Best personal loan
Worldwide use and popularity of personal loans is the simplicity of their receipt. It is usually associated with a small credit amount and its relatively short duration. That is why the number of such low-interest personal loans does not decrease even during the financial crisis, and many banks make retail consumer lending the main focus of their own work.
However, not all borrowers take full advantage of getting a best personal loan for fair credit.
Like any other banking product, personal loans have both obvious advantages and certain
disadvantages. The plus list of easy personal loans:
- low requirements for the borrower by credit institutions;
- obtaining goods or services, the acquisition of which without the involvement of borrowed funds would be difficult;
- the possibility of filing online applications and at the same time to various banks;
- a quick consideration of the application;
- the ability to pay off earlier.
The cons of quick personal loans include:
- the relatively high-interest rate on similar loans;
- an increase in the total value of the goods due to interest paid;
- the growth of the financial burden, especially having a negative effect on the borrower on the crisis beginning;
- the need to pay penalties for late payments on the loan.
Personal loan interest rates
The essential parameter of any loan is the interest rate. It can fluctuate quite strongly due to the type of loan being processed and the company issuing it. At the same time, it is good to understand that often the declared interest rate differs markedly from the real one, which takes into account all additional commissions and payments of the borrower associated with obtaining a loan for personal needs. Another way to get the best personal loan rate is to hide it in the value of the goods. Thus, choosing a suitable loan, you should carefully study the terms of lending.
How to get a personal loan?
Until recently, a loan for consumer needs required a mandatory visit to personal loan companies. The procedure for filling out and submitting the necessary documents was fairly quick and simple. It is not surprising, given the high level of competition in this market segment. The client would not work with a bank that makes excessive demands or slowly draws out the paper needed to receive the money.
Can I apply for a personal loan online?
An increasing number of applications for consumer loans are being submitted online. This is due not only to the convenience of such a procedure for the client but also to a serious increase in online trading. As a result, the purchase of a product can occur almost entirely on the network: starting from its selection, continuing to apply online and receive it, and you will end with the payment and the subsequent order of delivery of the goods.
Personal loan online application. Once you find potentially best personal loan companies, visit website, fill out the necessary forms and submit any required documents. They will need the information below:
- employment confirmation
- Monthly income net of tax
- Social Security number
- Driver’s license
- Bank account
- Age (at least 18)
- Check what is your credit rating can be. It doesn’t determine a solvency, and not to establish the interest rate. The credit may be denied if there are cases of bankruptcy in your record.
- a regular customer with a good record may get a lowest personal loan rates.
Show information about income and disposable property. For most types of consumer loans that do not need a credit rating, having a property, collateral, or any other way to prove solvency can help you get lower rates on your consumer loan and help to approve the application.
Compare the proposed interest rates on consumer loans. It may seem to you that the established interest rate on ordinary consumer loans is high, as long as you do not compare it with the rates on a loan “before the payday”, cash loans or on the security of the car. The lower the interest, the less money you will need to pay out of your pocket during the life of the loan.
Money transfer. Most lenders will offer a direct transfer to your bank account within 24 hours. It is a fast and convenient method. However, do it only after you are sure that the company is trustworthy. It is better do not share your personal information about the bank account. Do it only if you check the company. Because it is not secure, they can both transfer money to the account and withdraw it from the account.
A repayment plan. It is also very important to make payments on time. Examine all costs and make a working payment schedule that you follow in accordance with the terms, conditions, and timeframes indicated.