If you’ve been looking at a range of personal finance options, there’s a high chance you’ve determined that you want a personal loan. If you need money quickly, you’re probably wondering what your chances of getting a fast cash personal loan are. It can be hard to determine which type of lending product is best for those who want fast cash.
Loans have become a popular form of borrowing for those who are trying to get their hands on fast cash. Competition in the personal loan lending market has driven lenders to be better at delivering finance quickly. If you want to get your hands on fast cash, personal loans just might be your best option.
We have written this article to provide our readers with a better understanding of how to get fast cash personal loans. It can be hard to approach this form of finance in the right way – it’s best to have as much knowledge about the subject as possible before you begin the process. Make sure to take in all the information in this guide, you don’t want to be misinformed prior to your application!
Loans: Faster Than Credit Cards
When most people want to get easy access to capital, they turn to credit cards. But if you don’t have a credit card already, you’ll have to apply for one. Credit cards can take over a week to arrive at your home, which means that you won’t be able to use it for around seven days. Some credit card companies are now offering to allow you to pay for expedited services, but this takes up to two or three days as well.
A personal loan is now one of the quickest ways to get money into your account. Many applications are done entirely online, and only take about ten minutes to complete. They also result in you receiving a decision instantly. This is great for people who don’t want to wait around after an application to see if they’ve been approved. On top of this, many lenders can get money into your account within 24 hour of approval. This makes a personal loan one of the quickest ways to obtain cash.
Cash is Key
One of the primary reasons that cash loans are growing in popularity is the fact that you have access to cash. Credit cards have traditionally been one of the most popular forms of borrowing for consumers in the United States, but they don’t give you easy access to cash. Most credit cards require you to pay a large cash advance fee that makes the entire cost of receiving cash super expensive.
For example, many credit card companies will charge you a fixed cash advance fee for withdrawing the money. On top of this, you will most likely pay a higher interest rate as well if you want to withdraw money. Withdrawing the money itself isn’t easy either, you’ll have to call up your lender and ask them to sort you out with a temporary pin number.
Types of Fast Cash Loans
If you’re looking to get a personal loan quickly, there are a few different options you have. It’s important to consider all your options so you know which one is best suited to you and your situation. We have outlined the three major options you have for receiving a fast cash loan.
Online Personal Loans
The most common way that people receive personal loans is through online lenders. Online lenders have grown in popularity in recent years because they make the entire process much simpler. You can head to one of their websites and fill in an online application. A decision will be made instantly, which means that you don’t have to worry about waiting to find out if you’ve been approved. Most of these lenders also use electronic transfers to get you the money you need quickly.
The great thing about online lenders is that there is such a wide variety of them. There have been so many new entrants to the market that have made it extremely easy to find a lender that is perfect for you. It doesn’t matter what your credit score is, there’s sure to be a lender that can cater to you.
Peer to Peer Loans
Peer to peer lending is an industry that has emerged quite recently. Online platforms will match lenders with borrowers to provide a mutually beneficial exchange of capital. Instead of traditional lenders, these people are simply other consumers that are providing money with the hope of making a return – they are referred to as investors.
If you are borrowing through a peer to peer lending platform, you often don’t have to have a credit check or provide many details. It is an extremely quick process that is meant to facilitate a fast cash loan. Because the risk is quite high for the investors, interest rates on these loans tend to be higher than with traditional personal loans. Keep this in mind if you are trying to save some money. Also, while many peer to peer loans are not secured, they will still impact your credit score if you do not make your payments on time.
Micro loans are another form of loan that can get you quick access to cash. This is more of a niche lending product that is provided by a few different lenders. Micro loans are simply small personal loans that have short terms and are typically unsecured. Most of these loans will be under $3,000. Because of how small they are, the process can be extremely quick. Talk to your prospective lenders about whether or not they provide micro loans and how quickly they may be able to get you one.
