During the government shutdown and SNAP pause, a lot more people turned to strangers to ask for loans

"Tariffs have raised the price of goods from coffee to clothing, inflation is still rising, and more than 1 million jobs have been cut since January. Then came the longest government shutdown in U.S. history, which furloughed some 670,000 federal workers. Another roughly 730,000 had to keep working, just without pay, according to the Bipartisan Policy Center. And amid that came a pause in SNAP benefits, which left 42 million Americans without the food stamps that help them afford groceries."

"SoLo Funds, a community finance platform, has seen the impact of these events firsthand. Requests for loans on the SoLo platform relating to EBT and SNAP increased 32% since October 1, compared to the year prior. Loan requests relating to the government shutdown or furloughs-like users saying they missed their paycheck because of the shutdown or that they were waiting on furloughed pay-surged 775% as of October 1, compared to the average weekly volume of requests in the months prior."

"And throughout 2025, SoLo funds says its continued to see spikes in loan requests for basic necessities like groceries, rent, and utilities. How SoLo Loans work SoLo is a financial service, but it doesn't operate like a typical bank. Members can get a checking account and a debit card, plus access to the loan marketplace. There, they can make loan requests, citing a reason that they need the money."

Tariffs, rising inflation, and more than one million job cuts since January have increased financial strain for many Americans. The longest U.S. government shutdown furloughed about 670,000 federal workers while roughly 730,000 worked without pay, and a pause in SNAP benefits left 42 million people without food assistance. SoLo Funds reported that loan requests mentioning EBT and SNAP rose 32% since October 1 year-over-year, and requests tied to the shutdown or furloughs surged 775% compared to prior weekly averages. The 775% increase raised requested loan amounts from thousands to hundreds of thousands of dollars. SoLo’s marketplace lets members request loans that other members can fund directly.

Read at Fast Company