What Can I Do to Avoid A Personal Loan?

I know what you’re thinking. “Dude, are you sure you’re writing for the correct blog? I thought you guys were all about hooking people up with lenders and yay personal loans! If I avoid a personal loan, aren’t you doing everything wrong?”

I prefer to think of it in terms of helping people get themselves into a better financial situation. Sometimes a different perspective can help clarify our options. And if I slip into motivational mode a little here and there along the way, forgive me – it’s my nature and I can’t help myself.

How Can I Avoid A Personal Loan?

If you don’t owe anyone money, we’d like to help you avoid getting into unnecessary debt. If you have poor credit, we’d like to guide you through improving your credit rating so when you do need a loan, you can get one on better terms. And if you’re feeling a bit financially shaky, but you’re not sure how to wrangle things back on track, I’d like to offer encouragement and help you avoid a personal loan you might not need now so that you’re in a better position if you choose to go that route in the future.

Obviously, if you want a loan, we’ll help connect you to someone legit and let you work it out with them. (We don’t actually loan money or sell you anything ourselves; we don’t even have mugs or t-shirts).

But wouldn’t it be better if you could avoid a personal loan to begin with?

Avoid A Personal Loan By Maintaining A Personal Budget

Personal loans aren’t bad. They can help consolidate debt, lower your overall interest rates, handle unexpected medical or repair bills, finance large purchases, and even help you build (or rebuild) your credit. But they’re not magical solutions, either. If you’re spending more than you make, no variety or combination of personal installment loans is going to solve that. In that situation, you don’t need another loan; you need a good budget.

Budgets don’t all look the same. My wife is very methodical about hers. She maintains a detailed spreadsheet, with formulas and everything, and only takes on debt when it serves a very specific purpose. A rough month for her is one in which she’s not able to put the usual amount into savings. At any given moment she can pull up information about any of it on any device she’s using.

I, on the other hand, find it both practical and essential to use several credit cards – regularly, but not recklessly. My income varies throughout the year, so access to revolving debt via modern plastics is a practical way for me to keep things consistent. I have a good idea of my obligations each month, and years of crushing debt and personal humiliation taught me to budget accordingly. I use legal pads and I scribble a lot.

Why am I telling you this? Because the number one way to avoid a personal loan is to budget yourself, even if there’s more than one effective way to do this. I’m not trying to guilt you out of anything beyond basic shelter and a few dry crusts of bread. I’d rather you be happy than rich. But a tangible budget in any format, hard copy or digital, forces us to acknowledge where our money is coming from and where it’s going – Adulting 101.

The Power of the “B-Word” (Budgets)

Although it’s not important that your budget looks or operates exactly like mine (or my wife’s), let’s look at a few steps towards organizing your own. First, though, a disclaimer. I don’t want to go all “safe space” hugs-and-puppies on you, but considering we’re mostly talking about numbers, it’s surprising how many “feels” can pop up – especially if you haven’t done this before.

The steps themselves aren’t complicated, but some of us find them very difficult. Money and how we spend it can be personal and emotional to discuss. It can challenge our self-worth and reveal things about ourselves we may not want to know. Some of us get defensive (I always did, back in the day), some of us get angry, and some of get depressed and don’t want to think about it at all.

I told you I was a motivator. You feel better already, don’t you?

I’m not trying to be a downer. It’s just that emotions, like most things, are easier to deal with if we acknowledge them up front. Are you worried about what some basic math might reveal if you run the numbers? I get that. I’m a big fan of denial – just ask my first wife. It’s just that denial doesn’t work.

A few of you have no idea what I’m talking about right now. To you, it’s just numbers and practical decision-making and what’s the big deal? The way to avoid a personal loan is obvious – don’t put yourself in a position where you might need one! For the rest of us, though, making a personal or household budget can be an act of messy courage. It can take nerve. Grit. Moxy. Some have even compared it to overcoming drug addiction.

Alright, let’s grab some tissue and a glass of wine and let’s get started.

Creating Your Personal (or Family) Budget

Step One: Gather Information

This might take a few hours or a full month. You’ll want pay stubs, utility bills, mortgage information, car payments, grocery store receipts, medical bills, credit card statements, ATM receipts, and anything else related to money coming in or going out.

Some experts recommend computing your own debt-to-income ratio. It’s a useful exercise, but I’m not pushing you that far yet. Right now we’re just trying to get a clear list – on paper or screen – of what’s up with our finances these days.

Why? Because many of us simply don’t realize where our money goes. We may think we don’t eat out very often, but your credit card statement says otherwise. We may think we’re careful with our cash, but this says you made a $300 withdrawal two weeks ago and you have $24 in your wallet and no idea where the rest of it went. You want to avoid a personal loan? Know your own spending. In detail. With honesty.

Please understand, I’m not telling you how to spend your money. I’m suggesting that you should be making conscious decisions about how to spend your money, not just improvising and hoping for the best. I’ve been there, remember?

The Untold Tricks to Negotiating Your Bills

Step Two: List ALL Expenses

Some monthly obligations are fairly consistent – your car payment, your house payment, etc. Others vary from month to month – utilities, groceries, gas, etc. Write them all down, with the most accurate figures you can manage.

You’ll adjust this part several times in the first few months. That’s OK; it’s part of the process. Expect some of your estimates to be off, and for there to be a few surprises. That’s one of the major reasons we’re even doing this. That doesn’t mean you’ve done it wrong; it means you’re doing it better and better as you learn.

If you determine that you make enough to cover the essentials with a little left over for the optional items on your list, you can easily avoid an unsecured personal loan online or any other sort of new debt as long as circumstances don’t change dramatically. So, yay!

Step Three: Compare Your Income To Your Expenses

If emotions haven’t kicked in yet, this is the part where they usually do.

In a perfect world, you’ll have at least 10% more income than expenses. If that’s the case, congratulations! You win at America! Skip to a post about savings accounts and planning for the future.

If your world isn’t perfect, hopefully, your income and your expenses match up pretty well. If so, feel free to skip to the money-saving ideas below to try to reach that 10% or better balance above.

For many of us, however, our expenses are apparently larger than our income. That’s not ideal, but it certainly would explain a lot. It’s not that you’ve failed or you’re doing everything wrong; you just literally don’t have enough money to do everything you’re currently doing.

Now, if things have already gotten too severe, and things are being repossessed or turned off, you have more immediate concerns than how to avoid a personal loan. Before we can talk about digging yourself out, we need to stop the proverbial bleeding and stabilize the patient – in this case, your economic life. This may require reaching out to local social services, religious organizations, or charity groups when you need help paying bills.

I’m going to assume it’s not quite that bad, however, and that you’re somehow getting by enough to keep digging yourself deeper and deeper into debt. Maybe it’s those student loans, or even worse – medical bills. Maybe you lost your job at the worst possible time, or just came through an ugly divorce. Whatever the situation, you’re in debt and the situation is unsustainable. If it doesn’t start getting better, it’s going to get much, much worse.

Either way, stay with me through Steps Four and Five. There’s always a way through. It may not be pretty or fun, and you may not avoid a personal loan of some sort along with some lifestyle adjustments, but it’s doable.

YES, for you. YES, in your situation. Why are you even arguing with me in your head like that? How rude.

Step Four: Prioritize Your List

This part tends to start easyly and quickly gets weird. Your house payment should go at or near the top, along with your car payment (if you have one). Utilities, although the electric seems a big high – is there something we can do to get that under control without making ourselves too miserable? Groceries are important, although it looks like we got $40 cash back on this one and another $60 a week later. Where did THAT money go?

https://www.cashry.com/blog/best-way-to-create-an-emergency-fund/

What’s this recurring charge on the credit card from some place I’ve never heard of? When did the cable bill go up? Why didn’t we record this check? I have the amount but no idea to whom it was written or why. Can you even listen to this many new downloads in one month? And I’m glad you’re paying for legal streaming instead of using your cousin’s log-in, but are you really likely to watch Hulu AND Netflix AND CBS Streaming AND…?

You get the idea. If we want to avoid a personal loan, we’re going to need to get a grip on some of these miscellaneous expenses. We’ll come back to this in a moment, but first, let’s finish figuring out a budget that we’re spending every month.

It’s helpful to have multiple columns. I always start with “Non-Negotiables”: house payment, car payment, any outstanding loans with fixed payment amounts each month. These will be largely the same every month for the foreseeable future. That may not make them easy to pay, but it does make them easy to anticipate.

I put utilities and credit card payments in a second column I call, quite cleverly, “Credit Cards & Utilities.” These may not seem related at first (and you don’t have to combine them for your own budget), but they’re essential to pay each month, on time, and yet their amounts vary each cycle – sometimes widely. (Side note: if your local utility companies offer one of those payment averaging plans so that the amount due each month doesn’t fluctuate quite so unpredictably, DO THAT.)

Third are things which are “Important,” but over which we have at least some control. Groceries must be bought, but meals for a week might cost $60 or $200, depending on your choices. Gasoline, clothing, anything you can influence but not do completely without.

I used to combine everything else into “Other,” but I’ve recently found it more helpful to be more specific. “Optional But Useful” includes stuff like my cell phone payment, cable, internet, etc. Technically we can live without these, but as a practical matter… well, personally I’d probably spend way more on other things if I didn’t have cable and internet. Still, I may not need it all. “Fun Stuff” is eating out, movie tickets, concerts, Amazon downloads, books and magazines, etc. Stuff we could easily survive without but makes life more fun. Finally, I have “Unpredictables.” It’s not good grammar, but it seems this column always has something in it nonetheless. It’s also rather difficult to budget for; stuff which goes in this column tends to be, um…

I probably don’t need to finish that sentence, do I?

You may find a slightly different structure works better for you. It’s your budget – organize it as you see fit. But DO organize it. And then DO move on to Step Five. Remember, we’re trying to avoid a personal loan, even if things aren’t looking as rosy as we’d hoped at this point.

Speaking of which, you might not like me as much after this next part. Please know that I still love you the same.

Step Five: Time To Make Some Difficult Decisions

Do you know why most of us have so much trouble losing weight? There are plenty of reasons, but one of the biggest is that you don’t have to eat badly all day every day to have a weight problem. You probably eat nothing at all during the eight hours you’re asleep. You may eat quite reasonably – maybe even exercise a bit – during fifteen of the sixteen hours you’re awake. The problem is that the remaining hour. Thirty minutes for fast food at lunch (“just this once because what a day!”) and another half-hour in the evening when you decide to finish off the leftovers (“no one’s going to eat them anyway if we save them”) and the diet is blown.

It’s truly not fair. Take it up with the Universe, I guess.

One great way to get your debt off your back is to use the debt snowball method. It really helps you reach your goal, but you have to stay with the methodology of paying off the lowest debt first.

Bad spending choices are the same way. It’s not that most of us are spending wildly all day, every day. It only takes a few weak moments a week to reverse whatever progress we’ve made. It’s especially bad if we convince ourselves we’re going to radically change how we spend money – we’re not merely going to avoid a personal loan, we’re going to climb out of debt and into a comfy retirement package before the next snowfall! You know what happens when we try this with diets – eagerness, enthusiasm, energy! For about five hours! Then… we slip. We fail. It’s all over. Forget it. It’s never going to work. I quit.

Or maybe that’s just me.

I hope it’s not just me. (Tell me it’s not just me?}

Avoid A Personal Loan By Cutting Expenses

Just like improving our eating habits, we’re not going to talk about revolutionary changes. If you make those sweeping fixes instantaneously, that’s great! Good for you. For the rest of us, though, I’ll conclude with ten of my favorite ways to avoid a personal loan by shifting the balance between our income and our “out-go.”

1.    Take your lunch one or eat at home a few more days a week. If you eat lunch out every day, take a sandwich twice a week. It won’t kill you. If you take the family out twice a week, cut back to once. Don’t shun everything you enjoy; just look for ways to shift the balance.

2.    Cut back on smoking, drinking, or whatever other expensive vices you may have. I’m not lecturing you on the downsides of vaping or alcohol or whatever. But as you well know, that stuff is expensive. If quitting isn’t realistic, see if you can cut back by a quarter. Maybe a third. If you like to have a glass of wine or a beer in the evening, buy it at the grocery store and have it at home – restaurants charge huge mark-ups on that stuff.

3.    Carry less cash. If you need to have a few bucks for unexpected situations, that’s fine, but try to limit the amount of spending you can’t document at the end of the week. Ask for receipts even when you stop and the convenience store for a snack and a drink. It’s your money; spend it how you like – but be willing to own it and keep track of it.

4.    Plan travel to limit wasted driving. If you have kids, you probably already do this out of the necessity of keeping everyone’s schedule straight. If your kids are older, or you’re child-free (congrats!), however, it’s easy to get casual about driving across town to get your hair cut, then home. To the post office, then home. To the store, then home. That’s fine, but it adds up in both gasoline burned and wear and tear on the car or truck.

5.    Go easy on the groceries. I understand why you buy bottled water, but it’s crazy expensive compared to tap water, even after a cheap filter from the hardware store or one of those fancy pitchers. If the store brand of whatever you’re buying tastes crummy, avoid it, but come on – is it really that different? (Half the time they’re literally the same, other than the packaging.) And for goodness sake, eat those leftovers. Better yet, make extra on purpose and freeze it for next week – that way you’re buying in quantity (cheaper) and more likely to eat at home when you’re in a hurry because all you have to do is reheat.

6.    Cancel that gym membership. Unless you’re really going – regularly. And going already, not theoretically starting next week.

7.    Use your local library and resale shops. How many times are you going to read that book? Are you sure you need to own that movie? Go check out your library – they’ll be thrilled to see you, and it’s all free. When you buy, try the used bookstore, used CD shop, etc., first. Even on Amazon you should browse used options before you decide. Once you get it home, it’s “used” anyway.

8.    Pay your bills on time. I realize this sounds like a strange one, but late fees and interest and such add up crazy quickly on most credit cards, utilities, or other commitments. It’s one thing if you simply don’t have the income to make it happen (see above), but far too often it’s more that we lose track and simply don’t keep up with what’s due and when. Defaulting on your existing loans or obligations is counterproductive and will catch up with you. Plus, it’s just wrong.

9.    Check out online rebates, coupons, prescription savers, etc. Don’t waste hours poking around for fake bargains on the internet, but major department stores and many name brands put significant coupons on their websites for stuff you were going to buy anyway.

