4 Tips for Choosing the Right Personal Loan

One thing that happens regularly to many people is falling short on finances due to an unexpected event. Perhaps someone gets sick and needs emergency medical funds, or we get into an accident and need to pay a deductible. It’s a perfectly natural response to consider applying for a small personal loan to get over the hump. Smaller sums of money are usually easier to get and its also much faster to apply for them.

There are several options available, depending on how much you need, and when you need it. Here are a few important tips to help you decide.

4 Tips for Choosing the Right Personal Loan

The best type of loan for you and your needs will vary, but one of the best options is a Personal Loan. It can be in the form of a line of credit, installment loan, or a cash advance which allows you to get the money you need right away.

You can receive funds in a matter of minutes or hours, with minimal documentation. These loans can be repaid in a lump sum, or over a period of time depending upon what suits your particular situation.

Interest or Speed

If you qualify, your bank will charge a lower interest rate for small loans, but this will take substantially longer than a private loan company.

When speed is required, there are many online lending companies that offer fast personal loans. Loans that can be financed the same day or within a day or two is very common. Many of these lenders are licensed by your state to provide quick financial assistance when an emergency arises.

It will be up to you to determine which option and lender is best suited for your personal situation.

Repayment

As mentioned before, you will have multiple options for repayment, depending upon the lender and type of loan. Every state has different rules and restrictions which licensed lenders must follow. It would be wise to understand what’s available in your state.

The repayment can be as little as a couple weeks with a payday loan, or it could be several months with an installment or line of credit loan. The important thing to make sure is that the type of loan works for your situation and it allows you to pay it back successfully.

Also keep in mind that all lenders will add penalties if your payments are late, so make sure you can repay the loan according to the terms of the agreement.

Bad Credit

It only takes a couple missteps for your credit rating to be considered low or bad. A few missed credit card payments or a few missed electric bills, and your options become much more limited regarding financial assistance.

If your credit isn’t very good, there are personal lending companies that can get your money for you without a credit check. Many of these lenders will offer payday loans or installment loans at a higher interest rate. As long as your employed and have direct deposit from your employer, they will consider your application.

Time Limits

All too often, emergencies wait for no one. Getting a loan from a bank can take a week or two before you are approved. When you need the cash today, your best bet is an online short-term loan company. A lender that offers fast payday or installment loans.

There are other loans that might also help when that emergency happens, like a pawn or title loan. So, if you have a vehicle or other items of value, you might consider this type of loan as well to cover the unexpected expenses.

Contact Lending Bear today and find out what type of personal loan will best suit your current predicament. There are plenty of options available to you, bad credit is not a problem, and you can have your money as soon as today.