"Give Me 10 Minutes and I'll Show You How To Get A Great Personal Loan"
Are you sick of driving an old car and dealing with never-ending repairs? Do you want to buy a boat and take your family sailing? Or do you just want to renovate a kitchen and enjoy state of the art appliances? Do you desire these but have no money to make it happen? If you’ve answered yes to these questions then a personal loan might be right for you.
Personal loans are perfect if you’re looking to borrow for a longer period of time. They’re better than a credit card for longer term borrowing as their interest rate is typically lower and larger amounts can be borrowed. Unlike a credit card, where at most you can borrow around $25,000 on a platinum credit card, personal loans can be $50,000 and over.
There are 2 types of personal loans to choose from
There are 2 types of personal loans to choose from
• Secured Loan
• Unsecured Loans
Secured personal loans are typically backed by an asset. For example if you’re applying for a personal loan to buy a brand new car, that car can act as a security. If for any reason you are unable to meet your repayments, the lender can still recover the loan by taking ownership of your car and selling in. However, this will only happen in extreme circumstances -- typically the lender will try to avoid this scenario as it’s bad for you and them.
Unsecured loans are where no security is provided for the loan. However, the bank may ask for a guarantor so that it can recover the money. Unsecured loans also require no security to obtain them. So if you have a steady job with income…
As the lender can recover the money, the interest on secured personal loans is significantly lower than on unsecured personal loans. Furthermore, unsecured loans may be limited to $50,000 while secured loans have higher borrowing limit. Generally, most lenders are happy to provide you with as much money as possible providing they are sure you can service the loan and repay the principal.
Because more money can be borrowing with a personal loan, there is also more paperwork involved. However, there are also more options with a personal loan as well. For example you can choose a fixed rate or a variable rate over the term of your loan.
Because more money can be borrowing with a personal loan, there is also more paperwork involved. However, there are also more options with a personal loan as well. For example you can choose a fixed rate or a variable rate over the term of your loan.
The best thing about personal loans is that you can apply for them online – even right now. Alternatively, most lenders will allow you to download the whole application form in PDF format. This allows you to know in advance the application questions so you can determine if you would like to proceed. It can be frustrating to almost finish an application form only to be asked for information which you don’t want to provide (and not proceeding with the application form). If you don’t feel comfortable applying online, you can fill out the PDF form and bring it into a branch. However, the information from the form will be retyped exactly into the same online application form – so it’s probably better if you can apply online in the first place.
Financial websites operate 24 hours a day, so you can apply for a personal loan even if it’s 3am (which is a great time to start your personal loan application). By applying online you save yourself the hassle of standing in a queue during lunchtime. In case you haven’t noticed, queues are always longer during lunch time because everyone else also wants to bank at that time (and bank staff has their lunch). So start your personal loan application online now and spend your lunch break relaxing with your friend or work colleagues.
To qualify for personal loans you would typically need
• Have a good credit rating
• Permanent residence or citizenship
• Permanent residence or citizenship
Personal loans typically require you to have a good credit history and stable income. The lender is aware that will be relaying upon you to repay the money and a history of good credit is a requirement. However, if you have the above and a stable job, they’ll be very keen to you. Unfortunately if you have bad credit, obtaining a personal loan will be more difficult. There are lenders which will lend to those with bad credit history, but the interest rate will be significantly higher.