10.    Call everyone you owe and start cutting. Don’t renew that magazine. Cut some features from your cell phone plan, cable TV, or whatever it is you do on the internet. I’m not suggesting you bail on something to which you’ve already committed, but you’d be surprised how flexible many providers get when you call to cancel or reduce your service. (This sometimes works with stuff like car insurance as well.) Do you really watch that much HBO? Need that much data on all four phones? Look over every bill, whether online or mailed to you.

Maybe your best friend keeps one streaming service and you keep the other one, then you trade off watching at each other’s house. That saves you even more because you’re not out buying overpriced beer at some sports bar before your overpriced snacks at the movie teenagers will ruin by talking the whole time anyway. That’s a TRIPLE WIN.

BONUS: If you want inexpensive fun one evening, search the internet for other ways to save money. Surely there will be a FEW idea I haven’t mentioned which would work for you. And they’re free.

Final Thoughts

If you decide it makes sense for you in spite of all this to take out a personal loan to consolidate other debts, well… it turns out we can help with that. You don’t have to loan shop alone. We’re actually experts at helping folks like you find options for unsecured personal loans online. You may feel like things are desperate right now, but trust me – it won’t help if you rush in blindly and get taken advantage of by some sketchy “fast cash” place behind the gas station or any of the many online loan scams out there. Let us help you find a lender only if you need it, but your first goal is to avoid a personal loan.

In the meantime, don’t give up. It might take a while, but you can do this. Really.

Unsecured Loans in California As Soon As Tomorrow

Unsecured Loans in California

Unsecured Loans in California

Personal loans can be used for anything an individual needs. Anything other than business, but sometimes people use them for start up cost. Otherwise, it will be a business loan. Either a loan for working capital, advertising, business expansion, and the like. You can use a personal loan for emergencies, holiday expenses, car/house fixtures, shopping, and other personal needs.

Also, when it comes to personal loans nowadays, there are many choices available with more lenient requirements. We no longer live in a day when the only way a person can get a personal loan is by going to a traditional bank or credit union. Nor in a day these financial institutions require you have what some refer to as the three C’s – credit, cash, and collateral.

We live in a time now when you can get a California personal loan even with bad credit. There is no need for collateral. When it comes to cash, you must show proof of income. However, you don’t have to have a lot of money. You just need a steady monthly income that is as low as $800 a month in some cases.

There are so many personal loans available that you can get with fewer requirements now. Furthermore, these personal loans can be categorized as secured personal loans and unsecured personal loans. They vary in terms and interest rates. So, there is a personal loan out there that is just right for you.

Where to Get a Loan

Getting a loan is easier than ever before. You don’t even have to commute to a traditional brick and mortar company many times to get a loan. Just from the comfort of your home, you can loan shop online. And even if you are still required to go to a physical building after loan shopping online, there will point you to personal loan companies near you in California.

There are unsecured personal loan companies in several locations in California throughout cities and towns across the nation. You can start by searching online for the right personal loan company instead of wasting gas or bus fare to travel from place to place. While checking online, you’ll see guidelines to determine whether the business suits your needs. You will also be able to find out what information you should provide to complete the application process. You will most likely be able to complete the application process online. Loanry cuts the time you spend researching. We can connect you with reputable lenders right away.

From there, you can proceed by either getting the results of your application or by getting instructions on where to complete the rest of the application process. You may also obtain instructions on the information that they will require you to submit. (i.e., proof of income, bank account information, driver’s license, etc.). If applicable, there will be a location nearby to complete the loan process that they will tell you.

What You May Likely Need for the Application Process

As mentioned before, many of these companies approve loans for bad to good credit, no collateral, and so forth. In these cases, these loans are considered to be unsecured personal loans. However, even though unsecured loans in California are convenient in that you are not required to have the three C’s; there are other details you must follow in order to go through the smoothest application process possible. The following includes other details most likely needed to complete the application process quickly and efficiently:

Obtain Clarification about Your Preferences

Before going to a financial institution, you should perform your due diligence. For example, know what lenders look for on your credit report and what other items they might collect. The aim is to find out the details of the application process and other terms by thoroughly checking loan packages. Especially when you California loan shop online. Please be aware of the type of loan you want and the terms that are affordable to you.

Ask Questions

You can contact the business via phone, instant chat, their online form, or email. Make sure to ask all the questions to ensure you have all areas covered. You also can make sure they have loan packages you desire. Other questions to ask the company include loan eligibility, timelines for the application and approval process. Of course don’t forget to ask about the required documents and materials. Different financial agencies have different requirements and finding out the requirements upfront will save you a lot of trouble.

Find out the Limitations

Even though many agencies accept bad credit applications, they have their limitations concerning the lowest credit score they will approve. There may be other guidelines, such as the least amount of steady income you must have, the acceptance of their terms, and the interest fees.

How to Find California Installment Loans Online

Personal Installment Loans

A California personal installment loan is a consumer loan that is paid on a fixed schedule with a principal and interest rates. The length of time to pay off these loans can range from a few months to several decades. You can use these loans for various reasons. Also, these loans are typically more affordable and safer than title and payday loans. As mentioned these loans can be secured or unsecured personal loans.

Personal installment loans can be retrieved fairly easily as well. You can accept a personal installment loan offer on a network. Also, you can carefully read the loan offer terms before accepting the terms. You also can digitally sign the agreement. The funds could enter your account withing 24 hours to a few days, depending on the lender. For instance, unsecured loans in California will normally can enter one’s personal bank account within 24 hours. These loans are not secured but unsecured loans in California which have a log of competition and being unsecured makes less paperwork required to show collateral, for instance.

When Should I Receive My Funds?

Depending on the lender, you should receive your funds within a few days, though it could vary from one business day up to several weeks. They will typically deposit the funds into the checking account you specify during the loan process, and you can then withdraw them as cash, spend them via your bank card, or use them to make payments and purchases online like any other funds.

With an installment loan, you’ll not only have a significantly lower interest rate, but you’ll be able to make regular monthly payments and be more likely to stay on track. Plus, those regular payments can also help you boost your credit score when you make them on time each month. This can help ensure you’ll have an easier time finding the financing you need in the future.

If you can’t qualify for a personal installment loan due to your bad credit, you should still explore every other option you have before taking on an expensive and potentially dangerous short-term loan. That includes consumer credit cards, as even the worst subprime card will charge less interest than a payday loan.

How Soon Can I Get an Installment Loan?

If you apply right now for a Personal Installment Loan then you can potentially have anywhere from $500 to $25,000 cash in your bank account as soon as tomorrow morning. That’s right, tomorrow morning, but not in all cases!

Lender’s sometimes even accept applications 24 hours a day – 7 days a week but all final processing for California cash loans is usually done during normal business hours and funds could be sent via ACH directly to your bank account.

You can borrow between $500 and $25,000 instantly. However, personal installment loans are usually based on your income and therefore only borrow the amount you can afford. The lender will certainly allow you and even encourage you to repay the loan in full any time you can afford it.

California Cash For When You Need Money Now

More Details on Secured and Unsecured Personal Loans in California

California secured personal loans are loans in which lenders require borrowers’ to make pledges or promises of collateral for the loan if the individual defaults on it. The most common types of secured loans are home or auto loans. If the home goes into foreclosure or the car gets repossessed, the lender can retrieve the home or auto, auction it, and then bill you for the rest if the balance is not paid in full after auctioning it. Because of this, carrying full coverage insurance may be required for your collateral when it comes to a secured loan. This way, the lender will have a shared interest in the home/car which will protect the both of you.

There are much more unsecured loans in California and other places in the market than secured loans. This fact is good for those without collateral even though lenders know that the risks are higher with these loans.

In a consumer credit report in December 2018, TransUnion forecasted that the US credit card balances would increase by 4% in 2019 to $840 billion while balances of personal loans are expected to increase by 20% and reach an all-time high of $156.3 billion by the end of the year. Also, there has been an increase in peer-to-peer lending via mobile and online lenders that coincide with a keen increase in unsecured loans. TransUnion discovered that financial technology firms (fintechs) accounting for 38% for unsecured loan balances in 2018. This amount increased significantly from only 5% in 2013.

What about the sorted risks associated with those loans?

Another difference between unsecured personal loans and secured personal loans is the sorted risks associated with either type of personal loan. With the secured personal loan, you can lose your home or car when you default on the loan. With unsecured personal loans, lenders may report negatively on your credit, they may put a lien on your home, or they can garnish your wages when defaulting on a loan.

Different Types of Unsecured Personal Loans

There are also different types of unsecured personal loans available, including student loans, personal loans, and credit cards. These loans are all term or revolving loans. The other type of unsecured personal loan is called the consolidation loan.  A revolving loan is a loan with a credit limit that you can repay, spend, and spend again. Personal lines of credit and credit cards are examples of revolving unsecured loans. A term loan is a loan that requires the borrower to pay in equal installments until they pay off the balance in full. The consolidation loan is a signature loan from a bank used to pay off credit card debt in equal installments until the balance is paid in full.

Other Important Notes

With all these wonderful features about unsecured loans, there are some things to take into consideration. For one, these loans are riskier to lenders, so these loans carry higher interest rates. Also, these loans require higher credit scores many times. In these cases, these loans don’t require a perfect credit score. As a matter of fact, these average scores can be an average score of 620, for instance.

In 2006, California’s income per capita was $38,956 among various professions and regions, thus ranking 11th place among the states in the US. Some areas in this state have a greater need for finance than other areas in the state, and thus, different types financing is required. Furthermore, borrowers of unsecured loans in California with average credit scores of 580 to 720 are typically approved for these personal loans.

Payday loans are considered unsecured personal loans that provide merchant cash advances. Even though these loans may be partially secured by these companies requiring an agreement to permit automatic bank withdrawals from the applicant’s checking accounts and a postdated check, it is still known as an unsecured personal loan. There is no need for collateral, like your car or home. These types of loans have a short term, comes with a higher interest rate, and you typically pay them back in a single lump sum on your next pay period.

What else do lenders take into consideration?

Besides the stipulations concerning income and credit score, lenders take into consideration other details when it comes to being qualified for a personal loan in California. Lenders look at the debt-to-income. Even if your credit score is fairly descent if you have more debt to the amount of your income, the lender still may reject you. Also, even if your credit score isn’t so great, paying back your credit score will be a spectacular way to improve your score. Lenders will report to credit agencies and through consumer reports that can help you greatly to obtain future credit and loans.

Several ways to improve your credit for improving your chances to get approved for a personal loan include the following:

  • Following your total payments’ groupings
  • Choose which groupings to make several small payments to become current on bills
  • Lower balances and request for an increase of credit limit
  • Improve credit utilization and eliminate card balances by using debt consolidation loans
  • Pay on-time to improve your credit>

Other ways to improve your chances of getting a loan include feeling and looking organized. You must be confident to go through the loan application process.

Conclusion

Unsecured loans in California are an amazing relief for us these days. You can use these loans for any personal thing or situation an individual needs the loan for. You can use unsecured personal loans for emergencies, holidays, car/house fixtures, shopping, and more. Also, when it comes to personal loans nowadays, there are many choices available with more lenient requirements.

We no longer live in a day when the only way a person can get a personal loan is by going to a traditional bank or credit union, and the person must have what some refer to as the three C’s- credit, cash, and collateral. Furthermore, we don’t have to worry about the possibility of losing our homes or vehicles when defaulting on these loans. There are negative consequences of negative reporting being on our credit. However, we all can take care of that situation when a short amount of the defaulting on a loan occurs.

There are much more unsecured loans in California available that you can get with fewer requirements, and the process can be quick and easy so you may receive funds into your account in as soon as tomorrow.

Consider different types of unsecured loans

There are also different types of unsecured loans in California available, including student loans, personal loans, and credit cards. These loans are all term or revolving loans, and there is also the consolidation loan. A revolving loan is a loan with a credit limit that you can repay, spend, and spend again. Personal lines of credit and credit cards are examples of revolving unsecured loans. A term loan is a loan that requires the borrower pays in equal installments until there is no balance, and the consolidation loan works as a term loan that is a signature loan for credit card debt.

There are some things to take into consideration. For one, these loans are riskier to lenders, so these loans carry higher interest rates. Also, higher credit scores may be required for these loans many times. In these cases, these loans don’t require a perfect credit score. All in all, with all these options available, there are unsecured loans in California available for you.

How to Find California Installment Loans Online

How to Find California Installment Loans Online?

So you just got hit with a bill you did not expect, your car decided to break down, maybe your child needs an expensive prescription, or you were out of work due to illness and are now behind on bills. Whatever the case, you have found yourself in need of a loan, but you have no idea how to find one. You may also need some more basic information on personal loans just to make a decision. Good news: you are not the first one. In fact, it is common enough that we decided to write an entire article dedicated to it. It includes some of the most frequently asked questions about California installment loans and the answers. Happy reading!

How Do I Find California Installment Loans Online?

To find California loans online, you simply need to Google. By searching the term “California installment loans online”, you will get a lot of results for online lenders. In fact, you will likely see so many results that you are not sure where to start. That’s okay. We can help you there, too. “How?”, you say. I am so glad you asked.

It would be so much simpler for you to apply for multiple loans at once with legitimate lenders, right? Well, we provide just that platform. Loanry provides a secure site to provide your information and may find you an online california lender that fits your needs. You already work hard- let us take the overwhelm away by doing what we do best.

How Can I Use California Installment Loans?

The lovely thing about California installment loans is that they are so versatile. You can use them for pretty much anything you like. Want a

California Cash

vacation? Get a loan. Want to pay off some high-interest debt? Is your wedding coming up? Are you receiving disconnect notices on your utilities? Need to move in a hurry? Is your car broken down? You get the idea- California installment loans can do anything you need them to do.

Word of advice, though: borrow responsibly. What do I mean? Remember that the loan has to be repaid. It is not free money. Even if you decided not to repay a loan, you will pay in other ways- like if they sue you in a court of law, take your property, or report your lack of payment to the credit bureaus. Yes, all of that can happen.

So how do you borrow responsibly? It’s simple- just follow three simple rules: do not borrow more than you need, limit yourself to borrowing when it really is a need, and do not borrow more than you can pay back.

What Are the Benefits of California Installment Loans Online VS In-Person?

Well, first- and possibly most important to some- is that you can apply from home while in your pajamas. No getting dressed nicely with the extra makeup or silky tie that you normally use for impressing people (or is that just me?). Online lenders cannot see you, so you are off the hook. Whew!

