Applying for Personal Loans: What Are Your Options?

The cost of living in many developed countries is quite high and lot of people live from paycheck to paycheck. Every now and then, many of us are faced with financial hardships especially if an emergency arises and we have no extra money to pay for unexpected expenses.

While many people would resort to borrowing money from their family and friends, sometimes, this is not an option. Perhaps they are hesitant to do so or their loved ones simply don’t have any money to spare.

If you’re strapped for cash until your next payday, you can approach a money lender for help. There are many financial institutions in the country that can help you. But the thing is, not all of them are able to.

For one, they will consider your credit history. Have you been paying your bills and loans on time? Do you have any outstanding loan? Are you prompt in paying your credit card bills?

The answers to these questions will determine whether a lender will be able to help you with your short term financial problem. But if you don’t have a very good credit score, don’t worry, it’s not yet the end of the world.

You see, there are personal loans offered by lenders that specialize in helping borrowers with low credit scores. In fact, you can apply for these loans online. For the most part, the lender will only require you to furnish them a proof of your employment, proof of identification and residency, and your checking account information. Once you’re approved, your money will be deposited to your bank account in as quickly as a day or two.

Keep in mind however that lenders usually charge high interest rates for bad credit loans due to the fact that it is a high risk loan. After all, when they approve the loan, there is always the possibility that the borrower will default on his loan payments.

The best thing you can do is to take a little bit of time to do some research. If you search for loans available online, you will be given plenty of options in the search results. Take some time to compare their offers, rates and terms. That way, you can find a money lender that offers the lowest interest rates. You should also see to it that the lender is a registered business, and not some fly by night operator who’s out to steal your personal information.

Generally speaking, if you’re strapped for cash and need money urgently, you can find the solution from lenders offering personal loans. But practice diligence and use your common sense to ensure that you are getting the best deal. Finally, don’t make borrowing a habit. Get a personal loan only if absolutely necessary and pay it off as quickly as possible.

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Payday Lender SWOT Analysis

In this article, we will discuss the development of a SWOT analysis, its development, and how it can be used to acquire financing from a bank or investor. Payday Lenders generally are able to remain profitable and cash flow positive in any economic climate due to the fact that they are able to render a lending and loan service that is in constant demand among the general public. One of the best aspects of this business is that they are able to generate highly gross margins from their lending services. A well written SWOT analysis will feature a strengths section, a weaknesses section, and opportunities discussion, and a threats discussion.

Most importantly and first, you are going to want to focus heavily on the strengths that are associated with your Payday Lender. Foremost, you should again reiterate the high gross margins generated from your Payday Lender capital lending services while also showcasing the generally low costs associated with operating this type of business. Another important mention should be the relatively low cost overhead associated with operating this type of business as they are typically located in high trafficked areas among low income people.

Also within the strengths section of the SWOT analysis, you should focus on your abilities to operate this business on a day to day basis, your experience as an entrepreneur, and how you intend to bring the operations of your Payday Lender to profitability very quickly through its lending operations.

The next section of the SWOT analysis focuses significantly on the weaknesses that are associated with this type of business. Foremost, you should heavily discuss the fact that there are many other types of businesses that operate in a similar capacity to your Payday Lender. You may also want to discuss the relatively high start up costs that are associated with an Payday Lender. Also, you are going to want to discuss the default rates that are associated with operating this business on a regular basis. Here, you should also focus on how you intend to mitigate losses as it pertains to payday lending.

Next, you are going to want to focus significantly on the opportunities that your business will have to expand during its first five years of operation. This may include developing new locations, hiring additional personnel, and engaging in a broad based marketing campaign that will ensure that your Payday Lender business is able to rapidly expand and repay its debts on a timely basis. You may also want to discuss how you intend to obtain additional capital in order to expand your lending operations.

Finally, you are going to want to effectively showcase to your SBA loan banker or investor the threats that will be faced by your Payday Lender. We strongly recommend that you emphasize a number of these issues as it will be to the benefit of your investor or banker to see how you intend to mitigate these risks as time progresses.

