Family Agriculture Resource Management Services (F.A.R.M.S.) has announced the launch of LoanGuard, a free artificial intelligence tool designed to help property owners and consumers identify predatory lending terms in loan agreements. The tool, now available at loan-scan.com, aims to address the $3 billion in annual fees that borrowers pay for predatory loans, according to a U.S. Federal Trade Commission report.
LoanGuard allows users to upload loan documents to a secure website, where the AI system scans for harmful clauses, excessive interest rates, and unfair penalties. Users receive a comprehensive report highlighting potential risks, and if concerning terms are detected, they gain free access to educational resources. "Many of my clients have lost generational wealth due to hidden predatory terms in loan agreements they didn't fully understand," said Jillian Hishaw, Esq., Founder and Director of F.A.R.M.S. and a licensed bankruptcy attorney with over two decades of experience.
F.A.R.M.S., which has operated for nearly 13 years, has saved $25 million in property assets by litigating against predatory lenders and using estate planning methods. The nonprofit, whose work is detailed at 30000acres.org, sees LoanGuard as a proactive prevention tool. "Recently, a bankruptcy client had a personal loan with a 249% interest rate. This tool is very useful for people seeking to secure personal loans without an extremely high interest rate," Hishaw noted. LoanGuard is free and reflects F.A.R.M.S.'s commitment to equipping underserved communities with knowledge to combat unfair lending practices.
The tool is not limited to farmers but serves the general public. F.A.R.M.S. also offers a free quiz at generationalfinancialwealth.com to help individuals assess their personal debt and estate planning status, with a discount on drafting wills and power of attorney documents. By analyzing loan documents instantly, LoanGuard empowers users to protect their livelihoods before signing potentially devastating agreements.
