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For many Americans, 2025 has been tough economically. 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, but 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 the Electronic Benefits Transfer (EBT) program and the Supplemental Nutrition Assistance Program (SNAP) have increased by 32% since October 1, compared with the year prior. Loan requests relating to the government shutdown or furloughslike users saying they missed their paycheck because of the shutdown or that they were waiting on furloughed paysurged 775% as of October 1, compared with the average weekly volume of requests in the months prior. While there wasn’t a government shutdown before October, SoLo says it did see references to those terms earlier in the year that were linked to delayed paychecks, budget freezes, or agency funding pauses. The 775% spike represents an increase from thousands of dollars in loan requests to hundreds of thousands of dollars, according to the company. And throughout 2025, SoLo funds says it’s continued to see spikes in loan requests for basic necessities such as groceries, rent, and utilities. [Screenshots: SoLo Funds] How SoLo Loans work SoLo is a financial service, but it doesnt 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. Other members can then scroll through the marketplace of loans and choose to fund someones loan directly. Instead of a hefty interest ratelike those that come with “buy now, pay later” (BNPL) or payday loansloans through SoLo come with a flat fee; interest doesnt compound or accrue over time, and theres no penalty for late payments. And yet SoLo says its repayment rate is above 94%. Borrowers can also leave a tip for lenders. SoLo founders Travis Holoway and Rodney Williams [Photo: courtesy SoLo Funds] What we have been able to quantify is that working-class Americans, the heart and soul of our country, even in times of low or inconsistent income, they tend to figure it out, says SoLo president and cofounder Rodney Williams. With standard loan products, you cant get a loan if youre figuring it out. You cant get a loan in between jobs. SoLo does not require proof of income for its loans, but instead requires a snapshot of cash flow; its AI underwriting process then provides a score to the user. The company first launched in 2018 and has raised $15.5 million in funding to date. That isnt exactly significant capital compared with the top fintech companies. Stripe, Chime, and SoFi, for example, have all raised billions of dollars (and the latter two are now publicly traded). But Williams says SoLo sees 20% growth every quarter. The people have decided they need this, he adds. Community finance in action Overall, the top five reasons people request SoLo loans are for utilities, rent, medical bills, pet bills, and car repair. Requests for groceries have spiked recently, too. These are measures of consumer confidence and sentiment, Williams says. SoLo has grown to more than 2 million users who are actively on the platform to make ends meet, he adds. Since its launch, users have provided $700 million in loans to other individuals. The average SoLo Funds loan request is around $250. Members can borrow up to $625, but first-time borrowers start at $100 and earn the ability to request higher amounts as they repay on time. That loan requests for furloughed workers, the government shutdown, EBT, and SNAP have increased since October highlights how Americans continue to face financial struggles, as well as how community support has emerged as a stopgap. [Those Americans] came to community finance . . . and asked for people to help. And guess what? They got funded, because people can see this person is just in between situations because of the government, Williams says. Like, this is a good person, and Im going to bet on that person. Community support has surged as people have felt abandoned by their government. Across the country, individuals have shared resources for federal workers and donated food to those in need. SoLo considers itself another form of community support; its loans can be used for anything, in any situationunlike “buy now, pay later,” which requires the merchant to offer that option (someone likely cant use BNPL to fix their flat tire, Williams notes) or even earned wage access, which requires someone to have a paycheck coming from which they can draw funds early. That option isnt available to furloughed or laid-off workers. Strangers helping strangers The government shutdown is now near a possible end, but many Americans may still need financial help, especially since healthcare premiums are set to increase substantially as a result of the Senate’s failure to extend the Affordable Care Act subsidies. Americans were struggling before the shutdown, and theyre going to be struggling after, Williams says. Though the stock market is strong, he notes, many Americans are underemployed, and fears of AI taking over jobs may keep those Americans from being employed at the level they should be, he adds. Plus, nearly 40% of Americans dont own any stocks and so they arent seeing those gains. Despite these challenges, Williams is buoyed by the empathy he sees on SoLos platformof individuals connecting and helping one another in times of need. Every day, thousands of people lend to and borrow from a stranger, he says. Every day, I see little American miracles of empathy.
