Brigit Cash Advance App

The majority of workers have to wait two weeks or more to get paid, creating a potential financial gap before payday. Cash advance apps – also referred to as earned wage products – claim to bridge this gap by offering short-term, interest-free loans to pay bills or other living expenses that are repaid once consumers get their next paycheck.

Brigit, for example, claims that its cash advance app spots consumers $25–$500 “in minutes,” depositing the money directly into their checking accounts. The company targets consumers in dire financial situations, including those who are “broke” and those struggling to pay for things like groceries and gas. According to Brigit, there’s no credit check, interest or late fees. And if you need more time for repayment, you can even request a free extension. The company goes so far as to claim that with its app, you never have to stress about money again.

But the ads leave out some important details. Here’s how the app actually works and what to watch out for.

Getting a cash advance

To get started, consumers have to link a bank account that has been active for 60 days, has a balance above $0 (despite Brigit’s claim that your bank account can be “dry”) and a history of at least three recurring paychecks from the same source. Brigit then uses that account history to determine the amount of the cash advance that they qualify for, with loans capped at $500.

Consumers then schedule a date for repayment – typically their next payday – and Brigit automatically withdraws the borrowed amount from their linked bank account on this day.

Don’t bank on $500

While Brigit claims that consumers can get up to $500, the fine print at the bottom of the company’s website states that the average consumer only qualifies for an advance of $73 and that some consumers don’t qualify for any money at all.

The cost of “instant cash”

This cash advance is only available to consumers who enroll in a subscription – either Brigit’s Plus membership, which costs between $8.99 and $9.99 a month, or its Premium membership, which costs $15.99 a month. TINA.org found that Brigit doesn’t clearly disclose its subscription terms until the final checkout page. And according to consumers, as well as the FTC, the ability to get out of these memberships is questionable (more on that below).

But consumers who enroll in the Plus membership may still not be able to get the cash “instantly” as Brigit claims – as it can take up to three days to hit their account. In order to get money “within minutes,” Plus members have to pay an additional fee for “express delivery” costing $0.99–$5.99 per advance (depending on the size of the advance), or upgrade to a Premium membership.

So while Brigit claims its instant loans come with “no interest,” some number crunching reveals that these loans are anything but free.

More strings attached

Despite Brigit’s claims that there are “no late fees” and that the app will save you from overdrafting, its terms clarify that if you don’t have enough money in your account when repayment is due, Brigit can still charge you and potentially cause you to suffer overdraft fees from your bank. (A week after we created an account with Brigit, we received an urgent email from the company saying that our bank account was negative, despite that not being true.)

And new users can’t count on those advertised “free extensions” either. Brigit’s website states you have to earn each extension by making two consecutive on-time payments (and you can only save up to three extensions at a time). Additionally, using the extensions may cause you to pay multiple subscription fees for the same advance since you could end up pushing your repayment into a new billing cycle.

Disclosure issues

Many of these fees aren’t disclosed in the ads at all. And those that are mentioned appear in fine print that leaves out many of the important details:

Not all users will qualify. Advances range $25 – $500, avg advance $72 from 2/2018 to 1/2026, ME: $25 – $250 only. Express transfer fee may apply. Monthly $8.99 subscription may apply. Cancel anytime.

Another disclosure issue? One of the influencer ads above, which doesn’t include any information about fees at all, also doesn’t disclose that the video is an ad for Brigit.

Consumers give their two cents

Perhaps unsurprisingly, consumers have reported many issues about Brigit to the BBB and left negative reviews on Trustpilot citing, among other things, low approved cash advance amounts, sneaky fees, difficulties canceling subscriptions and poor customer service. A sampling of complaints follows.

Legal troubles

In recent years, Brigit has faced legal challenges related to many of the issues discussed above.

In 2023, Brigit was ordered to pay $18 million in consumer refunds after the FTC sued the company in federal court alleging it made false promises of instant cash advances and made it difficult for consumers to cancel subscriptions. The stipulated order also requires Brigit to provide clear and conspicuous disclosures about its fees and subscription terms, as well as a simple cancellation mechanism, and prohibits the company from misleading consumers about how much money they can get through its cash advances, how fast the money will be available and any additional fees associated with the service.

In January, a class-action lawsuit was filed against Brigit alleging that the company is still failing to adequately disclose the terms of its subscriptions. The lawsuit is pending. And just this month, Minnesota took action against Brigit accusing the company of illegally issuing loans with APRs that “regularly exceed 300%, with some exceeding 700%.”

Brigit did not respond to a request for comment.

The bottom line

Consumers should be wary of cash advance apps as they often come with hidden fees and can leave you in a worse financial position than you started in. Additionally, when a company claims you can get hundreds of dollars in minutes, always make sure to do your research and look for any fine print before providing your banking information. Reading consumer reviews from a variety of third-party platforms can also be helpful.

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