Should You Accept Instant Cash from a Lending Lion?

The E-Z lending app comes with a fair share of risk

Andy Spears
2 min readOct 20, 2023
MoneyLion’s InstaCash solicitation email

Getting an advance on your paycheck may seem like a good idea — a way to manage cash flow and avoid overdraft fees or late fees.

Fintech lending app MoneyLion offers an “InstaCash” advance that purports to make borrowing from your next direct deposit easy and low cost.

However, the track record of this lending lion suggests the transaction could be a bit risky.

For example, MoneyLion ran afoul of the law in Minnesota where the friendly-seeming lion lender charged triple-digit interest rates on loans:

MoneyLion violated Minnesota state law by failing to be licensed by the state when it provided Minnesota-based consumers with certain loans with excessive annual interest rates of up to 645%. The settlement includes more than 700 loans issued to Minnesota consumers between November 7, 2016 and September 15, 2017. These loans ranged from $300 to $2,000 and MoneyLion charged interest rates from 9.79% to 645%.

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Andy Spears
Andy Spears

Written by Andy Spears

Writer and policy advocate living in Nashville, TN —Public Policy Ph.D. — writes on education policy, consumer affairs, and more . . .

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