit limits range from $100 to $5,000.

Both installment loans and lines of credit can be used for any purpose with no restrictions on spending.

Cash Kitchen Loan Costs and Fees

Cash Kitchen loans come with interest and fees, which can be substantial. Here are some of the common costs borrowers will incur:

• Interest rates – Rates range from 149% to 378% APR for installment loans and 151% to 378% APR for lines of credit. The specific rate offered will depend on eligibility factors.

• Origination fees – For installment loans, origination fees of 0% to 4% of the loan amount apply. Lines of credit have origination fees of 6% to 8% of the credit limit.

• Monthly fees – A monthly maintenance fee of up to $10 may be charged for lines of credit.

• Late fees – A late payment fee of $15 or 15% of the overdue payment (whichever is greater) is assessed if payment is not received within a 10 day grace period of the due date.

• Non-sufficient funds fees – A $25 fee is charged if an automatic payment attempt fails due to lack of funds.

With interest rates up to 378% APR, costs can quickly spiral out of control. Borrowers should read loan terms closely and budget carefully for repayments to avoid fees.

Cash Kitchen Loan Terms

Cash Kitchen installment loans allow borrowers to choose loan terms from 3 months to 24 months. Longer terms mean lower monthly payments but greater interest costs over the life of the loan.

For lines of credit, the draw period allowing access to approved funds ranges from 6 months to 24 months. There is then a separate repayment period up to 24 months to pay back the balance.

The advantage of lines of credit over installment loans is the flexibility to only take what funds are immediately needed. With installment loans, the full loan amount is disbursed upfront.

However, lines of credit also carry the risk of temptation to overspend up to the credit limit. Borrowers should be cautious not to take on debt they cannot repay.

Cash Kitchen Repayment Options

Cash Kitchen offers several repayment options:

• Bank account debit – Automatic withdrawals from a checking account are the default repayment method. Payments are made on the due date.

• Wage assignment – Borrowers can authorize automated deductions from their paycheck if allowed by their employer.

• MoneyGram – If other options are not available, payments can be made in-person at MoneyGram locations using a provided reference number.

• Credit/debit card – One-time payments can be made online using a credit or debit card. However, automatic recurring card payments are not accepted.

Having flexible repayment methods can make it easier for borrowers to stay current on their loan. However, automated debits also make it easier to fall behind if account balances are mishandled.

Cash Kitchen Loan Eligibility Requirements

To qualify for a Cash Kitchen loan, applicants must meet the following eligibility criteria:

• Be a U.S. citizen or permanent resident
• Be at least 18 years old (19 in Alabama and 21 in Mississippi)
• Have a regular source of income
• Have an active checking account (required for payments)
• Provide a valid Social Security number and government ID
• Not currently be involved in bankruptcy proceedings

They claim to work with all credit scores, but poor credit will result in higher interest rates and smaller loan amounts approved. First-time borrowers may max out at $500 loan offers.

Overall, Cash Kitchen’s eligibility requirements are fairly standard for the payday and installment loan industry. The barrier to qualify is low, allowing those with limited credit access to get approved.

Is Cash Kitchen Legit or a Scam?

With sky high interest rates and suspiciously easy access to quick cash, you may wonder – is Cash Kitchen a scam?

While predatory and expensive, Cash Kitchen loans are within the bounds of legal lending practices. However, borrowers should approach with extreme caution.

Here are some key facts about Cash Kitchen:

• Registered business entity (BlueChip Financial d/b/a Cash Kitchen)
• Headquartered in Illinois
• Operating since 2020
• Licenses to lend in 12 states
• 256 complaints with Better Business Bureau (BBB)

The company provides actual loans and is upfront about its rates and fees. So they check out as a legitimate lender. However, the BBB complaints signal some potential issues reported by customers.

The biggest concerns around Cash Kitchen include:

• Excessively high interest rates and fees
• Aggressive collections practices
• Unauthorized or duplicate withdrawals
• Misleading marketing and sales tactics
• Difficulty contacting customer service

While they are not a scam, these reports indicate borrowers could still encounter problems when dealing with Cash Kitchen loans.

Cash Kitchen Loan Reviews From Borrowers

Looking at first-hand experiences can provide valuable insights into dealing with a lender. Here are examples of some recent Cash Kitchen customer reviews:

“I took out $300 installment loan with payback over 6 months. My payments were $90 per month which is crazy! By the time I paid it off I had paid over $500 for a small loan. Will be looking elsewhere next time.”

“I have a line of credit with Cash Kitchen and they make it too easy to keep re-borrowing. I’ve paid hundreds in fees over the past year and still haven’t paid off my balance. Stay away if you have trouble with self-control like me!”

“They kept trying to pull loan payments multiple times causing overdraft fees for me. I would not recommend Cash Kitchen to anyone. Their interest rates and fees should honestly be criminal.”

“Customer service was useless when I tried calling about unauthorized bank withdrawals. It was like talking to robots following a script. I had to file disputes with my bank.”

While some borrowers report a smooth process, many have run into issues with aggressive collections, account errors, and lack of responsiveness when problems occur. These reviews match up to the types of complaints reported to the BBB.

Cash Kitchen Alternatives to Avoid High Fees

The bottom line is Cash Kitchen loans can end up being very expensive, even predatory, for borrowers. Here are some lower cost alternatives to consider:

• Local credit unions – Offer personal loans and lines of credit with reasonable rates for those who qualify.

• Payday alternative loans – Some credit unions provide small emergency loans at lower cost than payday lenders.

• Borrow from family/friends – Ask loved ones to help if possible rather than unknown lenders.

• Credit cards – While not ideal for debt, major credit cards likely have lower rates than Cash Kitchen’s 378% APR.

• 401(k) or pension loans – Some retirement plans allow loans against your balance.

• Debt management plans – Work with a credit counseling agency to consolidate debt into one monthly payment.

• Bank/paycheck advances – Some banks provide fee-free cash advances or early direct deposit.

The best option is to avoid loans altogether. But if borrowing is unavoidable, explore all cheaper sources before turning to a company like Cash Kitchen.

The Final Word on Cash Kitchen Loans

Cash Kitchen provides easy access to fast cash for those in need. However, the ultra-high interest rates and fees mean most borrowers will pay back far more than they receive. Loose eligibility requirements also make it easy to get quick loans that will be a struggle to repay.

While Cash Kitchen itself is not an outright scam, borrowers could still run into issues like aggressive collections and poor support. Many who have used Cash Kitchen warn others to avoid their predatory loans that can quickly spiral out of control.

For anyone considering Cash Kitchen, tread carefully. Make sure you budget properly for repayments and explore all cheaper alternatives before moving forward. If possible, find other solutions to avoid dealing with this notorious lender