Avoid Traditional Lenders
We try and tell our readers to avoid traditional lenders if they’re truly looking for fast cash. While working with traditional lenders has a range of different benefits, it can be hard to get the money you need quickly. Traditional lenders are much more risk averse, which means that their application process takes a bit more time. They also tend to be less technologically advanced than some online lenders. If you are going to work with a traditional lender, make sure that they have a streamlined online application portal – if not, the process will most likely take too long.
Traditional lenders tend to want extensive documentation. They often take extremely long to review your application. You may not have money in your account until a couple of weeks after your application. The major upside of these lenders is that their interest rates are often lower, but this benefit might not be worth the cost if you need money quickly!
Payday and Title Loans Create Debt Traps
One of the biggest problems we see when it comes to getting fast cash loans is people opting to use payday loans. Payday loans seem like an easy solution because you can obtain one even if you have horrible credit. This is because payday lenders don’t require you to show your credit score. Instead, the loan is linked to the value of your next pay check. They will charge you extremely high fees to take out this form of loan.
But the real problems arise when you don’t pay the loan back in full after the first payment date. Many payday lenders will then make you pay over 1,000% interest on the remaining balance of the loan. This means that you can end up getting in a large debt trap that is inescapable. These lenders should be avoided at all costs.
The same goes for title loans. Title loans are guaranteed against the title of your car. While you can use your car as collateral for many personal loans, title loan companies charge extortionate interest. It can end up costing you more money than your car is worth just to pay the interest that you have on the debt. Again, this form of lender should also be avoided at all costs.
Tips and Tricks
So, if you have decided that you want to get a fast cash loan, it’s time to make sure that you’re ready for your application. The best way to ensure that you get approved for a loan is to be as prepared as possible. That’s why we’ve created this section of tips and tricks to help you make sure that you’re ready for the application process! Check out our suggestions below:
Check Your Credit Score
This should be the first step when you decide to try and apply for fast cash loans. You should always make sure to check your credit score prior to any financial applications that you make. You need to be aware of what your score is and if there are any mistakes on your credit report. Make sure to request that any mistakes are removed by the reporting body.
Remember, each of the three major credit reporting bodies in the United States are required to give you one free score per year. You don’t need to pay to check your credit report.
Check Lender Requirements
There’s no point applying for a loan that you’ll never get. That’s why it’s important to check lender requirements before you apply for a loan. If you end up getting rejected, it will be recorded on your credit report and lower your score. This will reduce your chances of getting approved for finance in the future. Most lenders will advertise the credit score ranges that they typically accept on their website. If it’s not advertised, call them and ask for a range of scores.
If you still can’t find out a lender’s score range, you might not want to use them. But if you’re set on using a specific lender, head to some lending forums online and check what scores people have been approved with. Many borrowers will post what scores they were approved with online.
Pay Down Credit Card Debt
If you can afford to, pay down your credit card debt as much as possible. This will improve your score and allow you to have a better chance of being approved. This is the best way to impact your score quickly. The amount of credit card debt you have plays a significant role in the score that you’re awarded. Your credit card balances will be updated monthly.
Prepare Your Information
It’s important to have all your information ready to go for when you apply for your loan. You don’t want to end up having to start your application over again. Get your income information, addresses, personal details, and Social Security Number. Because you will be handing over very valuable personal information, it’s important to know they have good security measures.
Check Out Your Prospective Lender
Head online to consumer watchdog sites and check out your prospective lender. You don’t want to work with someone that has a bad reputation. Consumer Affairs is a great starting point – they have a platform for past clients to review companies they’ve worked with. You don’t want to work with a company that is accused of wronging their customers.
The key to getting fast cash loans is knowing how to approach the process. Hopefully after reading this guide you have a better understanding of how you can obtain a fast cash loan as easily as possible. If you need money quickly, personal loans can definitely be one of the best options for you. In addition, many lenders provide very affordable interest rates.
Make sure to shop around before you apply for a loan. We’ve provided our readers with a list of our favorite lenders, we want you to be able to take some pain out of the research process. Check out our suggestions on our homepage.
Remember, never jump into a lending agreement with a company that you haven’t researched. You should be ensuring you’re making an educated decision with as much information as possible!