Tag Archives: payday loan
Types of Unsecured Personal Loans (Page 1 of 2)
Even consumers who practice careful spending habits can sometimes find themselves in financial trouble. Unexpected expenses such as car repair bills or medical costs can strain your budget and leave you wondering how you will make ends meet. Fortunately, there are several types of a secured personal loans in the UK that can help you through difficult financial times. It is important to consider these loans carefully to ensure that you are choosing the right type of loan for you.
Payday Loans
A payday loan is a short term loan that can help you through a financial emergency. The process of qualifying for this type of loan is relatively simple and typically requires little documentation. For this reason, you might be able to obtain approval or a payday loan and receive the funds you need in as few as one or two days. In some cases, you can even obtain a payday loan without a credit check or income verification.
Before opting for a payday loan, you should consider the drawbacks of this option. In most cases, you will have to repay the loan amount, plus interest, within one or two weeks after you receive the funds. Although this might be appropriate for a financial emergency, a payday loan might not help you if you anticipate that your financial needs will last for a longer amount of time. Also, compared to other types of unsecured personal loans, payday loans typically come with high interest rates. You might have to pay 25% interest or higher in addition to the principle amount for the privilege of borrowing money for just a week or two.
Personal Bank Loans
A personal bank loan is issued by a bank or other financial institution instead of by a payday lender. This type of loan is generally designed for longer-term financial needs – depending on your circumstances, you might be able to borrow the funds for five years or longer. This might be an appropriate option if you want to consolidate existing debts or anticipate that your recurring extra expenses will last longer than a few weeks.
Banks and financial institutions require substantially more documentation than payday lenders when evaluating applicants. You will likely need to provide verification of your income and expenses, as well as documentation of your personal assets and other debts you owe. You will also have to fill out a lengthy application and may have to meet with a personal lender in order to receive approval for your loan.
Compared to payday loans, interest rates for personal bank loans are typically low. This option can help you obtain the long-term funds you need without costing you a small fortune in interest charges. Of course, this type of unsecured loan typically requires a thorough review of your credit history. The interest rate you obtain a for a personal bank loan can vary significantly depending on the length of your credit history and whether you have made your other account payments on time.
Unsecured Credit Cards
How to Get Payday Loans
A payday loan is a great solution for many that find themselves in a tight spot in between paydays. This will most generally happen if you have a bill due on a date that falls shy of your payday and you are in need of quick money fast. There are a variety of different ways that you can obtain a payday loan and we look at a few in this article.
1)Online Payday Loans
2)In Store Payday Loans
3)Signature Loans
1.Online Payday loans:
Obtaining a loan through an online site is just the same as visiting a regular payday loan company in real life. These sites are designed to offer you short term solutions to your money emergency problems. You will however, need to be able to provide proof of your income as well as your checking account information. Also you will find that there are a lot of lenders that are out there that will require you to make at least $1,000 a month. However, this can be in a variety of different forms of include such as child support and public assistance. Most generally the amount that you may borrow will vary from $100-1,500 depending on your circumstances as well as income.
How to apply?
To apply for these loans all you need to do is find a site that will work for you and fill out the simple and easy forms. Once you have done this and your loan is approved the money will then be wired to your bank account.
2. In Store Payday Loans:
These types of loans work in the same way as an online payday loan does but, there are a few major differences. One of the main ones of these being that you will be able to talk to a real live person if you have any questions or concerns. Most generally you will find these places located in low income to middle class neighborhoods. They are a great solution to a financial emergency if, they are used with caution.
You will need to bring your income verification and a recent bank statement when you go and apply. There are also some places that will ask for proof of residence as well. Once you have this information you will simply need to fill out a simple application and they will tell you if you are approved or not. Simple and easy.
3.Signature Loans:
The final option that is available to many is the signature loan. These work in much the same way as a online loan and is often classified under that category. However, the amount of time that you have to repay will be longer than a ordinary loan. You will also be able to use these types of loans for just about any type of purpose.