As always, we strong recommend that you work closely with a number of professionals including CPAs, attorneys, SBA loan consultants, conventional loan consultants, and other professionals that will ensure that you have produced a SWOT analysis and business plan that is appropriate for both a bank and a potential investor. It is imperative that you have a clear understanding of the complex nature of raising capital for your venture and by having a number of professionals in place – you will be in an outstanding position to receive the capital you need in order to start your Payday Lender.

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How to Overcome Financial Embarrassment

There’s no such thing as pride when you have to pay the rent.

That’s the first thing I learned when I moved out on my own. This fact became painfully amplified when I started supporting my family.

You start out having a safety net to fall back on that includes your parents, friends, or extended family. Then that drops back to banks and credit cards. Then your last line of defense, payday loans, and pawn shops. If you have ever gone into a pawn shop or payday loan lender, there tends to be a feeling of embarrassment or failure that goes along with it.

“How did I end up here?”

“Why did this happen to me?”

“Why does it cost $500 or more to fix anything that goes wrong with my car?”

Sound familiar? Well I’m here to tell you, THIS IS LIFE. Expect that bad things are going to happen, and trust me, no one is immune. At some point in everyone’s life, things suck. You have 2 choices: look at it like a challenge to overcome or throw in the towel. I’ve never been much of a towel throwing in type of guy, so here are some tips.

Leave embarrassment at the door

What you look like in front of other people doesn’t matter. Let me repeat that, What you look like in front of other people doesn’t matter!

Your neighbors, your family, your friends, your kids teachers, the postman, I really don’t care who it is. These people aren’t paying your bills or supporting your family, YOU ARE!

If you aren’t prepared to sacrifice a little dignity and pride, you picked the wrong planet to live on. Every situation I’ve ever gone into, I’ve repeated these words over and over in my head, “The worst they can do is say no”. Seriously, that’s the worst they can do. If they say no, just say “Thanks”, and walk back out the door. No one has ever been arrested for asking a question.

Be Nice

This is such a simple thing, but you would be amazed at how many people can’t do it. Something you have to remember, everybody likes dealing with someone who is understanding, patient, and polite. The people behind the counter are human beings, just like you. They have their own lives and getting frustrated with them won’t solve any of your problems. In general, I’ve found that the nicer I am, and the easier I make it on them, the more they bend over backwards to accommodate me. Extra days to pay, staying open 5 minutes later because I was running late, all because I was nice. It always seemed strange to me to argue with someone who is loaning me money.

Always return phone calls

This kind of goes along with being nice. If you are past due on something, not talking to your lender just makes things worse. In my experience, they are always willing to work something out with you. When they never hear from you is when they start taking drastic action. I worked in car collections when start out my career. It would never fail. I would call a person for 2 months straight and never speak to them. Guess what happened after their car got repossessed? They couldn’t call me fast enough. Avoiding the problem only made it worse. If they would have called and worked out arrangements, they would have probably still been driving their car. Contrary to what some people think, car lenders DON’T WANT YOUR CAR! The average loss on a repossession is $5000.00. They would much rather you keep driving and paying for your car.

Hopefully these tips will help you get mentally prepared to tackle whatever comes your way financially. I’ve found that internal strength beats external strength everyday of the week.

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Benefits of A Cash Loan

Loans are required at some point of time in a person’s life. Many milestone events in themselves or unexpected events require immediate funds which may not be available at hand. This is where a loan comes into the picture as a relief.

Loans are usually required either for personal or business requirements. People take loans for the following reasons:

· Debt repayment,

· Down payment for a home

· Auto loan

· Business loan

· Personal Loan

· Paying income tax

· Paying credit card bills

· Investment schemes

Many companies are intermediaries between the loan providers and the loan takers. These loan agencies find the perfect match of lender and taker, after considering what the requirements are and which party is willing to lend that particular amount. There is a cap on the amount they can raise, usually 50,000 to 200,000 dollars.

