Cash for all Purposes

Personal LoansEvery consumer reaches a point in his or her life in which personal loans could be beneficial. When the bills are late, this type of advance can help to get back into the financial flow. When savings are down, a personal loan can help build the cushion that helps the family to save for the finer things in life. A consumer can also use this type of loan for purchasing a home or vehicle. It is not unheard of to use personal loans for vacations as well. Lenders are available to approve hard working individuals for cash advances they can use in a wide variety of ways.

Short Term vs. Long Term

There are two broad categories of personal loans: short-term and long-term. Short- term loans can last from a minimum of 14 days to approximately 45 days. Long term loans go beyond 45 days and usually stretch out for years. A consumer can usually gain approval for a short-term loan in a brief amount of time. Sometimes lenders will disburse funds the same day the consumer makes the request. The disadvantage of short-term loans is that they often come with extremely high annual percentage rates and finance charges.

Some examples of short-term loans are payday loans and title loans. Payday loans are small advances against the borrower’s pay check. Title loans are larger advances that match the value of the person’s car. The debtor must allow the lender to sign a lien for a title loan, but not a payday loan. The term for a typical payday loan is 14 days while lenders expect title loans to be repaid within 30 days.

Long-term loans are better for the customer who wants to take his or her time making payments. Having the time to pay back small amounts spread over a few years alleviates stress. Short-term borrowers are usually looking for a quick fix to a financial emergency while long-term borrowers are usually requesting the advance for something huge such as a home or an automobile.

An individual can obtain a long-term loan from his or her local bank or a professional lender. Most long-term loans require at least average credit, a stable job, and a bank account free of insufficient funds transactions and overdraft charges. To apply for a short-term or long- term loan, the applicant will need to call, visit in person, or complete an online form to begin the process.

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