Personal Loans, Benefits and Basics

As you probably know, there are nearly as many loan programs out there as there are people to apply for them; and odds are good that you are now or will soon be in the market for one of them. Your decision on which type of loan is right for you will generally be based on several factors: which type helps you to accomplish your financial goals, which type is least costly on your end, and which type you will be able to qualify for. The type of loan I am going to address here is the personal loan.

Secured Vs. Unsecured

While personal loans are not necessarily popular with banks (because of the relatively small size of the loans, they do not tend to make the bank a lot of money), they are definitely popular with customers. The American Bankers Association (or ABA) estimates that personal loans make up nearly a quarter of non-mortgage installment loans. That is a pretty large chunk!

Secured loans require some form of collateral, such as a house or a car, to protect the lender’s investment. Unsecured loans are exactly as they sound – unsecured. One reason for the popularity of the unsecured personal loan is that it is a lot less risky to the consumer; your personal property will not be on the line if you are unable to repay it. Bear in mind, however, that you will be paying a higher interest rate than you would with a secured loan.

A Versatile Funding Source

There are many reasons that consumers find these loans so appealing – they have fewer restrictions than a lot of other loan types, so you can use them for anything you would like (as long as it is legal, of course!).

This makes personal loans ideal for events such as weddings, vacations, dental work, etc. A personal loan may also be a good option if you are looking to round out student loans that do not quite cover all of your expenses. Many consumers find them to be a good alternative to credit cards, as well. With credit cards, you may be tempted to pay only the minimums, and can get caught in a downward spiral of debt. With a personal loan, the terms are clear, and you know that once it is paid off, you are done.

Do Your Homework

In addition to being responsible for the repayment of your loan, you need to be responsible to yourself by making sure that you are going through a reputable lender. It can seem like a lot of work to carefully research potential lenders, but a little bit of work now can save you a lot of trouble in the long run.

Many loan officers receive commission based on the loan amount, so be a disciplined borrower, and only take what you can afford to pay back. Carefully read all of the fine print to make sure that you fully understand the specifics, borrow only what you need, and remember – if you take care to borrow wisely and repay on time – you will find that personal loans can be a valuable tool to build a strong credit rating: the cornerstone of a strong financial future.

Easily Get a $10,000 Personal Loan, Even With Bad Credit

Getting a personal loan these days isn’t easy and especially for those with bad credit, the prospect of finding a lender willing to give upwards of $10,000 can seem nearly impossible. However, finding a personal loan is not as difficult as it may seem even if the borrower has bad credit. The following five options provide an alternative to a traditional bank when looking for a bad credit personal loan.

Get a $10,000 Personal Loan from a Licensed Lender

There are many lenders out there who actually focus their work on helping get people bad credit loans. These people advertise their services in newspapers, phonebooks and often the internet. This loan will require a basic background check, however. Also, note that unlike traditional banks or credit unions, bad credit lenders generally charge a very high interest rate due to the risk involved in working with so many clients with bad credit. However, if you have no other choice, the high interest is worth it.

Get a $10,000 Personal Loan from a Cash Advance or Payday Lender

Another option for finding this kind of loan comes through a cash advance or payday lender. Again, using this method will require a background check which will generally include a social security number, employment information, bank account numbers and address. It will also carry a very high interest rate. One benefit of using these methods, however, is a quick turnaround. Often these loans are made within a day or two.

Get a $10,000 Personal Loan from Your House

Owning a home is one of the greatest investments that anyone can make because it increases one’s borrowing ability. Even if you have bad credit, you can work out a personal loan by using your home’s equity if you offer up the house as collateral. This is a very popular form of lending and many banks and other institutions will be competing to offer a $10,000 personal loan through your home’s equity.

Get a $10,000 Personal Loan from Your Job

Another really good (and underused) option for securing a $10,000 bad credit loan comes by way of your employer or employee credit union. By tapping your boss as a source, you bypass the need for employment or credit check and often will be able to arrange a payment plan that deducts a certain amount out of every paycheck. Employee credit unions operate in much the same manner. You can still arrange for your loan payments to come straight from your check and your interest rates may be lower by virtue of your job. Also, because these bad credit loans are secured through your job, they are more likely to go through.

Get a $10,000 Personal Loan from your Family or Friends

Sometimes the most obvious sources for money are literally staring you in the face. Getting a loan from a friend or relative means you won’t need a credit check, proof of employment, sometimes there is no interest, and generally a lot less hassle. Friends and family are far more apt to consider the circumstances under which the loan is being taken and will generally listen and work through the problem with you. If you are able to secure a loan from someone close to you, be certain to arrange a way to pay them back. It is a good idea to pay even a small interest fee as well.

Achieving a $10,000 Personal Loan with Bad Credit

If your reasons for seeking this loan are genuine, there is a way to find $10,000 loan with bad credit and there are many avenues through which to achieve it. Also, you must remember that this is serious and that any money you borrow needs to be paid back and often at a very high interest rate. Ultimately, however, anyone can find a personal loan for $10,000 even with bad credit.

Personal Loan: Your Easy And Quick Answer to Financial Trouble

Personal loans are usually unsecured loans, i.e. they do not require collateral and rely on your credit and income for approval. Having a good credit history makes it easier to get a personal loan, which may be approved within 3-4 days. There are options if you have poor credit, but they will cost you more.Regardless of credit, lenders are usually available who will give you funds quickly. Read on to know more.

Where can you get Fast Personal Loans?

  • Banks: If you have a great credit history, banks and credit unions should be the first place you should consult. Credit unions may also grant credit to long term customers with a weaker credit score, depending on income and financial history. Funding normally takes 1-3 days.
  • Finance Companies: Finance companies are generally quick to approve funding. With a good credit, you can apply for relatively larger loans to companies like CitiFinancial. With a low credit score you should look for local companies that typically lend smaller amounts without collateral. Finance companies set the loans in such a way that has a specific duration, say some months, to pay it back with fixed payments. These companies usually lend on the same day, although a few might take up to 2-3 days.

Other similar loans you should keep track of: If fast cash is your requirement, you should also check out these following loan services.

  • Installment Loans: These are available to everyone including those with poor credit. The catch is that these loans may come with high interest rates which can be as high as 95-100% of the total principal, depending on your credit score. Once you are done with the documentation, funding generally happens overnight. Cashcall, Thinkcash are a few companies which provide installment loans with fixed payments and interest rates.
  • Payday Loans: They are convenient and easy to obtain. You are lent money without any collateral and also without a credit check. Borrow 200$ and you would write them a check for your next payday for 200$ plus the interest- 250$ for example. Interest rates can be painfully high, as high as 800% annually. Payday loans should be reserved for emergencies, and you should never borrow more than you can afford to pay on your next salary. Apply in person and you can have your funds on the same day. Online loans are delivered overnight.
  • Title Loans: Title loans use your vehicle as the collateral. The company holds a lien but you keep driving the car. Once the loan is paid off, the lien is called off and the company returns the title of your car. Title loans have high interest rates and are generally written for a period of 30 days at a time. You can renew the title loan at the cost of the interest each month, and you will still owe the principal and full interest when you pay off the loan. Title loans, like payday loans, should be kept for emergencies and if taken should be paid off as soon as possible. The loan is granted on the same day of application.

These are a few ways of getting small personal loans. As with any financial transaction, it is wise to be cautious. A financial advisor in these matters is invaluable. Be thorough in your research and you should not have any trouble finding fast personal loans to solve your money problems.