The benefits of these companies are that they are not as strict as banks in studying the credit worthiness of their clients. In fact, they openly advertise inviting people with bad credit, no credit, even bankrupt people to avail of their loans.

They have access to financial institutions, private loan lenders and even banks who are willing to lend.

Credit Score

Is a numerical expression based on a balanced analysis of a person’s credit record, representing the credit worthiness of the person. Lenders like banks and credit card companies evaluate the potential risk exhibited by these persons when they apply for loans by studying their credit scores. In the present context, the loan agencies are hardly concerned about the credit score of their clients.

Criteria for giving loans

Customers have to fulfil the following criteria

· Be at least 18 years of age

· Provide proof of citizenship, such as social Insurance Number

· Have a bank account in your name

· Provide work and home telephone numbers

· Provide a valid email address

Benefits of Cash Loans

· Lower rates of interest than payday loans

· The credit score is not an issue

· Ease of getting loans

· Payment plan can range from 6 to 60 months

· Borrowers are given a choice of lenders, whose credentials they can go through and choose which one suits them the most. Some of them are almost like loan search engines.

· Ease of applying and finding a lender on the same day

· Poor credit loans are also available (these are loans at very low interest rates for those who do not have a good credit history)

Special relevance of cash loans

These are very useful for paying off credit card debts. Banks refuse loans on seeing the outstanding credit, and the credit card company continues charging high interest. A good way to pay it off would be with this cash loan where the rate of interest is much less than what the credit card charges, and the credit worthiness of the person is not an issue.

This is one sort of institution or agency that clearly is on the side of the borrower, and finds lenders who are willing to understand their circumstances just like they do.

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Affordable Rates Are Available for Unsecured Personal Loans

Traditional lenders shy away from the risks involved with lending money to people with bad credit. They are willing to lend if the applicant is willing to pay interest rates over and above what is offered elsewhere in the lending market.

Negotiations are still part of the lending industry. The financial crisis did not eliminate this key factor in any way at all. Affordability is the key to obtaining a large unsecured personal loan.

A lender lends money to people that they believe are going to pay them back. That is the basis of lending. If you want to get approved for a large unsecured personal loan you need to provide the assurance to the lender that you will make the repayments on time.

Approval is Possible

If you read the financial press you will see that loan approvals are hard to get. Large loan approvals are at a premium. Yet it is possible to borrow $20,000 in an unsecured loan. Unsecured lending means that the lender only has your word to go on that they will be repaid.

Secured loans have collateral attached. This supplies the compensation needed to repay the loan. Collateral consists of either an asset or a person. When the collateral is a person, that person is called a cosigner.

The collateral or loan security must match the loan amount. This security also helps procure the best interest rates since the risk of repayment is low.

It is important to remember that a lender can have this same assurance of repayment without putting up any security. This is possible by replacing the collateral with proven income.

By showing to the lender that you have a source of income that is steady over a period of at least six months, you are showing that your future income will be sufficient security to repay the loan.

Income alone is not enough. You could be making more money than anyone else in the world but if you have to spend all of it each month to meet your obligations, it does you no good. This is where the debt-to-income ratio comes in. This ratio shows that there is enough money left over after you pay your other bills to also make your loan payments.

Repayment Terms

Structuring your repayment terms so that you have a low monthly repayment sum makes it more likely you will be approved for unsecured personal loans up to $20,000. By extending the life of the loan you can spread the principal over more months and so lower the monthly repayment amounts.

As an example, if you borrowed $20,000 with a five year payback period, you would be paying $333 each month for 60 months, assuming no interest. If you double the life of the payback to 120 months, you would be only paying $167 each month.

The great thing that accompanies longer repayment periods is that lenders do not need to charge as high of an interest rate. They can make their profit over a longer period of time with a lower rate and end up making more.

Do not assume that what used to work with loan applications will still work today. Think outside the box. Be willing to compromise on the terms of the loan and you will be better off financially.

