1. Difficulty in obtaining loans: because black households have no or poor credit records and their credit scores are very low, banks and other financial institutions will refuse to provide loans to them. Even loan assistance companies find it difficult to provide loan services to black households.
2. High loan interest rate: Lending companies can provide loans to black households and demand higher interest rates. Because of the high risk of black households' loans, the loan-assisting companies need to make up for the potential risks by raising interest rates, which is a great burden for black households.
3. The risk of fraud is high: because it is difficult for black households to obtain formal loan channels, they are more likely to become the targets of non-performing loan companies. These non-performing loan companies will use high loans as bait to defraud black households of money through high interest and expenses, and even take violent measures to collect loans. To sum up, it is useless for black households to seek loans from loan-assisting companies. Although loan companies can provide some loan services, it is very difficult and risky for black households to obtain loans. Black households should improve their credit scores and establish good credit records in order to obtain more loan opportunities and more favorable loan interest rates.