IOU Financial renews and increases credit facility

MONTREAL, March 14, 2013 /CNW Telbec/ - IOU Financial Inc. ("IOU") (CNSX: IOU), via its U.S. subsidiary, IOU Central, a leading online small business lender, announced today that it has renewed its secured credit facility (the "Credit Facility") with Accord Financial Inc. (the "Lender" or "Accord") (TSX: ACD) for a one-year term. In addition, the credit facility has been increased to US$10.0 million from the current limit of CDN$3.0 million.  The Lender has an option to extend the contract by an additional year by providing IOU with an increase in the facility to US$15.0 million.  The proceeds drawn on the Credit Facility will primarily be used to support the growth of IOU's loan portfolio.


Certain statements contained in this news release are forward-looking and are subject to numerous risks and uncertainties, known and unknown. For information identifying known risks and uncertainties, relating to liquidity risks, risks inherent in growing a new business, dependence on third-party service providers, credit risks, competition, regulatory risk, and assumptions that could cause the company's actual results to differ from current expectations, please refer to the section "Risks and Uncertainties" of IOU's most recent Management's Discussion and Analysis ("MD&A"), which may be consulted at IOU cautions that the foregoing list of factors is not exhaustive. The forward-looking statements presented in the MD&A reflect IOU's expectations as at the date of the MD&A. IOU Financial does not undertake any obligation to update publicly or to revise any such forward-looking statements, unless required by applicable legislation or regulation.


For further information:

Philippe Marleau
Chief Executive Officer
(514) 789-0694 ext. 225

Mayco Quiroz
Chief Financial Officer
(514) 789-0694 ext. 298

The Canadian National Stock Exchange (CNSX Markets Inc.) has neither approved nor disapproved of the contents of this press release.

Mailing Address

IOU Financial Inc.
600 TownPark Lane
Suite 100
Kennesaw, GA 30144

Contact Us

Send us a message