Your Credit Score

Improve your chances of approval by taking some time to raise your credit score. Take out smaller loans, even if they are payday loans. Use these loans to pay off other debt and then repay the payday loan quickly.

This method will raise your credit score quickly after applying it five or 6 times. But never let the payday loan run longer than 30 days before you repay it. These loans often will charge you 30 percent for the 30 days.

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Calculating Payday Loan Interest Using the APR: A 700 Club With No Members

Over the last few years a controversy has been brewing in some states over the rates charged for payday loans. Critics have alleged that lenders have charged up to 700% for a loan.

Reasonable regulation that prohibits exorbitant interest rates is worthy of support. But it should be pointed out that all this begs the question: Did payday lenders ever actually charge 700% for a loan?

You might be surprised to learn that the answer is no, they didn’t. The fact of the matter is not a single customer who took out a loan from a reputable lender ever actually paid 700% in interest for their loan.

So how can proponents of capping interest rates on loans claim they did? That’s an interesting question and one that sheds some light on how interest rates have been presented.

First some background on payday loans. A payday loan is a short-term, small dollar loan. Borrowers take out the loan and agree to pay it back on their next payday, usually in 14 days. They also have to pay a flat fee for use of the loan. Those fees can vary between lenders but a typical cost for a $100 loan in many states is $15.

You’ll see that if borrowers pay $15 for a $100 payday loan they are in effect paying only 15% in interest. That amounts to a perfectly reasonable rate. So how did critics of payday lending arrive at the astronomical rate they cite?

To get there they have to apply the annual percentage rate, or APR, to the loan, which produces a much different rate than what the customer actually paid.

You’re probably familiar with the APR as a measure of interest paid on a loan. Credit card companies use it and you’ve also seen it printed on advertising for new cars. It’s a perfectly legitimate and helpful way to calculate interest on a long-term loan. That’s because it measures the amount of interest someone pays on a loan over the course of a year.

But when the APR is applied to a short-term loan, like a payday loan, it presents a distorted picture of the interest a borrower is really paying.

The APR is calculated by multiplying the installment total by the number of payment periods in a year. So to get the APR for a payday loan of $100 loan we multiply 15 (the fee) times 26 (the number of two-week periods in a year), giving us an interest rate of 390%.

Now, that’s a pretty high number, much more impressive than saying you’re paying $15 for a $100 loan.

But the real problem with using the APR in terms of temporary loans is no one ever keeps a payday loan out for a whole year. Lending industry best practices and state regulations simply don’t permit it to happen.

The number of times a borrowers can extend payday loans is heavily regulated in all states. Some states won’t allow a loan to be extended even one time. And in states that do permit extensions, the number of times it can be done is limited.

This is why using figures like the 700% number don’t give an accurate picture of the conditions that prevail in the payday lending industry and such tactics don’t serve to encourage constructive debate on how to extend credit to underserved communities.

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Make Money Fast By Working Online

In this economy, many people are living paycheck to paycheck. When an expense comes before the paycheck does, though, today’s families often find themselves in difficult circumstances. Because they need to pay all of their bills or suffer negative actions like poor credit ratings and foreclosure, individuals who are stuck in this situation often try to make money fast by selling items that they own at a much lower price than they are worth, taking out expensive payday loans, and even receiving loans from pawn shops. Thanks to the Internet, though, there are a number of ways that individuals can now make money quickly without resorting to doing something they don’t want to do. They can make money in their spare time by doing everything from writing and design work to reselling items on classified websites.

Making Money Through Skills

Individuals who want to make money fast online need to only think about their skill set and search for an Internet job that matches it. For example, artistic individuals can find a number of online jobs in graphic or web design. They might even be able to teach online classes in art. Individuals who write or edit can find a number of jobs in these areas as well. Even someone who does not have a skill set that would normally transfer to the Internet well can find opportunities to apply those skills online. For example, construction workers, carpenters, and plumbers can make a living online by writing informative articles about their skill set or selling how-to videos and guides online.

