Applying for loans has changed significantly in the last 15 years. Gone are the days of walking into the bank branch and sitting down with an account manager to discuss setting up a personal loan. You can now apply for loans from a variety of sources, including banks, online.
The online loan process for quick loan companies boasts decisions within minutes and cash, often, in your account on the same day. The loan processes have been streamlined for online applications, with lenders knowing that new customers would be put off by a long application process.
There are some very well-known quick loan lenders. However, customers are still unaware of the basics of quick loans. We have detailed some of the basic details you need to know if you are considering using a quick loan company.
Where to Start
When you are considering taking out a personal loan, you can choose to take out a traditional personal loan or a quick loan. A traditional loan will be one you take out with a bank, either in a branch or online. Usually, this will be for a longer period, beginning at 12 months.
Alternatively, you can use a quick loan company that will have a shorter term, usually starting at 3 months. Short-term loans will have a considerably higher interest rate, so you should take this into consideration before applying for anything.
It is worth using a repayment calculator on the website of every company you are considering to ensure that the repayments are affordable. Short-term loans can look like the interest rate is more than it actually is, especially if your loan is taken over in less than one year.
Which Company to Choose
You should always choose a company that is registered with the governing financial body of the country you live in. This will ensure that they are a reputable lender. It is then your decision to choose which company you will use.
To do this, we would advise you to take into account a number of factors:
- The interest rate – choosing the company with the lower interest rate will save you money overall.
- Customer reviews – checking reviews before you choose the company will give you information about what the customer service is for the lender, as well as reliability information.
- Repayment amount – again, this will be making the loan more affordable for you.
- Lender name – You can choose the lender based on if it is a company you have heard of or know people who have used them previously. A company like Quickquid is well known among customers. However, you could use a search site such as My Quick Loan, which compiles a list of short-term loan providers for you.
We would recommend that you do your research before taking out a short-term loan and always check affordability before making a commitment. Using a comparison company is a very easy way to see the different options available to you. Always ensure that you make your repayments on time to avoid additional charges.