Second, you can apply to a large array of lenders in short order whereas you would have to physically go to several places in your area. And all of that paperwork- talk about a hand cramp! When you enter your information to Loanry, the basic information will be shared with multiple lenders saving you a lot of time and pain. This may help you find a lender willing to work with your file.

And third, if you do not get approved, you did not waste any gas, makeup, dry cleaning, and hardly any time. On top of that, you do not have to do the walk of shame out of a lender’s office. I think that in itself is enough reason to apply online.

California Installment Loans vs Title Loans and Payday Loans

If you know anyone that has ever gotten a payday loan or title loan, you may be asking why you should put so much effort into an installment loan anyway. Payday and title loans are much simpler to get. While that is true- most of the time- those two loan types will dig you a much deeper hole than you want to be in. If you are considering a payday loan or title loan, halt! Do not pass go, do not collect $200- or $500, or whatever amount you are trying to get. Before you make that decision, let’s look closely at these. The following three examples are actually from my personal experiences.

Personal Loan Shopping

Payday Loans

I once took out a payday loan for $500. As most people are, I was convinced I could pay it back on payday. Then something else hit, so I paid the $80 in interest and borrowed the $500 again. Two weeks later, we had car trouble. I paid the $80 in interest again and used the $500 to fix the car. At this point, I had already paid $160 in interest. That should have been it, but it was not. For months I could not get out of that hole, and it was really about the high-interest rate. In fact, I paid more in interest than I borrowed in the first place. Payday loans are a trap- a vicious merry-go-round that is difficult to get off of once it starts.

Title Loans

Title loans are pretty much the same. I borrowed around $1,300 on a title a couple of years ago. The interest due every month was almost $400- just the interest. By the time I paid the interest, I could not afford to pay on the principle. I paid on that title loan for over a year and the interest I paid was astronomical.

California Personal Installment Loans

On the other hand, I once got approved for a small personal installment loan. I believe it was a total of $500. The interest was calculated for the entire repayment term and added on the amount I was borrowing. They then divided that amount by twelve months. I paid the required $52 a month and had the loan paid off on time. Because the interest was added in, the monthly payment included interest and principle. That meant that every payment I made was knocking down my loan amount, unlike the other two types.

I hope that you will take my experience into consideration and back away from the payday and title loans. Those should be a VERY last resort. In my opinion, they should only be considered an option if you need to pay for life-saving surgery or something equally as important, but maybe that’s just me. The point is that once you get trapped in the cycle, it is very difficult to get out of it. The best thing you can do for yourself is completely to avoid it in the first place.

Can I Get Approved If I Have Bad Credit?

Of course, you can- with some lenders. Some lenders will not approve of you without a certain level of credit score. However, there are those that will. These are lenders that factor in more like what exactly is on your credit, your income, your assets, and maybe even references. They consider a much broader view of your financial state than other lenders do. At Loanry, we are connected to a network of lenders- some who consider all credit types. We use your information to connect you with lenders that may match your needs.

Preparing to Apply

When you get ready to apply, you should gather a few items. In the beginning, you will likely only need your basic personal information and income. However, as the application process proceeds, especially if you are approved, have your ID, a couple of check stubs, a few references, and your credit score ready and available. If the lender needs anything further, they will let you know.

How Do I Choose Between Loan Offers?

If and when you get approved for multiple California installment loans, there are certain things you should pay close attention to. First, shop loan interest rates and repayment period- go for the lowest interest rate and longest repayment term you can find. Some personal installment loans offer as low as 6% interest and three years or more to repay the loan. This all, of course, will depend on the lender and the amount you are borrowing. As far as you can control it, though, remember, the less interest you have to pay and the longer you have to repay it, the better. Take as much pressure off of you as you can.

Second, you may get offered secured or unsecured personal loans online. A secured loan is going to require that you put up some type of collateral. This might be a check, a vehicle, a house, even a TV. If you do not repay the loan, the lender takes possession of that item. Putting up collateral is not always a good thing. Even if you have every intention of repaying the loan, you cannot control the future. Therefore, putting your only vehicle up for collateral could hurt you more than it could help. You should really think through this type of loan before signing the dotted line.

Loanry is one of the best places to look for an online loan. We connect you with reputable lenders and make possible for you to see whether you qualify for their loans.

Does the Loan have to be Secured?

You do not have to choose a secured loan, of course, but do note that you will likely get quicker approval with a secured loan than an unsecured one. An unsecured loan requires not collateral. Your agreement to pay is all they require. You might not get approved for as much with an unsecured loan, though, since the lender is assuming a great deal of risk. This also keeps you from having to worry about your possessions- especially if that possession is the only vehicle mentioned above.

Borrower Beware

This concern gets a section all to itself. It is important, so pay attention. As much as I hate that it is true, there are dishonest people out there that will steal your identity or scam you out of money. This means that you need to be extra careful when sharing your information online. Never share it on an unsecured site. If you do not know how to tell if a site is secure, just look up at the address bar when you are on the page. When you see a little green lock up there, you are good to go. If not, run away. The people who run the website may not steal your identity, but if the site is not secure, an outsider can. Watch your back.

You can also often check the ratings and reviews of different lenders. These will tell you a great deal about a company. Keeping up with legitimate lenders is a lot of work, though. That’s why we have done it for you! You can trust that we here at Loanry value your security and try to help you find a lender that works for your situation.

Now That I Have My Loan, What’s Next?

Once you get approved for a loan, there are a couple of important steps to take. The first is to read your loan documents yet again to make sure that you understand what you just agreed to. You do not want to find out when it is too late that you agreed to something you had no idea about. If you find anything in the documents that you do not understand, speak to your lender to get clarification. Trust me, they want you to know what they expect you to do as much as you do.

A Guide to Personal Loans in California: Loans 411

Next, immediately write your payment due dates down in your calendar and planner. I mean all of them. If you are making payments for 12 months, mark those 12 payments down now. For those like me who sometimes forget to look at their planner, add it into your Google calendar. That nifty little thing will remind you what is coming up due. And yes, I just admitted to needing an electronic item to keep me on track, but I am okay with that. With four homeschooled kids, a full-time job, and regular household duties, I need something to have my back. Do what you need to do to make sure you know when your payment is due.

Now, commit to repaying that loan. Do not be lax about it- be diligent. A tiny little loan can completely destroy your credit if you do not pay it. It is so much easier to mess up your credit than it is to fix it- trust me. So do whatever you need to do to repay it. Add it into your budget immediately. If you need to do without something a few times a month to make the payment, decide what that will be now. You need a concrete plan for repaying your loan.

Final Step

Finally, make a plan to help you stay away from loans in the future. Assess your situation. Why did you have to borrow the loan this time? Was it because of a surprise bill or some type of emergency? Or did you not have the money for your utilities due to the mismanagement of funds? Do you just not make enough to pay all of your bills at the moment? Whatever your reason, try to prevent it from happening again.

No, you cannot predict emergencies, but you can have an emergency fund. You can cut expenses, get a second job, start a side hustle, revamp your budget, and so on. Something likely went wrong for you to need this loan. Figure out what that is and try to find a solution so it is not a problem next time. No one wants to spend their entire life borrowing money, possibly going to the grave in debt. The earlier you can prevent the need, the better. Figure out how to stop the cycle now so that you can move into a financially stable life.

Conclusion

I hope that we have answered your questions with this article and that you now feel confident in whatever decision you make. A few last notes, do not jump headfirst into a loan agreement without understanding it. There will be a lot of information hitting you at once, so you probably will not catch it all at first. However, pay as much attention as possible. Take the loan and the loan agreement seriously, as much as you would your water bill or electric bill. Lastly, to be safe, come through Loanry to find a lender for you in California.

Pros and Cons for Personal Loans with Bad Credit

Pros and Cons for Personal Loans with Bad Credit

Those needing money and needing it fast often grab at any opportunity bad credit lenders throw at them. These people operate from their need instead of from a logical, informed place. They need to know the pros and cons of bad credit personal installment loans before they type in the first letter on an online application or pick up the phone. What are these personal loan pros and cons?

You’ll want to keep reading before you act…

Advantages and Disadvantages of Personal Loans with Bad Credit

Before you take out a loan, you need to know how it’s going to affect your financial situation. This is exactly what we’re going to do in this article – list all the pros and cons of taking out a personal loan if you’re a bad credit borrower.

Personal Loans with Bad Credit – PROS 

They’re Personal

If you were to take out a car loan but didn’t buy a car, you could be facing fraud charges. The same situation would be much more serious if you borrowed money to buy a house but didn’t. Since you don’t want charges of fraud and misuse of funds, a car or a house should be bought. It’s not the same with taking out a personal loan with bad credit. There are as many reasons under the sun to use a personal loans with bad credit as there are bad credit loan lenders ready to provide you their offer.

Loan Consolidation

Lots of people use cash loans with bad credit to consolidate credit card, student loans, and installment loan debt. The result is one low payment with lower interest rates than the loans themselves. Bankrate tells us that the last month for which there were records was February 2019. The Federal Reserve stated that the median rate on 24 month personal loans with bad credit was ten percent as opposed to the general credit card rate of 15.

No Collateral To Risk

While the house is security for a mortgage loan and the car for an auto loan, the personal loans with bad credit is only secured by the knowledge that you have a good job, even if your credit could use some help. Bad credit short term loan lenders are taking a chance you’ll repay the loan. Time on the job and few debts are good signs you’ll repay the loan. You won’t be risking your car, house, collections, or anything else.

Time To Repay The Loan

If you’re strapped for cash, having a difficult time paying bills, or suddenly need an influx of cash to pay for something unexpected, then repaying any loan could be difficult. With bad credit personal loans, you have between one or two years and five years to repay the loan. One low monthly payment is fixed for this period of time.

Credit Profile Will Improve

Credit bureaus like to see people with varying credit accounts. Repaying loans on time and in full means you’re a good credit risk. Personal loans with bad credit show the credit bureaus that you’re working on improving your credit. Okay, so you won’t be able to borrow as much as if you had had good credit, but each loan you pay off on time will inch your credit score up a bit.

That’s a good thing. As your credit improves, you’ll be able to borrow more and at better interest rates. Keep paying them off on time, and you’ll soon have A-list credit (a score of over 750.)

Establish An Emergency Fund

My parents always told me to put away ten dollars out of each paycheck for an emergency. I’ve always lived paycheck to paycheck like most Americans, so I was never able to save anything. That’s the story of nine out of ten people, unfortunately. However, personal loans with bad credit can help you establish an emergency fund with which to meet anything life can and does throw at you.

They’re Quick

In most cases, bad credit short term loan lenders can give give you a loan within hours. Sometimes it takes until the next day after application to receive the funds. This is a giant step above bank loans which can take days up to a couple weeks.

Not As Many Documents

Most loans require your banking records, proof of all your debts, paycheck stubs, the deed to your house, and your first born. Okay, I’m kidding, but with a bank or other personal loans with bad credit lenders, you have to provide a mighty lot of information.. You’ll only need a picture ID, paycheck stubs (at least four, six to eight is better,) and your bank account number. That’s it. Short and sweet, and you’ll have your money within hours.

There’s Perks

Lenders offering cash loans bad credit have some stiff competition. They’ll offer you all kinds of perks in order to get your business such as unemployment protection. This would pay off your loan if you lost your job. Some lenders even offer counseling to help you get another job.

Tax Benefits

If you use personal loans with bad credit to upgrade your home or help towards buying a new one, you can get credit or a deduction for the interest on the loan come tax season. Be aware that you’ll need tons of documentation that you actually spent the money for this purpose. After all, it’s the IRS with which you’ll be dealing.

Available Anytime

When an emergency occurs, it usually happens in the middle of the night, on the weekends, on vacations, on holidays, or when you aren’t home. Personal loans with bad credit can be applied for online anytime of the day or night anywhere in the world you happen to be at the time. All you need do is fill out the application, upload your documents, and wait for acceptance.

Hidden Charges

We’ve all done it. We’ve gotten into something in which we were told that the price would be this, but six months down the road (when you’ve forgotten all about it) suddenly you’re paying extra. Those hidden charges are how most companies make some of their money, and they always hike up the interest rate. This is of benefit to the company, not to you.

Bad credit personal installment loans may not have hidden charges. You’re told the interest rate and payment amount up front. They’re both fixed. You won’t pay another penny. That’s of benefit to you, and one you won’t find elsewhere.

No Penalties

With any other lender or creditor, you may pay a penalty for paying off your loan early. Additionally, variable rates and payments loans means you never know what you’ll be repaying from month to month. Bad credit lenders don’t always operate that way. Personal loans with bad credit lenders give you fixed rates and payments. Paying it off early with no penalties attached to you is another perk, and a great one, at that.

Personal Loans with Bad Credit – Cons

There are some great advantages to taking out loans with bad credit. However, everything in creation has two sides. If it has an advantage, then it also has a disadvantage. Those considering checking with these types of lenders for one of their bad credit personal installment loans should consult the other side of the coin. They might or might not be able to handle the downsides of personal loans.

Debt Consolidation

If you’re using a personal loans with bad credit to pay off credit card debt, you could be getting in over your head. By that, we mean that you’re only morphing from one payment type to another. You’re trading monthly credit card payments with ever-changing interest rates to one payment with a fixed interest rate. That leaves your credit cards free and clear to be used again. Consider freezing your credit cards (literally, it doesn’t hurt them) until the cash loans bad credit are paid off.

Higher Interest Rates

Bad credit, however, gets you higher interest rates. Loan Shop around for the best rates on personal loans with bad credit.

Smaller Loan Amount

As your credit score improves, you’ll be able to borrow more money at better interest rates. For now, though, bad credit lenders can’t give you the same loan as you would have gotten had your credit been better.

Defaulting On The Loan

If you default on a car loan or a mortgage loan, they come and take away your car or your house. In the case of bad credit loans, if you default on the loan, the bad credit short term loan lenders take you to court. A lien will be placed on any assets you possess, it goes on your credit report, and you will be liable for the court costs and attorney fees as well.

Origination Fees

Not all lenders do this, but some bad credit lenders charge origination fees. This is a one to six percent fee to cover the costs of processing the loan. It’s paid up front instead of paying it back with the monthly payments. If your credit isn’t good, expect to pay a higher fee than if your credit had been good. Shop around for lenders who don’t charge this fee.

No Partial Payments

Some lenders allow you to pay money down on the principle, since most payments go toward repaying interest on the loan. Bad credit lenders aren’t of a mind to accept partial payments. You have to pay back the stipulated amount on the stipulated date for however long the loan is financed.

