There are three parts to getting an online loan. Finding a lender (which we facilitate right here at ). Next, you complete the loan application. Don’t worry if it sounds complex. It just involves filling out a four-section online form. Getting approved is the third step (you send the lender a bunch of documents for verification).
Now, online loans provide money quickly when you need it the most. But they aren’t permanent solutions to your financial woes. You get cash in your account, and after a couple of weeks, you begin making the repayments. And there is interest on top.
Take these scenarios to give you a big picture of how useful personal online loans are, compared to their counterparts issued by banks. Some of these scenarios are adapted from real-life tales told on the web.
“I recently embarked on a 9-5 job. But I’m getting paid after 4 weeks. I’m currently broke, with no money for bills. I desperately need cash. Please help!”
“We are happily in love but have pennies in our bank accounts. True love waits. But we don’t want a lack of money to shroud our burning love. Is there hope? Say something.”
“My car broke down by the side of the road. I’m still reeling from the shock of the prohibitive cost of having it towed. I thought insurance took care of that. Oh, was I wrong! I might sell the car since I have no money to fix it.”
“A while ago, I borrowed $300 for rent. I delayed in paying it back. Now my friend thinks I’m a deadbeat, and there has been a rift between us. I’m desperate for money again and terrified to even approach anyone I know for a loan.”
“My credit score is in the 580’s. I’m a member of a credit union, but they won’t generate a loan offer for me until my score reaches 620. Should I just take my chances with Bobby, my local loan shark?”
Some of these stories – funny or dire – might have struck a note. You just need to know that personal online loans can help. Whether you require cash before your next payday; money for your wedding; some dollars to fix your vehicle; or some credit without putting your life at risk.
When Were Online Loans First Introduced?
The first time loans were in-part issued online was in 1985, after Quicken loans introduced online loan applications & reviews. Now, there payday loans in Gadsden is a wave of online loan providers. They include traditional banks, online-only banks, credit unions, payday lenders, cash stores, peer-to-peer sites, and alternative lenders.
Popular Online Loans Types
Payday loan products: Do you need some cash before your employer disburses your next paycheck? Well, payday loans can help. The loan amounts are from $100 to $1,000. The problem is they are only permitted in about 37 states.
Lines of credit: Have you nailed down how credit cards work? You get a credit limit and the ability to make purchases with your card. With a line of credit, you withdraw the cash until you reach your limit. It makes them more flexible.
Online installment loans: We are focusing on these products in this article. And they mirror personal loans offered by banks, only that they are offered on the web. You borrow from $500 up to $35,000. Interest rates are fixed for the entire loan duration.
The payment schedule is also unique. You repay the loan in equated monthly or biweekly installments. For instance, if you paid $500 in the first month, on the last installment you still pay $500. The loan term can be up to 60 months.