Making Money Through Selling

Another easy way to make money quickly online is through selling items over the Internet. Online auctions, classified sites, and even social networking sites allow individuals to quickly and easily sell items online. Although individuals may want to start by selling items that they own and no longer plan to use, they can quickly start to run this as a business, purchasing items at garage sales and resale shops to sell online and make a profit. In some cases, individuals must ship the item in question; however, more and more sites are allowing for individuals to sell locally so they can meet their customers to sell items.

Making Money Quickly

One of the best advantages that working on the Internet offers is that you can receive money very quickly, almost instantaneously. In some cases, individuals doing skilled work will get paid the next day. People who are selling items will usually have to wait for the item to be shipped or picked up to get paid, but they are still paid within a matter of days — not weeks — in most cases. This is why doing work online is a great alternative to getting a payday loan or pawning items. Usually, an individual can find work and do it so quickly that he or she will be paid before the impending bill comes due.

Staying Safe

Of course, there are scams on the Internet, and not every Internet job is a legitimate one. However, individuals who use caution will be likely to find only legitimate work. Before accepting a job, an individual should carefully read the fine print and ask questions about how and when the person is to be paid. In addition, individuals should always do a small amount of work, and then wait to get paid, before accepting large jobs. Individuals who keep these practices in mind will be able to make money quickly by working online.

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Where to Find Unsecured Personal Loans Online

Lenders will normally find your eligibility through a credit check. You may also need to be in full-time employment or have regular money coming in that’s above a stipulated threshold. The amount you will be eligible to borrow will depend on your credit rating, your monthly income and how much you can afford to repay.

But gone are the days when you had to go into your bank and ask for a personal loan directly. These days, you can borrow money from a network of trustworthy lenders online – even if your credit score is low. However, to make sure you don’t end up paying sky-high interest rates or pricey hidden fees, you’ll need to know the right places to look.

It’s best to spend some time researching the most reliable and trustworthy lenders online. There are financial experts with websites and blogs that may be able to recommend you further. It’s also a good idea to read through forum posts or customer reviews to flag up any dodgy or inauthentic lenders – it’s easy to get caught out this way.

You may consider using a lending platform that can connect you with a network of lenders that have been pre-vetted. This is a great way to find trustworthy lenders with the best APR (annual percentage rates) to make sure your details stay protected and you get the best deal.

The type of lender you choose will depend on a number of factors related to your current financial circumstances. There has been a recent trend of “payday” lenders, allowing people to borrow small amounts to tide them over until the end of the month. However, many of these short-term fixes are best avoided, as their interest rates are incredibly high.

If you only need a short-term loan, it’s best to consult your bank or a reliable online lending source. The best lenders will advertise APR rates between 5.99% and 35.99% depending on your personal circumstances, so rule out any lenders that charge higher annual interest rates than this.

If you know your credit score is low (you can check this free online using a site like Clear Score), you will need to find a lender that accepts those with poor credit history. These lenders will decide how much you can borrow depending on other factors – your monthly income, reliable employment, time spent at address etc.

Be aware that late repayments will adversely affect your credit score, so don’t borrow more than you know you can pay back. The most responsible lenders will calculate how much you can afford to pay depending on your monthly income, any outgoing and your chosen repayment period, so should not offer you a larger amount than you can afford.

Once you have found a personal lending site, you will need to apply to borrow money. This will usually involve filling out a simple form. You may be asked the purpose of your loan, how much you need to borrow and how long you think it will take you to repay it.

Once you have entered these details, an online tool should calculate how much your monthly installments will be, and how long it will take you to repay your loan. You will then need to give proof of your identity, income and possibly your employment before a decision is made in response to your application.

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Fast Loans For Bad Credit: Loans For Those With Steady Income

Many people tend to find themselves in certain situations where they might need a loan, and as soon as possible. However, this can be somewhat difficult at times, particularly for people who have a poor credit history or score. This is because many lenders consider them too high-risk. Even so, it can sometimes be possible for people to find fast loans for bad credit, even within a timely manner.