Monthly Payments

If you’re used to paying small amounts on credit cards each month, then a hefty monthly payment schedule might be too much for your finances to manage. Repayment of personal loans with bad credit can run into the hundreds, depending for how much the bad credit loan amount was. If your budget can’t handle that, reconsider bad credit loans.

Qualifying

Banks and credit unions are different from other personal loans offices. One thing they both need, though, is qualifying for the loan. Personal loans with bad credit might require more information and documentation. In addition to a picture ID, paycheck stubs, and bank information, be prepared to upload or bring with you whatever information the loan office needs such as information on assets.

Debt To Income Ratio

Taking out personal loans with bad credit increases your income to debt ratio. With bad credit to start with, this can go two ways. Paying it back on time and in full will improve your credit score. However, if your credit score isn’t what it should be due to too much debt, you might not get the loan in the first place. If you do get the loan, pay it off in order to decrease your income to debt ratio.

Credit Hits

Each time you apply for a loan or for credit at a store, the loan officer or store manager checks your credit reports. Each hit on your credit report lowers your credit score. This will make it difficult for personal loans with bad credit lenders to give you a loan.

Begins A Bad Habit

Bad credit personal loans are meant to get you out of a bind, purchase something necessary, deal with medical problems, you get the picture. The problem is that it’s not too difficult to get one. When it’s paid off, it’s too simple to get another, whether you truly need it or not. Just like using your credit cards right after you get a bad credit personal loan to pay them all off, beware getting another personal loan just because you can.

Bank Account

Monthly fees, per check fees, and other sometimes hidden fees keep many people from using bank accounts. Why bother with plastic when it’s so easily boosted from your wallet or your pocket? Why bother with long lines, tired tellers, and traffic getting to the branch office? It costs less than a dollar to get a post office money order with which to pay bills and 45 cents for a stamp. Cash is king, dude.

The trouble is that personal loan offices need a bank account into which to put your personal loan money. When you deal with finance, you deal with transfers, ones and zeroes. Not having a bank account means to a loan officer that there’s nowhere to transfer those ones and zeroes. This messes up finance people’s heads, and you won’t get the loan.

Pitches

Bad credit personal loan seekers often get pitched at the closing of the loan. For instance, the loan officer might try to get you to buy life insurance. He’ll tell you that for the price of a cup of coffee every day, you could protect your family from loss if you die. Life insurance is an important thing, and you don’t want some random loan officer selling you a policy. It almost always doesn’t cover much in the event of your death, added to the fact that it’s almost always more expensive than it’s worth. Skip the pitches.

Risk Of Scams

The more our lives are led online, the more scammers and hackers have chances to steal our information. Identity theft and loan fraud are two of the most prevalent types of online scams. These scammers will do and say anything to get your personal and banking information. If you’re looking for bad credit personal loans online, there are a few things you can look for in order to protect yourself:

No Credit Check

The only way a personal loan officer can judge whether or not you’ll repay the loan is by examining your credit and work history. Legitimate online loan companies will do two credit checks: a “soft” credit check to see in what state your credit is. The second will come following your agreement to rates and terms. This credit check is more detailed, and tells the loan officer just what rates to charge. Avoid anyone who advertises loans with no credit check.

Up Front Fees

The only fee a legitimate loan officer will ask of you is the origination fee. It’s paid the instant you get your money, and no more will be asked of you. Scam loan “officers” will ask you to give them your debit card as a sort of security for the loan. They’ll tell you they won’t touch the card, but have it on record. In reality, the instant your back is turned, they clean off the card and disappear. Avoid anyone asking for up front fees.

Sure Signs Of A Scam

  • If it has to do with money, it has to be registered with a state. Call your state’s Attorney General to see if the online lender you’re considering is registered.
  • If an email appears out of nowhere with an address saying it’s from, let’s say Amazon, make sure “amazon.com” appears at the end of the email address. If not, it’s a scam.
  • Legitimate lenders have a legitimate address, either a brick and mortar address or an online address. Online lenders have company or corporate offices located somewhere. The address will show up on Google maps.
  • Check the spelling and grammar. If you’re not well versed in correct usage and grammar, then use a free checker like Grammarly. Lots of scam artists are located outside the U. S. English isn’t their first language. When you see misspelled words, improper English usage, and other grammar mistakes, nine times out of ten it’s a scam.

Interest paid based on credit

Let’s review some real examples of why you might take our a Personal Loan even with Bad Credit

These are just a few scenarios involving people with a serious need for money, but no idea where to go for it. They have bad or no credit which means most lenders won’t give them personal loans with bad credit. www.creditry.com Many people in these and even worse situations turn to payday loans, credit card advances, or cash loans bad credit.

Abby’s house was too small. Abby, her husband, and her two toddlers bumped into each other no matter where they were in the house. She had a choice: she could add on to the house, or she could buy a new one. She had only been on her job for a year, though. Her husband was self-employed. They made enough money to get by, but not enough to qualify for a mortgage.

Brian had been hospitalized for an abdominal problem. He lived in great pain. The doctors told him an operation would get rid of the problem. The snag to that was that he’d be out of work for six months. There would be no telling if his job would still be there when he returned to work. His wife could pay the bills, but the job thing was a serious setback.

Let’s take a Few more to Drive the point home

Janet was going through a hostile, messy divorce. She got the house in the settlement, but she could seriously use another bedroom. The kitchen was so small she met herself coming in the door. Janet needed to renovate the house, but from where would the money come?

Will was so nice that he couldn’t turn anyone away when they asked to borrow money. Sometimes he was into negative numbers when someone asked. His wife needed expensive special medicine to right a medical wrong. He’d no idea where he’d get the money, and she needed it right now.

Karen’s car had died on July 4th, the transmission sitting on the road, so to speak. She could walk to work or catch the bus if it rained. Though she had a temporary solution to the problem, she needed money for a new car. It’s kind of difficult to carry groceries on the bus. Where would she get a down payment for a car?

Many people come across difficult financial situations

Jeff’s son had recently buried his wife. He traveled for his job and had nowhere to leave his little girl. Jeff therefore took care of his granddaughter, but the kid cost a lot of money. The shoes alone were breaking Jeff. He needed extra money, before the girl grew out of the shoes she was wearing that week. His retirement fund wasn’t enough to feed and clothe a growing little girl.

Anne’s house had burned a few years ago. Since then, she’d been living with anyone who would rent her a room or their basement. She’d love to get a place of her own, but she couldn’t work due to a disability. She made what she could online, but it wasn’t enough to pay for an apartment. Anne could use some extra money for a place of her own.

Neal was slowly losing his teeth due to diabetes and its resulting bone loss. He needed either dentures or dental implants, but both cost more money than his insurance at work would pay. Neal needed extra money for new teeth, but hadn’t an idea how to get it.

Conclusion

There are definitely advantages to getting a bad credit personal loan. Renovating your house, paying for specialty medicine, taking care of a growing granddaughter for your son, or laying out a down payment on a car are important things. However, the disadvantages are serious enough to give most anyone seeking a loan pause. We’re not trying to turn you off by any means, but a smart person looks at both sides of the coin.

You should also know that while you’re scrolling for personal loans, you’ll run across companies who locate personal loan companies for you. These companies are not lenders, rather they save you time and trouble. They talk to you, learning your needs, your repayment capabilities, and your time frame. Then they pair you up with the loan company that best suits your needs. This is an attractive thing to someone who’s never applied for a bad credit personal loan before. Now that you have all the facts, we’d love to hear what you accomplished with your loan.

7 Smart Ways to Use a Personal Loan

Every so often, it is normal to find yourself in a situation where you need extra cash. There are many ways through which consumers can raise the money they need to handle emergencies or meet their financial needs. One of the most common and convenient ways of doing this is to get a personal loan online. However, before approaching any short term loan lender for these products, it would be important to learn about the various smart ways to use a personal loan. This will not only help borrowers to make the most of the money but also help to avoid frustrations arising from financial difficulties.

Seven Ways to Use a Loan

Here are several smart ways to use a personal loan that borrowers should know about.

1. Consolidate debt to a lower interest payment

In case you are struggling to pay off your credit card loans and other debts, you may want to think about consolidating the loans into a single lower interest payment. Debt and Bill consolidation makes it easy for borrowers to know how much they owe and keep track of their monthly payments. However, your circumstances will determine whether this qualifies as one of the smart ways to use a personal loan. While taking out a personal installment loan for debt consolidation is becoming increasingly popular, borrowers should always be aware of the advantages and disadvantages of making this financial move.

When it comes to advantages, personal loans for consolidating debt may have a longer repayment period, making it more convenient for borrowers to pay back. This may also mean that the amount of money to be paid back may be significantly lower.

One of the disadvantages of debt consolidation is that you may end up paying more in interest depending on your credit score. However, this will be influenced by the type of loan, market conditions, and the lender you choose to work with. Similarly, the extended repayment period may mean higher interest in the long run, even though you may feel less of a debt burden.

As much as you may consolidate your debts and take out a loan to clear them, you should remember that you still have a responsibility to pay back the debt. To determine whether this is one of the smart ways to use a personal loan, it would be important to speak to a financial advisor.

2. Boost your credit score

A good credit score plays a critical role when borrowers are looking to borrow money from financial institutions. This is why it is important to maintain a good score and boost it in case it is negatively affected. Depending on how the borrowed money is used and repaid, this could be among the smart ways to use a personal loan.

Most lenders will consider the relationship between your credit limit and spending over a given period before giving out a loan. Borrowers with high credit utilization are considered to be a higher risk.

Personal Loans can help borrowers to consolidate debts, reducing their balance during a given month, and therefore improving their credit score.
Whether you are looking to get a personal loan online or from traditional lenders, you should carefully evaluate your ability to repay the loan. A personal loan presents borrowers with the opportunity to improve their credit score. However, this will only happen if all the loan installments are paid in good time. Since late payments or missed payments will hurt the credit score, this is an issue that borrowers must consider carefully.
There is no doubt that personal loans can help to improve your credit score in case of poor credit. However, achieving this goal requires a certain degree of financial discipline. Borrowers will also have to be sure that they will make timely payments for the loan to have a clean credit record and history.

3. Emergency medical expenses

Even with insurance, emergency medical expenses can result in unpaid bills that could lead to bankruptcies and negative credit reports. While having money saved in a savings account would be a great way to avoid the associated frustrations, this is not possible for most people. This is when taking out an emergency loan for medical bills makes for one of the smart ways to use a personal loan.

Paying for medical costs out of your pocket can be expensive, considering the high cost of healthcare. While you can think of negotiating the bill with the concerned medical practitioner, there is also the nurses, anesthesiologists, and the hospital itself. Medical loans are designed for people who run into financial trouble as a result of medical expenses. The loan allows borrowers to settle the medical bill in full and paybackin installments over time.

A medical emergency is a situation where disease or intense bodily damage threatens the patient’s life or could cause irreparable harm to their health. You may want to consider both the terms and interest of the loan before taking out an emergency medical loan. Shopping around will allow you to find the product that fits your budget and is more favorable for your circumstance.

One of the advantages of this type of personal loans is that borrowers can still get them even with bad credit. Banks and credit unions can also extend the loan under emergency circumstances even if you already have a loan with them. However, borrowers should ensure that the emergency loan for medical bills will not lead to a debt burden that overwhelms them.

4. Home improvement or maintaining your house

After staying in your home for a considerable period, you may find it appropriate to upgrade the property. Whether you want to make it more functional or boost its value before putting it up for sale, you will have to figure out where the money for the project will come from. What most people do not know is that there are personal loans for home improvement or maintaining your house.

There are several instances where taking loans for this purpose joins the list of smart ways to use a personal loan. Since personal loans have to do with a borrower’s credit and ability to pay, they will be a great option to consider if the borrower does not have enough equity in their home. This also applies if the borrower wants a shorter or fixed repayment term, when they do not want to use their home as collateral or when the borrower wants to start their project right away.

One of the reasons why this makes it to smart ways to use a personal loan is because it contributes to increasing the value of the property. However, it remains important to look at the interest rates charged on the loan, the repayment period, and other fees before taking out the loan. Before committing to these loans, borrowers must check out the different options available to establish the product that will be a better fit for them.

5. Repair a car that you use for work

While most people know that they can take out personal installment loans to buy a car, very few are aware that they can borrow to repair a car that they use for work. Unexpected maintenance and repairs for your car will put you in a situation where you find yourself in need of quick cash. A personal loan to take care of the expenses associated with repairing your car will allow you to pay back the money over several months. This reduces the financial pressure you feel so that you can carry on with other things.

Getting your car working will save you from additional expenses that would arise if the problem is not fixed in good time. This is why borrowers may want to consider taking out a personal loan to help them meet such costs. Some of the advantages of taking out a personal loan are that the process is easy, quick, and private. There are a number of independent loan lenders that can help you access the funds you need for such situations. We also make it easy and convenient for consumers to find the right lender for their needs.

When thinking of smart ways to use a personal loan, borrowers should ensure that the borrowed funds will be used in such a way that it will make economic sense. Repairing a car that you use for work will make it easy for you to generate income. Unlike borrowing for luxury spending, this will allow you to move to work and transport stuff more conveniently.

6. When you can use a personal loan to make money

While borrowing has risks associated with it, borrowing for the right reasons can help you reach your financial goals. Rather than letting an opportunity pass you buy, you should consider approaching lenders to advance the cash you need to take advantage of such situations. This includes financing a business expansion that will increase profits, paying for a home remodeling exercise that will increase the value of the property and paying for a course that will translate into better career prospects.

In most cases, putting money into a project where you expect to make money comes with certain risks. There is never a guarantee that investing in a given venture will bring about the expected results. In fact, there is the possibility of losing money. As such, this move must be a calculated risk. Even if the venture fails, borrowers will still be required to repay the loan. This means that it is extremely important for borrowers to do their research to establish whether the opportunity is likely to work out.

There is no doubt that borrowing when you can use the cash to make more money is one of the smart ways to use a personal loan. However, the most important thing is to ensure that the money is put to proper use. Only by doing so will it help to improve the quality of life or generate more income. Using the money for the intended purpose will also go a long way in ensuring that the loan is repaid promptly without straining.

7. Emergency Situations With Your Home

Every homeowner wants to make sure that their home is comfortable and functional at all times. However, once you begin your home ownership journey, there are times when you will have to carry out repairs to both the structure and the different systems in your home. In case such situations arise at unexpected times, you will be forced to find reliable sources of money to carry out the repairs. This is when taking a personal loan may become one of the smart ways to use a personal loan.

