This Guide seeks to define characteristics of a high- quality small-dollar credit product. It does not assume, however, that credit is the answer for every consumer. When people who face a chronic income shortfall or who already have debts they
cannot manage use credit to meet their basic needs, they put themselves at risk of falling into a dangerous cycle of debt. This Guide emphasizes responsible underwriting as a key component of a high-quality small-dollar credit product.
Small-Dollar Credit – Protecting Consumers and Fostering Innovation