In case you need to borrow money outside regular bank hours to tackle an emergency, then in that situation you can do so online. However, there are several ways by which you can lay your hands upon instant cash, but make sure you don’t end up compromising on your financial security.
For that reason, you need to know whom to turn to for loans and get them successfully.
Who can provide loans online?
Almost all the traditional financial institutions have a website of their own that have specialized loan application forms for borrowers like you to fill up. Moreover, many credit card companies too have websites where you can apply for new lines of credit. A lot of them have online mechanism to process and approve online loan applications instantly.
Nevertheless, you’ll have to wait for a certain period of time to get the loan you’ve applied for. So, if you need to get the money urgently, then your options may be few and far between. Even then there are some websites that do provide loans within one or two working days from the date of submitting an online application.
Tips to apply for loans online
You can follow the below mentioned online loan application tips to get money in case of emergencies:
1) Look after your credit report
Regardless of the type of online lender you use to get the money, make sure that he reports every positive credit history regarding you and the loan to the credit bureaus like TransUnion, Experian, Equifax and so on. This is a major issue since a lot of creditors or lenders are found to report inaccurate and negative credit information about their borrowers. In this case, you need to be very cautious about defending your credit score from tanking due to no fault of yours and so, you must verify their credit reporting policies over the phone or if possible then by live online chat before accepting their money. However, steer clear of online lenders who do not report any credit information at all.
2) Go through the website content
Before selecting a particular website to apply for loans, you must ensure that it has high quality informative content that will help you to make judicious long-term financial decisions. This is one of the many good qualities of genuine online lenders. Websites with useful financial and instructive materials published on them in a way indicates the bona fide approach of the concerned lenders to protect the interest of the borrower’s as well as their’s.
3) Stay away from peer-to-peer loans
Presently, a new trend of lending money has surfaced on the internet. It is known as ‘peer-to-peer lending’ where you’ll have to disclose your personal information to unknown people to get loans. These people will lend you their money at an agreeable rate of interest but then you never know what havoc they can wreak on your finances by misusing those classified data. Basically, loans originate out of mutual understanding and trust, however in a virtual set up. What is more worth mentioning is that these lenders do not fall under the purview of the federal lending laws. For that reason, you must verify the legitimacy of those types of websites, if you are planning to use them in an emergency.
4) Watch out for customer service guarantee
You should study the feedback of previous customers in order to find out the quality of service provided by an online lender. Moreover, genuine online lending websites won’t hesitate to provide answers to all the queries that you may have about them or their financial products. In addition, they’ll have a policy of loan guarantee as mark of their authenticity. When you are taking out loans you shouldn’t be careless with the entire origination process, especially after knowing the fact that a single mistake may cause irreparable damage to your finances.
Finally, evaluate your loan affordability before applying for the same. Even your lender should be eager to find out your how much loan you can afford to repay comfortably and approve your application accordingly.