The reasons why people take out loans for emergencies with the home are as different as the borrowers themselves. These loans can be used to remove health and safety hazards, carry out repairs, or modernize the space. Depending on your needs, you should consider looking for a lender who will offer products that are suited for your situation.

Today, a good number of people get a personal loan online to execute such projects. This is because most online lenders have flexible requirements. At the same time, online loans have a shorter and faster application process when compared to taking out loans with traditional lenders. As a borrower, you will want to work with a lender who makes it possible for you to meet your needs at the right time and pay back the loan conveniently over time. With the numerous lenders offering loans today, we help borrowers to find the right lender. We provide a hassle-free borrowing experience by helping consumers avoid common scams.

Key Points to Remember

Much has been said about the benefits of personal loans. However, for borrowers to realize these benefits and ensure that personal loans help to improve their lives, they must ensure that the money is used wisely. This means finding smart ways to use a personal loan so that repaying it does not lead to financial difficulties and a larger debt burden.

  • Make a plan – the first step when it comes to using a personal loan wisely is to make a plan. This means identifying the need for the money, figuring out how much is required, choosing a lender, and discussing a suitable repayment schedule. Lastly, this will involve coming up with a clear way of using the funds.
  • Take only what you need – it is possible that you will qualify for a higher loan amount than you actually need. However, taking out more than you need can land you in financial trouble. Renegotiate for a lower amount if the lender offers more than the amount you want.
  • Stick to the plan – a plan will only work if you stick to it throughout the entire process. Once you have received the money, it is important to stay focused on your goals, using the money only for the intended purpose.
  • Remember it isn’t money – it is important to remember that you do not have money. On the contrary, you owe money. Just because there is a certain amount of cash in your bank account does not mean it is yours.

Now that you are familiar with all the ways you can use a loan, you have to be smart about where you are looking for one. Borrowers should identify reliable lenders to work with. We make it easy for consumers to find the right lenders for their needs and avoid falling victim to scams.

What Credit Score You Need for a Personal Loan?

Most personal loan lenders will take the borrower’s credit score into consideration before issuing a loan. This is why borrowers should think of boosting their score way before they apply for or need personal loans. This helps to avoid the frustrations associated with getting your loan application rejected. The borrower’s credit score will also have a direct impact on how much they pay in terms of interest and other loan fees.

A credit score ranging from 700 to 750 is usually considered good. A good credit score will not only ensure that borrowers get numerous attractive offers but also make it easier for them to access the funding they need for their needs. There is also a fair credit score which ranges from 650 to 700. While it may not be easy to get a personal loan with fair credit, some lenders will consider your application when they take into account other factors. Lastly, a bad credit score is between 560 and 650. Getting a personal loan with bad credit can be hard. The good news is that borrowers can take certain steps to get the funding they need.

However, such borrowers may end up paying high-interest rates, have shorter repayment periods, or have lower borrowing limits.

Considering the important role that the credit score plays in the loans industry, it is important to maintain a good credit score. Similarly, those with a poor credit score should strive to improve their score. This means adopting healthy financial habits, paying back debts on time, and sticking to smart ways to use a personal loan.

When You Should NOT Use a Personal Loan

Types of Bad Debt: Travel Loans, Wedding Loans and Rent Loans

Before and while taking out a personal installment loan, borrowers should ensure that the loan will not lead them to financial troubles. Although personal loans can be beneficial in many ways, there are several instances when you should not use the loans. Here are examples of when not to use personal loans.

When you are struggling to keep up with debts

If you are struggling with student loans, credit cards, and other bills, it may not be a good idea to take out a personal loan. Once you cannot keep up with current debts, adding to the amount you pay back monthly will only complicate things further. It would be important to improve your financial situation before adding on a new loan.

You want to refinance a small amount of debt

While personal loans can help borrowers to consolidate debts for easy and convenient repayment, the amount you want to refinance should be considered carefully. Seeking to refinance a small amount will mean additional expenses that one would have avoided if they paid off the loan over the remaining period.

If you can easily save the money

Taking out a loan will mean paying it back with interest and incurring costs in terms of fees. In case you do not need the money urgently and can save up for your project, it would be wise to do so.

Covering expected major expenses

Rather than taking out a personal loan to cover upcoming expenses, you may want to consider other ways of raising the money. This may include looking for a part-time job or cutting down on expenses to boost savings.

Unstable employment and income

In case your employment or income is unstable, you may have problems paying back your loan. Avoiding such a loan altogether will help you avoid the frustrations that come with late or missed payments.

Final Thoughts

Knowledge of smart ways to use a personal loan and when to avoid the products can go a long way in helping you meet your needs. At the same time, it can help you get out of financial difficulties and move you closer to your goals. However, the journey requires good financial habits and discipline.

Besides figuring out smart ways to use a personal loan, borrowers should carefully consider the kind of lenders they work with. Since different lenders have varying loan terms, doing some research will help in identifying the most appropriate one for your needs. We simplify the process of finding a lender by helping consumers to compare different lenders and identify reliable loan companies. Work with us to make it easier to get a personal loan online and learn more smart ways to use a personal loan.

A Guide to Personal Loans in California: Loans 411

A Guide to Personal Loans in California

If you have found yourself in need of personal loans in California, but do not fully understand them, do not fret. We have you covered. In this article, we will talk about personal loans, how they can be used, how you can find them, and even how to prevent needing them in the future.

What are Personal Loans and Personal Installment Loans?

Personal loans California residents can get are really just plain and simple loans. You borrow money from someone, be it a friend or a financial institution, it is a personal loan. These can go anywhere from a few hundred to tens of thousands of dollars. Generally, though, they average between $500 and $1,500.

A personal installment loan is a type of personal loan. You borrow money from a lender and pay it back in monthly installments. In my humble opinion, personal installment loans are the best type of loan you can get. With many other types of loans, you get short repayment terms and high interest rates. Personal installment loans offer some of the longest repayment periods- months or years- and much lower interest rates- as low as 6%. In short, they are much less stressful to me because you do not have to rush to pay them off. If you need a loan, I would suggest looking for a personal installment loan before applying for others.

Before applying for personal loans in California one needs to know the pros and cons:

Pros:

-You can use them to pay for things you need now that you cannot otherwise pay, like medical expenses or moving expenses.

-If you make timely payments, you can improve your credit score.

-Timely payments can also make you eligible for larger loans when you are making a larger purchase, i.e. a vehicle.

Cons:

-This may seem like common knowledge, but I have actually known quite a few people that did not understand interest means paying back more than you borrow. If you were unaware of that, you know now.

-Missing payments can completely destroy your credit. It can also mean court dates, being sued, losing property, or more. If you borrow money, you need to repay it on time to prevent any additional issues.

If you are aware of this pros and cons, you can easily weigh your options and see if a personal loan is for you. But you also need to make sure that if you decide to get a loan, you do so with a reputable lender. As always, Loanry is here to help.

The Different Types of Personal Installments Loans

There are two basic types of personal loans: secured and unsecured. Let’s break them down:

Secured:

A secured personal loan is one that requires some type of collateral. That may be a piece of property, like a car, a home, or even investments.Basically, you temporarily give your lender ownership rights to that collateral until you have fulfilled your agreement. This collateral benefits the lender because if you do not pay your loan, they can take possession of your property. They can then sell it to get their money back.

It is also beneficial to the borrower because putting collateral up can help you get approved and possibly even get approved for more. The downside is that until you pay off the loan, you can do nothing with that property. For example, if you used a vehicle for collateral but would like to sell it, you will have to wait until you repay your loan and own it again. It is also important to note that if you do not repay your loan, the lender has every legal right to your collateral. So unless you don’t mind losing it, be sure to pay your loan as agreed.

Unsecured:

An unsecured loan is one that does not require any collateral. The lender basically loans you the money just on your promise to repay the loan. As the lender is taking a greater risk, these are harder to get approved for and you might not get approved for a large amount. The higher the risk, the tougher the application and approval process will be.

If you are thinking that you will not lose anything if you do not pay back an unsecured loan, think again. Though you are not putting up any collateral with these, the lender can still pursue legal action. The result of that could mean you losing even more- and paying more than your original loan. And it can affect your credit. The bottom line is that you should be sure to pay back an unsecured loan, as well.

What Can I Use a Personal Loan for?

You can use personal loans for many reasons. Vacations, bills, debt consolidation, moving, vehicles, real estate, medical bills, even shopping sprees can be covered by personal loans. Having said that, here is a word of warning: being irresponsible with a personal loan is going to get you into trouble.

Let’s take that shopping spree, for example. Taking out personal loans in California just because Hollister is having a huge sale, or because you see an expensive pair of shoes you want is probably not a good idea. On the other hand, let’s say you are starting a new job that requires a professional wardrobe. You check your closet and find nothing but skinny jeans, the outfit that you keep for funerals, hoodies, and tank tops. Obviously, this is not going to cut it at your new job. If you need clothes in a situation like this and will not have any money until you get your first check, it is probably okay to get a personal loan. Well, as long as you have already been hired.

Do you see the difference? Shopping sprees for the fun of it are not a bad thing, but that is kind of an irresponsible thing to get into debt over. Instead, save up for a while, sell your old clothes, and then treat yourself to a guilt-free shopping spree. However, if the shopping spree is an investment into your future, it is not so irresponsible. The key is to simply think through the reason for the loan first and determine if it is really necessary.

How Can I Qualify for a Personal Installment Loan?

Qualifying for personal loans in California is the same as anywhere else. Lenders will usually check your credit score and/or report. Some will go no further if your credit is not good. However, there are some that give bad credit a chance, depending on other things like income and references. What the lender requires often varies from lender to lender, but you can generally expect the aforementioned items.

Where Can I Find a Personal Installment Loan?

California Cash For When You Need Money Now

Ready to find personal loans in California? It is easier than you think. If you prefer in-person applications, you can apply through your local banks, credit unions, and other financial institutions. For a list of personal loans in your area, simply Google “personal loans California”.

A much simpler way, however, is to apply for secured and unsecured personal loans online. Loanry is available to help you find a lender who offers personal loans in California to residents. If you are presented with a loan offer, be sure that you shop loan rates between them before you choose.

Wise Steps to Take After Getting Personal Loans in California:

  • Read your loan agreement. Now, read it again. You need to know exactly what you signed up for. You should have already read it before signing it, but read it again anyway.
  • If you have any questions, ask them, even if you have already signed.
  • Mark your payment dates in your calendar or planner. Do not miss a payment because you do not know the date.
  • If, for any reason, you will be late making your payment, call your lender immediately. They may be able to help you and keep it off of your credit. Even if they cannot, trust me when I say it is much less frustrating for you to call them than it is to have them calling your phone until you finally decide to answer.
  • This last step is simple: repay the loan.

What Can I Do to Prevent Needing a Personal Installment Loan?

There are times in our lives that a loan simply cannot be avoided, and that’s okay. Needing help is not a weakness- it is a human characteristic. Regardless if the loan is to start a business or it is to pay your electric bill does not matter. When it is needed, it is needed- bottom line. And sometimes, this need comes out of nowhere or in amounts so large that we cannot handle on our own at that time.

Then, there are times that you can completely avoid the need for a loan, but it requires diligence, will power, and a great amount of responsibility. And it needs to happen consistently, not just when you are already in trouble. In fact, by that time it is too late. Following these steps year round can help you slide some cash away for a rainy day:

The Dreaded “B” Word

That’s right- budget. If you want to get anywhere in life, you need a plan. A budget is a plan for reaching your financial goals and keeping your head way above water. It is about telling your money where to go instead of the other way around. By being clear about what you are bringing in and what is going out, you can easily see if you need to make more or you need to cut down some.

Here is a big point though: you should give every single cent a home before it comes in. The home you give it is up to you, but it all needs a home. What do I mean? You likely already set aside your electric bill money, your grocery money, and so on. (If you don’t, you should really start.) But what do you do if there is anything left? Letting the remainder of your check just fall to random expenses is not going to help your finances, at all.

Let me break down what I mean. Below is an example of how one might budget a $1,000 check:

Bills:

Power Bill-     $200

Car Insurance- $80

Water/Trash-   $70

Fuel-                 $100

Groceries-        $200

Phone-              $100

Clothes-           $100

Movie Night-      $60

Before we move on, understand that all of these numbers are fictitious. Your bills may not look a thing like that, but you can simply plug the numbers into your budget. Also, notice that I added clothes and movie night to the list. Your budget can consist of anything that is important to you. You do not have to leave out the fun- you just need to budget it in.

Now, if you add these numbers up, you will have a total of $910. With a $1,000 check, this means you will have $90. What would you do with it? There are a lot of answers to this question, all preferential. Regardless of the answer, it needs to be added to the budget. If you plan on saving it for vacation, add it to your list. Even if you plan on blowing it on pizza and beer, put it in your budget. Obviously, the smart thing would be to save it, but you are free to do what you wish. Just make a plan for it all.

Make Saving a Lifestyle

Saving does not have to be event-related. It is something you can do every day. Saving really is a mindset. Understand, though, that saving

Motorhome Loans

does not mean living in as if you are one step from being homeless. It simply means prioritizing where your money goes. If you value date night with your spouse every Friday night, take your lunch to work with you instead of eating fast food. If paying for your child’s karate lessons every month is a top priority, you might cook more every week. You can save while enjoying your life. You just have to decide what you really want to enjoy and what really does not matter.

Stop Waiting Until the Last Minute

One thing I absolutely despise is shopping at the last minute. If I know that I need it, I will do everything in my power to get it early. That prevents me from having to fight crowds and pay inflated prices. Here are some of my tips for shopping early:

-Christmas:

Let’s be honest, Christmas comes every year, on the same exact date. It does not change. It will be here December 25th of this year and every single year. That is common knowledge, so I have to wonder why people act like it surprises them every year. They fit all of their shopping into a matter of weeks- maybe a month or two. Then, they run around like chickens with their heads cut off possibly having panic attacks.

Even worse, with everyone running around like this, there is an intense tension between all shoppers. They get rude and impatient with one another- which, you know, is totally what the season is all about. The solution- start at the beginning of the year. Have you ever walked into your local retailer two days after Christmas and see an item you paid $100 for knocked down to $50 or less? Yes, it can be frustrating, but you can also use it to your advantage. Start shopping ahead with those sales. Check the clearance aisles all year long. Put $20 up every week so you are ready when you find a good sale. It’s not that you will have nothing to buy around Christmas time, but shopping early can help you make your Christmas budget.