Two options are usually available for those who want to get a quick loan, even with poor credit. These options usually include payday loan places or professional services that specialize in loans of this type. Professional lenders can often be found online and in person, although most payday loan facilities will require in-person visitations.

Payday loan places are a popular choice for many individuals, mainly because most very rarely require any financial backgrounds checks in order for a person to get a loan. In some cases, the same can also be said for certain private lenders. However, many places will typically include certain fees and procedures in order to make up for the lack of background checking.

Even though most lenders won’t require a credit check, they will often want some form of collateral. This helps to safeguard the lender in the event that you don’t pay back the loan that you’ve borrowed. In many cases, they may also require individuals to ave a bank account, since they will usually ask for a personal check written in the amount that you will owe them.

Aside from measures that a company might take to safeguard themselves and the money that they’ll be lending you, most will issue small fees. These fees act as incentive for the loan to begin with, and often fall under a certain percentage, which is most often based on the amount that you borrow.

Generally, a quick loan will usually need to be paid back sooner than a regular loan. For instance, payday loans are frequently due around the time a person is paid, or within a few short weeks. A private lender may have different timescales to work around, and some may be willing to work with you on this note.

In some situations, you may be able to negotiate certain terms with a lender, although this can vary on a case-by-case basis. Due to this, it may not be a bad idea to see how they might be willing to work with you, particularly if you’re on a tight budget.

You can learn more about fast loans for bad credit by speaking directly to a professional agent or lender. However, it’s also wise to ask plenty of questions, so you can ensure that you’re dealing with a reliable lender, and so that you can know what to expect later on. It’s also important to investigate your options as much as possible before you accept a loan. This way you can make sure that you’re getting the best deal when in regards to fees and when payments are due.

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Realize Your Dreams With Fast Cash Loans

Emergencies can completely wreck your financial life especially if you have just lost a job or if you are the sole earning member. If such situations occur, don’t give up. You can certainly overcome the situation with careful planning. If nothing seems to work, you can always go for a quick cash loan. In fact, financial companies came up with the concept of quick cash loans only to provide you instant money to alleviate your financial problems. From health emergencies and prescription costs to car repair and home renovation, quick cash loans can be used for all kinds of financial needs. You can avail of this loan even if you want to go on a shopping spree and can’t wait for your payday. Fast cash loans are known by various names such as instant cash loans, cash advances, or pay day loans. These type of loans are easy to get and do not take much time due to lack of tedious paperwork.

Fast cash loans should be repaid by your next payday or else you are likely to incur heavy late fees. Fast cash loans provide you the much needed money to deal with expenses that cannot wait until the next payday. It therefore makes sense in repaying the loan as soon as you get funds. Extending this loan is possible sometimes though not advisable, as you will end up paying much more unnecessarily to the lender. It is certainly not worth paying this additional amount to the lender, as the loan term would be only marginally extended. So the sooner you pay to your lender, the lesser your outstanding amount will be.

Although quick cash loans are given out without much ado, they can serve only as a stop gap arrangement. This is because the amount you are eligible for is usually not more than $500. This amount is justifiable because the lenders do not bother you with harrowing questions as to why you want this loan. All they do is ask for your personal details, look at your employment status, and provide you the necessary funds in less than twenty four hours. You must not forget that do not ask for any kind of security while giving away a fast cash loan. Naturally, they need to find ways to ensure that they do not run into a loss. They thus place limits on the amount they provide through fast cash loans.

Fast cash loans are also given out to unemployed people and those with bad credit. The risk thus is even greater in case of such people and calls for higher interest rates in their case. To speed up the loan application process, see to it that you apply online. Banks and financial institutions usually respond to your loan application in less than an hour and if your application is approved you can expect money in your account within one business day. Fast cash loans can be an answer to your immediate financial needs. Make sure that you borrow only as much as required and repay it at the earliest so that you do not don’t get into further debt.

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