Category:
E-Commerce
Americas aviation system is straining under the weight of the longest government shutdown on record: thousands of flight cancellations, long delays at major airports, and frustrated travelers nationwide. In an unprecedented move, the Federal Aviation Administration last week ordered airlines to scale back domestic flight schedules, saying the cuts are meant to ease pressure on an overstretched system and help manage air traffic control staffing. Unpaid for more than a month, some air traffic controllers have begun calling out of work, citing stress and the need to take on second jobsleaving more control towers and facilities short-staffed. The numbers show the shutdown’s toll on air travel: 40 Major U.S. airports where all commercial airlines have been required to cancel flights since Nov. 7 under the FAA’s orders. The list spans more than two dozen states and includes large hubs such as New York, Atlanta, Los Angeles, and Chicago. 12 Airports on the FAA’s list of 40 where the agency also expanded restrictions to limit business jets and many private flights. 4% The initial reduction in flight schedules ordered by the FAA. 10% The FAA’s ultimate flight cut target, which is expected to take effect Friday. The agency has said the restrictions will remain in place until staffing in its air traffic control facilities stabilizes and safety measurements improve, even if the shutdown ends before Friday. 1.9 million Daily passengers who use the 40 airports where flights have been reduced, according to the Bureau of Transportation Statistics. 5.2 million Passengers who have been affected by staffing-related delays or cancellations since the government shutdown began on Oct. 1, according to Airlines for America. The industry trade group represents Delta Air Lines, American Airlines, United Airlines, Southwest Airlines, Alaska Airlines and JetBlue. 9,500 Flights canceled between Nov. 7, the first day of the FAA-required cuts, and mid-day Wednesday, according to the flight tracking site FlightAware. 30 The average number of air traffic control facilities that had staffing issues during the six weekends since the shutdown began on Oct. 1. That is almost four times the number on weekends this year before the shutdown, according to an Associated Press analysis of operations plans sent through the Air Traffic Control System Command Center system. $10,000 How much President Donald Trump suggested air traffic controllers should receive as a bonus if they didn’t miss any days of work during the shutdown. Trump also threatened docking pay for those who haven’t stayed on the job. $285 million to $580 million The daily U.S. economic impact once the FAA’s 10% cuts take effect, according to Airlines for America, which said its estimate factors in reduced visitor spending, state and local tax revenue and spending across the broader economy. Rio Yamat, Associated Press Associated Press journalist Christopher L. Keller contributed.
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E-Commerce
A penny for your thoughts? Well, maybe try a nickel. Though it will remain legal tender, the last-ever one-cent coin was printed Wednesdayand not without some drama. After being in circulation for 232 years, the U.S. Mint in Philadelphia hosted a ceremonial event during which U.S. Treasurer Brandon Beach struck the final circulating penny. There are an estimated 300 billion pennies currently in circulation, a number far exceeding the amount needed for commerce, the Mint said in a statement but retailers say theyve already been dealing with coin shortages and a lot of confusion about how to price goods and services. It took about nine months for the pennys final day to arrive. In February, President Donald Trump announced that he had instructed the Mint to stop making the coin, citing the rising cost of production. Indeed, the Mint said the cost of making a penny has more-than doubled during the past decade, to 3.69 cents per penny. The coin has long been a target of lawmakers: As far back as 1989, legislation has periodically been proposed to limit or eliminate penny production. But its death knell ultimately came at the hands of Elon Musk and the Department of Government Efficiency earlier this year. THE PRO-PENNY GROUP Even though end days for the penny were announced in February, retailers and penny proponents are now grappling with what its elimination means. A perhaps-surprisingly vocal group has fought for years to keep the penny in our pockets. Americans for Common Cents is a pro-penny lobbying group that has an incentive to keep the coins in circulation as it is primarily funded by Artazn, the company that provides the blanks used to make pennies. Americans for Common Cents argued in February that the penny is not as problematic as it seems and eliminating this coin will actually increase minting costs if demand surges for nickels, which are even more expensive to mint. In response to Trumps announcement about the pennys end days, the group advocated instead for modernizing the currency system and, instead of eliminating the penny, focusing on making coin production more efficient. Since then, phasing out the penny has been a bit chaotic partly because theres no real plan for what retailers should do, Mark Weller, executive director of Americans for Common Cents, told CNN on Wednesday. When countries like Canada, Australia and Switzerland removed low-denomination coins from circulation there was guidance for retailersand thats not been the case in the U.S., he said. By the time we reach Christmas, the problems will be more pronounced with retailers not having pennies, Weller told CNN. PENNY PAIN FOR RETAILERS But a penny shortage has already arrived, affecting retailers like gas stations that handle a lot of these coins. And retail groups told Reuters last week that theyre frustrated by the lack of guidance theyve received from the Trump administration, which has forced them to round down transactions to avoid upsetting customers and violating laws in some states. Kwik Trip, which operates about 900 convenience stores in the midwest, announced last month that all cash purchases will be rounded down to the nearest five centsand that the policy will remain in place until a permanent legislative solution is enacted. Rounding down transactions may not seem like a big deal, but it could become a significant cost for high-volume businesses where pennies are commonplace. And to counteract the coin shortage, some stores are offering incentives to customers who pay with pennies, according to Reuters reporting. Any merchant that accepts cash is grappling with this, Dylan Jeon, senior director of government relations with the National Retail Federation, told Reuters. A spokesperson for the Treasury Department didnt immediately respond to a request for comment from Fast Company with any guidance for retailers. PENNY LEGACY The penny was first minted in 1792 and has seen many evolutions in materials over its lifetime, including during World War II when it was made from a zinc-coated steel due to a copper shortage in 1943. The image of President Abraham Lincoln first appeared on the penny in 1909 to commemorate the 100-year anniversary of his birth. While pennies for circulation will be discontinued, the Mint will continue to produce a limited quantity of the coin for historical and collector purposes. And its mostly focused on celebrating the copper-colored coin. While general production concludes today, the pennys legacy lives on, Kristie McNally, acting Mint director, said in a statement. As its usage in commerce continues to evolve, its significance in Americas story will endure.
Category:
E-Commerce
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