-“Back to School” and Halloween:

These holidays are very much the same. You may not know everything your kids will need the next year, but things like notebook paper, pens, pencils, and other common items are on pretty much every list. About a week after the back to school sales, you can find these items at a fraction of the cost. The same is true with backpacks and even Halloween costumes.

Those are just a few tips for you to save on Halloween and Back to School. I could go on about this for hours, but I digress. If you really think things through, you will find many ways to save.

Conclusion

When searching for personal loans in California, do so with as much diligence as you would pick a pediatrician for your baby- not that the loan is as important as your baby. It just needs to be taken seriously. It can be an overwhelming process to find the loan you need. Let Loanry help you find a lender that suits your situation.

The Many Reasons to Use A Personal Loan

Reasons to Use A Personal Loan

There are so many reasons to use a Personal Loan. Let’s take an everyday example of how someone could use a personal loan…

Let’s say you’re starting a home business. Yes, that can be exciting and terrifying at the same time. The goal is to be a raging success and completely self-sufficient. On the other hand, you have questions and fears about running a business. Isn’t it funny? When you have questions, sometimes answers disappear into the woodwork.

However, you found a home business you believe in. You know you can do this because the product worked unbelievably well for you. Unfortunately, in order to try the product, you had to dip into the rent money to buy it. Now you need help paying rent. What other costs are involved in running a home business?

So let’s see what are some of the reasons to take out a personal loan.

Reasons You Might Get A Personal Loan

The Top 11 Reasons to Get A Personal Loan

There are dozens of reasons to get a personal loan. When people need help paying rent, that’s about as scary as it gets. Goodness knows, we understand that. There are other reasons people get personal loans, though. Just in case you can’t think of any, we’ll help out.

Destination Wedding

Your niece has decided to get married on a Greek island. You have never been outside the continental U. S. and want to go very much. So you take out a personal loan to attend a destination wedding, get a passport, buy your wardrobe, and book the trip. Don’t forget a wedding present and an extra suitcase for bringing back cool stuff.

Moving Long-Distance

Moving locally isn’t too expensive, but moving a couple states away or across country is. You might need a way to pay for moving all the cars in addition to moving the house. You could need furnishings, window treatments, or minor upgrades to the house when you get there. An extra money might just be required until your first paycheck from the new job comes in. Yeah, you could use a personal loan for moving.

Large Purchases

The washer and/or dryer won’t wash or dry. The microwave blew, and the computer got wiped out in a thunderstorm. Those appliances and computer are expensive. Do you have enough in the bank to cover it? You’ll need a personal loan. You can tell them it’s loans to help with rent, but what you spend it on is actually up to you.

Funeral Costs

Flowers, caskets (and in some states like Georgia, vaults,) burial plots, the funeral service and other charges add up to the tens of thousands. Some families will only have the best quality casket, the most expensive spray on the coffin, the best wreaths, and other such things. If this is the case, you might need a personal loan to bury a family member or loved one.

Home Remodel

At some point in time, every family has a decision to make. They can upgrade the home they’re in and stay for a few years and downsize or move up as the case may be. Sometimes the “upgrades” consist of gutters, new roof, and possibly fixing a cracked foundation.

Other home remodels consist of adding gardens, water scapes, planting trees, putting up a fence, a swimming pool, or adding heat to the driveway and sidewalk. Sometimes a personal loan is about new siding on the house, new natural stone veneers on the house, new windows and doors, or a new deck.

Today’s technology is so amazing that a home remodel is now a difficult thing to do. You have to choose between several types and styles of flooring, lighting, counter tops, and appliances. Do you want molding? Do you want craftsman-style caps on the door frames? How about tray ceilings or solar panels?

The truth is that your dream upgrades are going to cost you both arms and an ankle. Go ahead and make your dreams come true; you have to live there. Why not make it incredible? Just make sure to borrow enough on a personal loan to make it happen.

Consolidating Debt

One of the most popular reasons to get a personal loan is to consolidate debt. Many people roll their credit cards into their debt as well. What they end up with is one monthly payment. It never changes, and interest rates won’t go up. Debt gone, easy to handle monthly payment, no outrageous interest payments; what’s not to love?

Dream Vacation

Some people save up all their lives to take that dream cruise around the world, to the canals of Venice, to the Asian bazaars, or to the snow-capped Alps. Wherever your dream vacation is located, get a personal loan and go before life stops you. You’ve worked hard, and you deserve it! Could you bring us back a cool T-shirt? Just kidding. Get out there and have some fun!

Benefits Of Personal Loans

Here’s how you can benefit from getting a personal loan for any of the above mentioned reasons.

Fixed Payments Are Easy To Budget

A personal loan is taken out in a certain amount for perhaps 24 months to five years. The payments will never change like credit card payments do. Payments are due the same date every month, making accurate budgeting a snap.

About Interest Rates

Two things about interest rates to which to pay attention are the interest rate and that the interest rate is fixed. Credit card interest rates are high, and they don’t stop climbing. Some credit card interest rates are 19 percent or higher. They vary monthly, making your credit card payments different each and every month. Some personal loans, for instance, have been known to have a six to seven percent interest rate (for those with outstanding credit.)

Since a personal installment loan has a fixed payment every month, then the interest is the same every month. It won’t rise or fall. It’s for the life of the loan.

No Collateral

Auto loans are secured by the car, and mortgages are secured by the house. Personal loans aren’t secured by anything. The penalties for defaulting on a personal loan aren’t pretty, but you won’t lose your house or car for doing it.

Some personal loans are secured; don’t get us wrong. Lots of people put up their car as collateral, especially if their credit isn’t sterling. It really depends on your credit rating.

Higher Borrowing Ceiling

Credit cards have spending limits defined by the card holder’s credit, income to debt ratio, bankruptcies, and credit score to name a few. While personal loans use these same criteria and more to judge if a borrower will repay the loan, their ceiling is higher. Credit card limits may go up to $10,000 for super-creditworthy customers.

Personal loans go higher than that. Using the same criteria that credit cards do, personal loan lenders can and do go up as high as $25,000 to $30,000.

Your Reasons For The Loan

Credit cards limit people to the places they can be used. Retail, online or in stores, is generally the limit for credit card use. However, personal loans can be used for any reason at all such as loans to help with rent.

On the other hand, some retail vendors don’t take credit cards at all. They don’t want to pay the fees that come with credit card processing. Many retail vendors will give discounts to their customers that pay in cash as well. So credit cards aren’t always where it’s at.

Raise Credit Scores

Credit companies love it when people have varying degrees of credit. When you take out a personal loan, even if it’s for loans to help with rent, and pay it back on time, your credit looks much better. More and more stores and services will be willing to extend credit to you. And all this from a personal loan to pay rent.

Simple Processing

Loans used to generate several pounds of paper that borrowers had to fill out. Today, it can be done online in minutes, with the money in your account in hours. One of the reasons for this is the proliferation of lenders, from lending clubs to peer-to-peer lenders to traditional lenders. Competition often streamlines things, and it’s happened with lenders.

Where to Get a Loan

One of the best places to shop for a loan and get it is, believe it or nor, THE INTERNET. Yup, online lenders are a thing. And they’re the best thing you can possibly imagine. Getting a loan online means getting it quickly and effortlessly. The only thing you have to do is research to find a good lender and apply. Only two steps. And Loanry can help you with the first one. We connect you to reputable lenders, and our partner Fiona made this form for you to put your info in, so we can get you personalized offers now.

Conclusion

Making your new home business work will take focus and dedication. You’ll need funds for permits, payment processing, website, and marketing. Some of the benefits of personal loans are better interest rates, set repayment schedule, and no collateral.

There are personal loan lenders and there are people who point you toward the personal loan lender best suited to your circumstances. These people work with you to find a lender who will work with you as well, matching their lending programs with your needs. They’re conveniently listed with personal lenders, so please talk with them today.

Difference of being Pre-Approved vs. Pre-Qualified for a Personal Loan?

After understanding a few options, you might decide to pursuit a personal loan with online assistance available to help you. Indeed, there are plenty of resources available to outline the steps and ways to better prepare yourself. This can be a simple choice and knowing more about the process is a smart way to be more comfortable.

According to other consumers, understanding the basic terms and opportunities are probably the bests way to prepare. Many consumers would reach out and suggest simple strategies to be successful. Lending is healthy as you know how to go through it. What types of preparations do you need and where do I start when looking at online resources? What is the difference between being pre-approved vs. pre-qualified for a personal loan?

Pre-Approved vs. Pre-Qualified

Some lenders use the terms interchangeably when communicating about personal loans and the process involved.  Other lenders have a different way of viewing the terms although the processes may be similar.  Being pre-approved vs. pre-qualified are discussions you might have with lenders through the process.  Triggering a “hard pull” on your credit is a part of a certain process with the loan application.

These applications may require more information about your employment and financial background.  As a consumer, you should know that a “hard pull” requires your consent because of your protected credit report.   You might pre-qualify for a personal loan rather than committing to a deeper credit search before you are ready.    Understanding the terms and the fine print are helpful with the loan process and credit report protection.

With loan comparisons, many resources suggest a focus on the basics.  According to USA Today, the annual percentage rate (APR) is what matters the most when comparing personal loans.  In the United States, the lenders have a requirement to provide an APR when making an offer.  This percentage should reflect the costs on an annual basis, which includes interest and applicable fees.

The market for personal loans is more competitive than it has ever been in history.  With online shopping thanks to the Internet, people can get an estimate from several different lenders in just minutes.  The opportunities right now for consumers are considered amazing.  Online shopping for money can be one of the most incredible considerations for people that come across the availability and news.

Personal Loan Basics

Personal installment loans are available for people needing some money. We outline the online resources here with some simple suggestions for getting through the process. Indeed, simplifying everything can help with your comfortableness while pursuing personal loan options. Above all, it is helpful to know that lenders are there to provide loans. However, those trying to get a loan are able to understand that there are more lenders available now offering loans.

Knowing how they use the terms pre-approved vs. pre-qualified is helpful.  Personal loans can assist with financial need, home improvements, preparing for a promotion, or relocation assistance.   I was amazed to find out that there are even loans for moving costs.  Maybe a personal loan can help you through the next few months of bill payments.  The comfortableness is important to many people and relief could be a simple process of researching loan options.

Pre-Qualifying for a Loan

How can a personal loan help you with your finances?  Maybe a loan can help you with job training or plans for better employment.  You could also get money for that large purchase or vacation.   A loan could help you with your career goals and plans to improve your financial situation.  Maybe that personal loan can also help you build your credit.

What do you need to understand about the loan process?  How does a pre-approval benefit you?  The lenders online have a loan process available and the information is there to help you.  Where can I find out more about pre-qualifying for a personal loan?  How is pre-approved vs. pre-qualified different between lenders?

There are many resources available with consumer education for the loan process.  The benefits of knowing more can be a smart reason to check out the resources for the lending process.  Getting pre-qualified for a loan means a lender has checked out your information.  Sometimes called a “soft pull” on your credit, a creditor believes you are likely to be eligible for a loan.

According to some resources, this will not affect your credit but ask about pre-approved vs. pre-qualified processes if it applies.  If you are pre-qualified by a lender to get a personal loan online, that is not a loan offer. However, the lender feels that you will likely qualify for a loan through them.

Why is it Better to Pre-qualify for a Personal Loan?

As you shop online, it is important to know the lender’s plans for being pre-approved vs. pre-qualified for a personal loan.  Protecting your best credit report is smart throughout this process.  Shopping for personal loans can be simplified with a process to pre-qualify online or on the phone.  This will not affect your credit score and you can then determine the best interest rates from each lender.

Continue to check the lender’s plans for being pre-approved vs. pre-qualified.  Usually, the process of pre-qualifying can help you with an estimate of the monthly payment.  The protection of your credit report is smart with each step of the process.  The personal loan can be helpful for many reasons but when you educate yourself about the process it can be helpful in many ways.

Look Into All Options

Someone looking at loan options is in a better way as they understand the language used by lenders.  Two points to consider when looking at personal loan options.  What is a “soft pull” and what is a “hard pull” for each lender through the process?  Getting through this without hurting your credit rating is an objective for those who are informed.

Certain lenders may use an in-depth look at your financial history with an actual loan application.  This is sometimes referred to as a “hard pull”.   This credit review of your report may include a look at items such as balances owed and debt.  Consumers should know that the algorithms used by lenders today are constantly improving.  This reduces the likelihood that the interest rate is much higher after the loan application versus a “soft pull” pre-qualification.   Consumers should be thankful since the improvements can save them money, time, and effort.  The loan application process can be more comfortable with a more accurate number for the lender’s best interest rate.

Pre-Qualifying Loan Process

To pre-qualify you might need information about your employment and current financial situation.  This may include the name of your employer, salary, and the amount of time that you’ve been with the company.  Some lenders may ask about previous employers.  Additional requests may include information about debts, such as a mortgage, auto and any other loans.

Lenders want to know about your payments.   Your self-reporting will help them assess the likeliness for you to qualify.  The simplified pre-approval vs. pre-qualified process may include a form for you to complete.  The submittal may include a soft credit check from the lender with a lender pre-qualification decisioning.  This is another benefit of pre-qualifying with a fast process for the lender to let you know their decision.

As the potential borrower, you can either accept or decline the pre-qualified offer.  This could include their interest rate and the monthly payment amount.   With these simple steps, you can use the information to decide which lender might be best for you.  It is helpful to know that borrowers can get a quote for a loan with a soft credit check.  In an amazing way, you can get quotes from 20 different lenders without getting a hard inquiry on your credit report.  Only with acceptance of the loan will the lender do a hard pull of your credit for purposes of verification.

The Best Ways to Qualify for a Personal Loan

A personal loan is simplified as you understand that you can use it for anything you want.  Getting pre-approved vs. pre-qualified is important to know with the processing of a personal loan.  This is different than a mortgage loan because there are no restrictions on spending the money.  The best ways to get a personal loan are covered here.

Credit scores can be improved and the good news is that the process can be simplified. The three reporting agencies for credit keep track of your score: Experian, Transunion, and Equifax.
One of these may have a higher score than the others so you could check all three. A positive way of viewing your score is to consider your credit history as monthly segments. You can prove that you pay rent or mortgage amounts and the other bills on time. A repair can be assisted with a company but be careful if they ask for money. When you are working towards better credit remember to celebrate even incremental progress. In addition know that lenders want to provide loans and that this is their business.

