What Are BMG Money Allotment Loans?
BMG Money's allotment loans — marketed as the LoansAtWork program — are personal installment loans designed specifically for federal government employees and retirees. What sets them apart from conventional personal loans is the repayment mechanism: instead of pulling a payment from your bank account each month, BMG Money coordinates with your employer or retirement system to deduct the payment directly from your paycheck or annuity.
This payroll allotment model creates a built-in safety net. Missing a payment is structurally near-impossible because the deduction happens at the source, before you ever see the money. This reduced default risk is part of why BMG Money can offer competitive rates (19.99–35.99% APR) without requiring strong credit scores.
How the Allotment Mechanism Works
Allotment Loan Rates & Terms
| Feature | Details |
|---|---|
| Loan Amounts | $500 – $12,000 |
| APR Range | 19.99% – 35.99% |
| Loan Terms | 6 – 60 months |
| Origination Fee | 5% one-time (included in APR) |
| Prepayment Penalty | None |
| Credit Check | Soft pull only — no hard FICO |
| Funding Speed | 1–2 business days after allotment confirmation |
| Credit Reporting | All 3 bureaus (Equifax, Experian, TransUnion) |
Payment Examples
Biweekly payment: ~$72 | Total repaid: ~$1,872 | APR: ~29%
Biweekly payment: $76.00 | Total repaid: ~$3,952 | APR: 31.35%
Biweekly payment: ~$133 | Total repaid: ~$6,384 (semi-monthly) | APR: varies by term
Your exact rate depends on your loan amount, term, and the specific program your agency participates in. Use the loan calculator on our homepage for a personalized estimate.
Who Is Eligible for BMG Money Allotment Loans?
Federal Civilian Employees
Active employees of U.S. federal government agencies — including GS, WG, and SES pay scales — at agencies participating in the allotment program. This includes employees of:
- Department of Veterans Affairs (VA)
- Department of Homeland Security (DHS)
- Department of Defense (DoD) civilian workforce
- U.S. Postal Service (USPS)
- General Services Administration (GSA)
- Social Security Administration (SSA)
- Internal Revenue Service (IRS) / Department of Treasury
- And many others across all federal departments
Active-Duty Military
Active-duty U.S. military service members (Army, Navy, Air Force, Marines, Coast Guard, Space Force) who have payroll managed through DFAS (Defense Finance and Accounting Service) may qualify for allotment loans, subject to the Military Lending Act (MLA) and applicable regulations.
Federal Retirees
Retired federal employees receiving annuity income under FERS, CSRS, or military retirement programs. Annuity payments are managed by the Office of Personnel Management (OPM), which can process allotment deductions from monthly annuity payments.
See our dedicated retiree loans page for full details on retiree eligibility and loan options.
What If I Change Jobs or Retire During the Loan?
If you leave federal employment or transfer to a non-participating agency while you have an outstanding allotment loan, the payroll deduction will stop. At that point, you'll need to arrange an alternative repayment method — typically ACH from your bank account. Contact BMG Money customer service at 1-800-316-8507 immediately if your employment situation changes so they can help set up alternative arrangements and avoid any negative reporting to credit bureaus.
Allotment Loans vs. Other Loan Types
| Feature | Allotment Loan | Personal Loan | Payday Loan |
|---|---|---|---|
| Credit Check Required | No ✓ | Hard pull | Sometimes |
| Typical APR | 19.99–35.99% | 12–30% | 200–400%+ |
| Missed Payment Risk | Very low ✓ | Moderate | High |
| Builds Credit | Yes ✓ | Yes ✓ | Rarely |
| Available To | Fed employees only | Anyone (credit req.) | Most consumers |
Frequently Asked Questions
A BMG Money allotment loan is a personal installment loan for federal employees and retirees where repayment happens automatically via payroll or annuity deduction. No manual payments — your employer handles it before your paycheck is deposited.
BMG Money's program covers dozens of federal agencies including VA, DHS, DoD civilians, USPS, GSA, SSA, IRS, and many others. Retirees under FERS, CSRS, and military retirement programs also qualify. Contact BMG Money at 1-800-316-8507 to confirm your specific agency.
Applying does NOT affect your score (soft pull only). However, BMG Money reports all payment activity to all three credit bureaus — meaning on-time payments build your credit score over the loan term.
Yes — no prepayment penalty. Paying early reduces your total interest paid. You'll need to contact BMG Money to arrange the final payoff and cancel the allotment instruction.
The payroll allotment will stop when you separate from your agency. Contact BMG Money at 1-800-316-8507 immediately to arrange alternative ACH repayment. Failure to arrange repayment could result in negative credit reporting.