Credit Scores for a Personal Loan

Before beginning the loan process, you might consider fixing up your credit score and any delinquencies. Indeed, improving the score you have with your credit report is important because it should lower the amount you pay with personal loan fees and interest. For instance, the personal loan shopping tools are available to help you understand credit scores and some ratings. Improving your credit score can help you with the loan process and getting qualified for a personal loan. However, staying focused and continuing with your on-time payments can also assist you through this process. Debt to income ratios can be improved. Not to forget that with some effort, you can even prepare notes that support your successes.

Organize everything in ways that work for you.  I have found it helpful to consider credit utilization and a streamlined approach to getting a loan approved.

  • Look at your groupings of payments and consider any improvements that might help
  • Find any payments that you can improve with multiple smaller amounts
  • Request a credit limit increase and try to lower any interest rate amounts
  • Consider debt consolidation loans to pay off card balances
  • Continue with on time payments and credit score improvements
  • Prepare your notes for a simple pre-approved vs. pre-qualification loan process

Improving Your Chances of Getting a Personal Loan Approved

Understanding the process for getting pre-approved vs. pre-qualified for a personal loan will assist you through the planning of shopping lenders without affecting your credit score.  Preparing for the loan process could begin with the simple process of going online and understanding the opportunities.

Short term loan lenders are offering the loan process online for easy access.  Understanding how to get pre-approved is helpful when applying for a loan.  Consumer to consumer research can be really helpful.  Just know that rereading certain resource materials might be the best preparation for you.

Increase Your Odds of Getting Your Personal Loan Approved

Try to be comfortable and positive with your finance successes.  Being knowledgeable is the best step and the loan process can all be simplified from there.  The search process online is simple also.  Just use the words get personal loan online, pre-approved vs. pre-qualified for personal loans, or helpful loans online.

Planning for success is smart and making sure you understand the payment schedules is also a good plan.  Mike Sullivan is the personal finance consultant with a Phoenix-based nonprofit credit counseling and debt management agency.  “Late payments trigger fees, and after 30 days, negative reports go to credit reporting agencies.  An installment loan can help your credit buy only if paid on time.”

Strengthen Your Chances of Getting Approved

Understanding the benefits of paying off higher interest credit cards can make the loan process seem easier.  Paying off that debt could help your credit score and credit history.  This type of planning makes sense to lenders that also are there to provide short term installment loans.  The payoff of your credit card debt might make sense to support a better position for your finances.

If you are unsure, you can always correspond with a lender online.  They are usually available to answer questions and many are wanting to build good customer relationships.  This is an opportunity to evaluate the loan options and benefits, along with the plans for the pre-approved vs. pre-qualified process.  A better plan with your credit standing could actually help you save money.

There are several factors reviewed by a lender when deciding to approve a personal loan.  A reasonable debt to income ratio is helpful.  A history of on time bill payments is also helpful.   Some smart lenders also know to use career experience, financial history, education level and monthly income when evaluating a loan.  Considerations of your future ability for creditworthiness is also helpful for many people.  As always, take time to evaluate the rate, terms, and payment amounts.  You should be comfortable with the payment schedule and monthly amounts.  Shop personal loans and increase your chances of finding a loan that works for your situation.

Personal Loan Reviews and Credit Ratings

Your credit history can be a positive for lenders reviewing your report.  An established credit history can actually help with one review of your report.  Making payments on time would be a positive way of your ability to manage loans and finances.  Consider your success for making on time payments and maybe take some notes about your payments and the frequency of your bill paying.

Some lenders may also want to know your history with credit cards or credit used.  The total amount of outstanding debt may be reviewed.   You might be prepared to answer questions about your ability to pay the monthly amounts after getting a personal loan.

Recording monthly bill payments can help you confidently prepare to work online.   With some online providers of loans, you may want to take notes and understand the basics for each loan process.  This can help you decide on your path through the process.  Explanations of using credit cards frequently might also be noted.  Other cost savings and money paybacks as promotions may be a reason some people use credit cards more often.  Some use credit cards more often for an itemized payment report.

Summaries of your reasons might be inclusions for your notes.  Looking organized with itemized lists may look favorable for a lender that might be looking at your credit history.  Remember to discuss the pre-approved vs. pre-qualified loan process.  Consumers are supposed to be protected since “soft pull” recent inquiries are not supposed to do any hurt or harm based on consumer protection.

Understanding the Loan Process

The loan process is simply some exchange of information.  Being prepared can help you through the process and also improve your opportunities of qualifying for personal installment loans.  The review of a loan process is part of the lender’s work with you.   Some consumers have obtained a personal loan knowing the payoff was just a few paychecks away.

Your plans to use the money might be considered smarter if the loan can help you save or make additional money someway.  Loans for consumers are often in three main categories: debt consolidation, home improvement financing, and retail.  The success from this process can also help some consumers better prepare for a homeownership loan.

Be pleased with your finance knowledge and your smart ways of shopping for loans and credit.  Looking organized is simple as you jot notes and look at the summary of your finances.  Try to be positive with confidence supporting your planning.   Noting your success is also a smart way to prepare as you work online researching the loan process.  Any debt payoffs are big wins and some people are doing some work to make sure their credit report reflects the improvements.

Checking your credit score is important through the pre-approved vs. pre-qualified lender process.  Your regular on time payments may look really good to lenders waiting to provide loans.  A suggestion is to keep track of your regular payments and any commitments to save money.  These efforts can be communicated if appropriate.

Rates, Fees and Terms

Being informed about the loan process is easier when you understand a few basics about personal loan lending.  This includes rates, fees, and terms.  Shopping online gives you an opportunity to check for lower interest rates.  Reading the terms and fine print are smart with personal loans and considering short term loan lenders.  Also, interest rate discussions might be important so understand it all in a simplified way.  This is the rate the lender will charge you for the use of borrowing the money.

There is a fixed rate and a variable rate as two types of interest rates to understand.  Fixed rates never change and will be the same for the loan term.  Variable rates may increase when the market changes but may start off lower.  Shopping around for personal loans is smart and checking out different lenders can help determine the best rate for you.  Keep in mind the benefits of knowing each lender’s process for getting pre-approved vs. pre-qualified.  Understanding these loan basics will help you better prepare and ask the right questions when reviewing your loan options.

Success with a Pre-Approved Loan

After confirming that the payback plan works for you, it might seem easier to celebrate your success with an approved loan.  Your success in looking organized might have really helped so be pleased with your work.  Taking notes about the plans for payments or the payback can help you with the next steps.  How do you make sure it all works for your finances and situation?

Take notes and determine you plans for putting some money to the side for payments or the payback.  You can revise it as necessary and use it to ensure your comfortability with the planning.  Regular payments are smart to plan as you look at other monthly expenses and itemized amounts.

It is nice to know plans to pursue and protect your best credit rating.  Focus first on “soft pulls” when going through the loan process until you are ready.  Reviewing the process of pre-approved vs. pre-qualified for a personal loan with each lender is important.  You can shop several lenders online and get the interest rate with payment amounts.

Going through the loan process and improving your credit may be the smartest planning.  Your credit score and efforts can save you money and help you qualify for future loans.  Also, know that personal loans are not usually backed with collateral and you can use the money for whatever reason.  This gives you flexibility while knowing you did good work preparing for your payments due and aligning your credit ratings.

How Do Personal Loans Work (And Don’t Work)

Every one of us needs some extra cash at one point or another. Whether you are looking to work towards your financial goals or take care of a financial emergency, taking out a loan can come in handy. However, to make the most of the money you have borrowed, it is important to start by applying for the right loan.

With the numerous lenders that borrowers can access today, online personal loan shopping can be confusing. The good news is that consumers can identify reliable lenders by researching third parties that are not involved in the lending business. We not only make it easier for borrowers to find a lender but also seek to educate them about personal loans.

Personal Loan Basics

Simply put, a personal loan is a fixed amount of money, with a fixed interest rate and a fixed repayment term, given by a lender to an individual. Personal loans can either be secured or unsecured, with secured loans requiring borrowers to provide collateral to back up the loan. The terms of a personal loan will differ from one lender to another, with personal loans providing a longer repayment period.

When shopping for a personal loan, it is important for borrowers to understand the purpose for which they are taking out the loan. There are different types of personal loans depending on the use to which the money will be put. These include automobile loans, emergency cash loans, loans for medical bills, travel loans, debt consolidation loan, and wedding loans, among others.

Elements of a Personal Loan

While personal loans will generally involve smaller installments, the interest paid at the end of the repayment period will be higher than that paid on a shorter-term loan of an equal amount. Here are some elements of a personal loan to help you make an informed decision.

  • Principal – this is the amount of money you borrow. The lender will calculate the interest to be paid based on the principal you owe. Most lenders have floors and caps on how much they can lend as personal loans.
  • Interest rate – calculated as a percentage of the loan amount, interest is the amount you will pay on top of the principal. Most personal loans have fixed interest rates.
  • APR – The APR is the sum of the interest rate and other fees you have to pay to borrow the loan. In short, this is the total cost of borrowing money.
  • Term length – This is the period borrowers have to pay back the money. Personal loans have a fixed term, meaning that all monthly installments are the same.
  • Prepayment penalties – some loans will charge borrowers penalties in case they pay back before the agreed-upon term. It is important to check whether a loan has prepayment penalties before applying.
  • Other fees – whether you are taking out short-term or long-term personal loans, you should read the fine print to establish whether the lender charges other fees. These include origination fees and service charges.

Where to Shop for Personal Loans

While a personal loan is rarely a long-term solution, knowing where to shop forthe  loans can help you make the most of the money you borrow. As a general rule, personal loans will attract more interest. We help borrowers to compare terms from different lenders before finding a suitable lender. Work with us to make your personal loan search easy and convenient.

How Much to Borrow

The decision over how much money to borrow is one of the most important considerations borrowers struggle with before applying for long-term personal loans. The loan amount will affect how much you pay in interest, the number of monthly installments, the term of the loan as well as other fees involved. In addition to making this decision, it is important to remember that other factors determine how much one can borrow.

  • Income – just as income is one of the factors that help to determine whether borrowers qualify for a personal loan, it also influences how much you can borrow. Whether you wish to get a personal loan online or apply with traditional lenders, your income and job stability will be important factors to consider. The information will allow the lender to come up with a payment plan that is manageable for your income level.
  • Credit history – most lenders will give you money depending on how much of a risk you are. Since this information is derived from your credit score and history, past borrowing and repayment history will play a crucial role. Borrowers with a good credit history are in a better position to borrow higher loan amounts. However, the lender will advise on the most appropriate loan amount for each borrower.
  • Homeownership status – although most personal loans are unsecured, borrowers can choose to go for secured loans to access larger loan amounts. By securing their loan against their house, Homeowners can borrow a larger amount of money.

The amount is up to you and the lender

In the long run, borrowers will want to access loan amounts that will allow them to meet their financial needs. As a third party that makes it easy for consumers to find lenders, you can count on us for a hassle-free personal loan shopping experience. Whenever you are looking for the best long -term personal installment loan for your needs, we will be ready to help you find the right products.

What to Know Before Applying for a Personal Loan

If used correctly, personal loans can be a great way to advance life goals. However, consumers have to familiarize themselves with the basics of personal loan to make the right decisions. Here are a few things borrowers should know before getting a personal loan.

  • Credit score – the quality of your credit score plays an important role in determining if you qualify for a personal loan. The score helps lenders to decide how much of a risk a borrower is. This means that while a fair to good score will make it easier for you to access the amount you wish to borrow, a poor credit score can prevent a borrower from getting a loan altogether.
  • Income when you borrow is a factor – since most personal loans are unsecured, income matters when it comes to borrowing the loans. Borrowers who earn more are more likely to secure a personal loan from banks and other lenders. Some lenders will not give out loans to borrowers whose income is below a certain amount.
  • Interest rates and fees – some of the most important factors you should be mindful of when applying for a personal loan are interest rates and fees. These two factors will directly affect the loan amount and monthly payments.
  • Know how much you can afford to pay – even when you qualify for a loan, it would be important to do your calculations to determine whether you can afford to pay it back. The personal loan should not be more of a problem than the issue you wanted to handle.

What Should My Income Be?

It is clear that income is one of the important factors that determine your ability to get a personal loan. However, most borrowers ask just how much income they need to get a personal loan. This is because ensuring that you meet the lender’s requirements will go a long way in helping to increase the chances of getting your loan approved.

Generally, there is no set income requirement for any borrower to get a personal loan. While the average income figure is in the region of $ 15,000 to $ 20,000 a year, each lender will have different requirements. At the same time, lenders will also take into consideration other factors besides income. The amount that a borrower wishes to borrow will also be factored in. For borrowers who wish to borrow smaller amounts, lenders may not necessarily require that they earn a certain amount of money in a given period.

Although most personal loans do not require that collateral be put up before the loan can be approved, lenders should remember that taking out a loan comes with a degree of financial commitment. Borrowers will have to pay back the principal and interest at some point. This is why every borrower must carefully take into account their income and timeframe to pay off the loan to establish whether they will be able to service the loan without straining. Such planning before taking out personal loans will ensure that you are not overwhelmed by the process.

The Personal Loan Application Process

Applying for personal loans is a fairly easy process. However, borrowers must invest both time and thought to find the right product for their needs. Here is how borrowers should go about the process.

Compare your options

The fact that terms vary widely from one lender to the other makes it important to compare options before taking out a personal loan. While doing this, borrowers should figure out the type of personal loan they would like to apply for. Some of the factors to consider when comparing options include interest rates, fees, loan terms, and repayment terms. We help borrowers to find reliable lenders for a convenient experience.

Check the eligibility criteria

Once you have identified a suitable lender, you should go ahead to check the eligibility criteria. This will help you to avoid the disappointment and frustration associated with rejections. Checking the basic eligibility criteria will also prevent you from wasting time applying for a loan you do not qualify for. While basic requirements vary by lender, some common points include credit score, income, employment, residence, and age.

Complete the application

Today, most lenders have made it possible for borrowers to get personal loan online. Make sure you provide the correct information when completing the application. You should also submit documents such as your government-issued ID, proof of income, financial documents, and Social Security Number.

Wait for approval and receive your loan funds

After submitting your application, the lender will underwrite the application before providing feedback. Most personal loans go through the pre-approval, and full approval stages before the borrower can receive their loan funds.

Once you get a personal loan online, you should always remember that you have a responsibility to pay back the loan plus the accrued interest. Make sure you choose a repayment plan that you are comfortable with. Once you make the final payment, you should make sure that the lender closes your loan.

Common Reasons Personal Loans are Rejected

While applying for a personal loan is usually easy, the hard part is the approval process. Once a loan application has been rejected, it is natural for borrowers to feel frustrated. This is why it is necessary for borrowers to familiarize themselves with common reasons for personal loan rejection to avoid common mistakes and know how to deal with the rejections.

An error on your credit report

Lenders will reject applications for long-term personal loans when there is an error in the borrower’s credit report. Mostly, lenders will detect and realize these errors early on during the application process. The good news is that you can have genuine errors corrected if you take appropriate measures. If you believe the error was a mistake, you can write to the credit bureau in charge.

You carry too much debt

Even as you shop around for a personal loan, it is important to remember that your income-to-debt ratio will determine whether you qualify for the loan. If you are to avoid the frustration that comes with rejection and save time, you should pay off current debts or maintain them at manageable levels. The amount of debt you carry reflects on your financial discipline, planning, and habits.

Unstable employment

Most lenders will be cautious when lending to borrowers who change jobs frequently. While everyone understands that companies layoff staff and people change jobs from time to time, constantly changing jobs can be considered employment instability. Since this will have a direct impact on your income, lenders will reject applications where borrowers have an unstable employment history.

7 Common Reasons Personal Loans Are Rejected

Insufficient income

The amount of money you make from your income generating activity will determine your ability to repay the money you intend to borrow. Similarly, how much you earn will affect your income-to-debt ratio, an important consideration when approving loans. In addition to avoiding excessive spending habits, borrowers can consider getting a side hustle to boost their income.

Low credit score

Your credit score is an indication of your borrowing habits and financial behavior in the past. A low credit score is a sign that you are a high risk borrower, a factor that could lead to your loan being rejected. To increase the chances of your loan being approved, you should consider improving your credit score. This will require that you pay off your credit card loans and bills in good time.

Many personal loan applications with rejections

In case there are many rejections on previous applications, this could lead to another rejection. Since one of the most common reasons for rejections is poor credit, borrowers should strive to improve their credit score to break this cycle.

Pros and Cons of Personal Loans

It is critical to understand that all personal loans have their benefits and downsides. However, the downsides should not discourage borrowers from taking out the loans, provided they put the money into good use.

Pros

Personal loans can provide borrowers with a great chance to meet their financial goals. Here are some of the advantages of the loans.

  •  A personal loan can help you make a big purchase and break the large expense into smaller payments over time.
  •  Compared to what you would par for a credit card purchase, personal loans have a significantly lower interest rate.
  •  Personal loans can make for a great way to consolidate a number of high-interest credit card debts into one. You can then pay this easily as a single, lower-interest payment.
  • A personal loan can be an opportunity to improve your credit history. By making on-time payments over some time, you will be able to impact your credit score positively.

Cons

For all the positives associated with personal loans, they are not without their disadvantages. Here are some of the cons of personal loans.

  • When not used properly or for the intended purpose, personal loans can increase your debt burden. This could push the borrower into further debt.
  •  If you make late payments or miss payments altogether, this will hurt your credit rating. A poor credit score will make it hard for you to access financing in the future.

In the end, if long-term personal loans make it harder for you to pay your bills, you may want to consider your options. However, finding the best product for your needs by working with us will help you to reduce the chances of finding yourself in such a situation.

When to Get a Personal Loan

Taking out a personal loan can affect your life. This is why borrowers should apply for the loans only when it is absolutely necessary. Below are some situations when you can consider applying for personal loans.

  • When you can pay back promptly – you should take out a personal loan only when you can repay it. Paying all the installments promptly will help to avoid unnecessary stress and headaches.
  • When you need to cover emergency expenses – there are times when you will need to cover some emergency expenses but do not have the money to do this upfront. In such cases, you can take out a personal loan and pay back the borrowed amount over time.
  • When you can use the loan to make money – in case you wish to invest, you can apply for a personal loan to help you take advantage of the opportunity. Once you make money, you will be able to repay the loan comfortably.
  • When you are looking to improve your credit rating – some people use personal loans as an opportunity to improve their credit rating. However, you should be sure that you will not make late payments or miss payments.
  • Long-term personal installment loans have lower installments amounts, making it easier for borrowers to meet their financial obligations. When the regular installments on your loan can lead to financial constraints, you can consider renegotiating the payment term with the lender.

When to Avoid Getting a Personal Loan

Before undertaking personal loan shopping, you should be certain that taking out the loan is necessary. There are a number of alternatives to applying for these loans.

Instead of getting a personal loan for weddings, vacations, or buying a car, you can consider saving up for the expenses. Alternatives, it would help if you can boost your income by looking for a second job or side hustle. You should also avoid taking out personal loans if you ended up over-borrowing. In case you already have numerous debts, you can cut down on your expenses to settle them instead of taking on more debt. Lastly, while these loans can help borrowers to improve their credit score, things do not always work as planned. Renegotiating with lenders and paying off current debts would be a better way to build your credit.

Financial experts recommend that consumers take time to evaluate whether they need long-term personal loans before committing.

What if I Can’t Pay Back a Loan

There are many reasons why borrowers fall back on their payment plans or find themselves unable to pay back their loan. Such a situation can be a source of stress and worry since most lenders will keep sending reminders and warnings at such times.

In case you had forgotten to make the payment, you should try to submit it as soon as you can. However, if you are no longer able to pay back a personal loan, it is natural to be anxious. We recommend that such borrowers take a deep breath and try to calm down. As much as interest on the loan will keep rising, borrowers who are unable to pay can talk to their lender about their financial situation. If you are lucky, you can renegotiate the terms of the loan, changing it to a long-term personal loan that you can repay with more ease.

Personal Loan Fees

One of the benefits of personal loan shopping is that it may help you identify the right loan for your needs. At the same time, you will be able to compare different options, separating lenders based on whether they have additional or hidden charges.

  • Application fee – some lenders will charge an application fee when you take out a personal loan with them. It is important to find lenders who do not charge this fee, since you will end up wasting money if your loan is not approved.
  • Administrative fee – this fee covers the cost of processing paperwork for the loan. You should try to identify lenders who do not charge this fee.
  • Personal loan origination fee – this fee comes out of the loan rather than the borrower’s pocket. It is meant to cover the cost of application and processing, effectively including both the application and administrative fees.
  • Personal loan late payment fee – in the event that you are late on personal loan repayment, you may incur a late payment fee. This fee will vary from lender to lender.
  • Prepayment penalty – there are lenders who will punish you for paying your loan earlier than the agreed-upon time. While shopping for a loan, you should choose lenders who do not charge a prepayment penalty. Once you are familiar with these fees, you will be in a position to make informed choices when taking out personal loans.

Final Words

There is no doubt that, if used properly, personal loans can help you achieve your goals. However, during your personal loan shopping, you should do enough research. We help consumers to not only compare the different options available but also find a reliable lender. Whenever you are looking to get a personal loan online, consider working with us for a great borrowing experience.

Guide To Personal Loans

California Cash For When You Need Money Now

California Cash

There are times when you find yourself in a financial emergency and in need of quick cash. Such times are when you require a cash advance, which is another word for a personal loan. This is a loan you can borrow and pay back in installments over a given period of time. When you need a loan or advance cash and you can get advance cash from a bank but if you have the baggage of bad credit on your back, the bank may not be the best place to seek financial aid.  There are many options when it comes to getting money when you need it; California personal installment loans online are one option many turn to when they need California cash. In other words, they live in California and need money.

Getting A California Cash Loan

In order to find a loan shop online in California, you need to first determine if the lenders you are working with are legit. A legit cash advance is one that is given to you legally, both online and in-store loan applications require the lenders follow the regulations of the specific state to ensure the legality of the service.

Like many cities, getting a loan is very legal and very possible in California. There are regulations that have been put in place to govern all the functions of loan service providers. These regulations have been put in place by the California Deferred Deposit Transaction Law or Department of Business Oversight. These regulations require all loan service providers to have valid licenses in order to be allowed to operate in California. The regulations have also set the maximum amount of cash you can borrow. These regulations also ensure that borrowers who don’t pay their loans cannot be taken to court by the service providers for debt collection.

Finding a certified cash lender in California

Despite how tough your financial status might be, it does not mean that you have to settle for a lender who is not credible. It also does not mean that you should settle and take the first short-term loan or cash advance option presented. Payday loans and other short-term cash advances have not been legalized in every state, so you have to be very carful not to apply for a cash advance in a state where it is illegal. There are specific states where these services are legit, but even in these states, the loan service providers have to abide by a certain code and strict state specific regulations.

In California for instance, these services are legal meaning that you can confidently apply for cash without fear of violating any state regulations. All the lenders are required to comply to these regulations and abide by them, otherwise their license would be revoked. In order to find a legit lender and to know where to get a loan in California, you need to have good knowledge of your state specific laws and have a baseline for finding the deal that best works for you..

Finding a trustworthy lender in California can be very difficult especially because there are very many lenders today. Both online and store lenders have made it difficult for a person to determine the credibility of a lender before going to them for a cash advance because there are so many of them and the information some lenders provide for the terms and conditions of a loan iare vague and untrue sometimes.

It is thus important to find a California lender who is credible and who is trustworthy to keep their word when it comes to following the terms and conditions of the loan agreement in the initial stage of cash loan application.

Before Applying for a California Cash Loan

In order to find a California lender that may work your situation, you need to do a thorough research. Also, it is important to carefully and analytically go through the terms and conditions before signing for any loan or cash advance. The terms of roll overs and late payments are outlined here which is why you need to be extremely careful, ask questions where you don’t understand and if possible compare the terms and rates of different lenders.

Why take a Loan in California?

There are many reasons which make California cash loans stand out from any other types of loans. These reasons are inclusive of the following;

California loans for bad credit: most people fail to qualify to get loans because of bad credit history. Traditional financial lending institutions are reluctant to approve loans for borrowers with bad credits because they pose the risk of defaulting on their payments. Low credit scores work against you when you apply for a loan or a cash advance in a bank. In California however, you can apply cash despite low credit as long as you demonstrate the ability to repay the loan.

Easy application: unlike bank loans, California cash loans online are very easy to apply. Regardless of whether you do an online application or if you visit the cash advance service providers in person, the application process only takes a few minutes. This is very convenient especially if you need cash fast. When applying for a loan in a traditional financial lending institution, it usually takes more of time to process the loan and for approval. This can be problematic especially if you need the cash for an emergency, which is why online lenders are a suitable option in such cases.

California Loan Options

There are a range of options to choose from: when applying for a cash in California, there are many options you can choose from depending on your preference and the urgency. There are a variety of online lenders from whom you can get the cash advance loans as well as different physical locations where you can go to get these services.

Privacy of the borrower: the California cash regulations require that the privacy of the borrower be a top priority for the lender. This means that what and when you borrow a cash advance remains between you and your lender and it is not treated as public information.

California quick cash online: unlike bank loans, California cash loans may not require you to wait for a certain amount of time or days for your loan request approval and passing underwriting. As soon as you sign the loan contract and accept the terms, you are able to access your cash if you visit a physical service provider. For online lenders, the money may transfer to your account as soon as one business day as long as you have provided your personal bank account details.

Charges for cash in California

Every state has state law restrictions that are put in place to safeguard the interests of the borrowers. The California state is no exception. When applying for a loan in California, there are state specific charges that you have to adhere to.

Rollover fees: In California state, the lender can allow an extension or a payment plan. This does not necessarily mean that the lender has the power to charge the borrower any additional fees when repaying the loan.

Collection fees: the most a California advance service provider can charge for insufficient funds is $15. This charges only apply once and you do not have to pay any fees for a late payment.

Finance rates and fees: there is a minimum fee the lender can charge the borrower in California. This charge is normally 15% of the check’s face value fee. The maximum charges vary depending on the term of the cash you are seeking for example for a 14-day loan, the finance charge is around $17.65 for a $100 loan.

Qualifications for applying for a cash in California

In order to qualify for a personal loan in California, there are certain lender requirements that you need to meet. Whether you do an online application or if you visit a store to get the California cash advance, there is a set eligibility criterion that you have to meet;

  • You must be 18 years of age and above which is the legal age that considers you an adult
  • You must have a verifiable and a steady source of income
  • And you must be a citizen of the United States or a permanent resident of America

When applying for a California cash loan, there is certain information that a lender may require to enable processing of your loan request. The state laws require you to provide your name and your contact details, your income details, the contact details and the name of your employer, and your social security number and details. After provision of the above information and if you have met all the requirements listed above then you are considered eligible for a cash advance in the state of California.

You can choose your repayment plan by simply doing a calculation of the amount of money you think you will require in order to determine California personal installment loans repayment date that works best for you to avoid any future inconveniences.

How to apply for cash in California

Applying for a cash in the state of California is not a difficult task and it does not take long. Compared to other cash advances and bank loans, cash advances in California are not hectic to apply and they don’t take up much of your time. All you need to do when to access a loan shop loan is to fill out an online application from your computer of from your smartphone.

It takes only a few minutes to know whether you have been approved for a cash advance or not, which is very convenient especially if you are in an emergency situation. It is important to note that applying for a cash advance does not require you to have an outstanding good credit, so it does not lock out people with bad credit or low credit scores.

 

The only thing you require is your contact information, an operational email address, a source of recurring income and a bank account to check when the funds show as a credit on your account. As long as you make your application on a weekday, you may get your cash within 24 business hours or less.

It is also very easy to keep track of your finances because all the details of your application are in your phone or on your home computer. This makes it very easy to manage finances, to be accountable for your money and to prevent wastage.

When You Should Get a Personal Loan: Smarter Finance

Conclusion

Apply for a Loan in California is a usually very easy and stress-free task. You can apply for a loan to help solve emergencies at home, to pay small bills and to take care of other minor financial expenditures. It does not matter if you have bad credit or a bad credit score, you may qualify for California unsecured personal loans especially from online lenders.

The criteria for these specific California cash loans from online lenders is also a bit relaxed when compared to bank loans and other lenders which makes it both easy and convenient. If you are on a lower income, you may be able to get a cash loan; also, if you are a recipient of government benefits which may be a hindrance when applying for loans. Despite there being less restrictions, the lenders have to stick to the state specific regulations and the state mandated APR. There is also a maximum limit to the amount of cash these lenders can give out.