Frequently Asked Questions:
What Is An Installment Loan?
An installment loan is a personal loan with a short to medium term commitment, that is repaid in regular and equal installments with added interest on top of the principal amount. An installment loan is an ideal form of credit for people who need to borrow more than what a payday loan can offer, but without the slow process associated with loans from banks and other larger financial institutions. Installment loans are legal in most US states but are often regulated in different ways.
How Does It Differ From Other Loans?
The closest comparison to an installment loan is a payday loan. The key difference is that payday loans are paid off in one lump sum, just weeks after they are taken out. Installment loan repayments can be spread out over several years. Because of this you can also borrow much more than a payday loan.
How Much Can I Borrow?
The amount you can borrow from lenders in our network is made up of several different factors, but is primarily based on your income or salary. It is rare for you to be offered an amount that requires you to repay more than 25% of your gross monthly income each month. This is to ensure you can make repayments. The duration of the loan also plays a role, for example paying off $2,000 in 3 months is a lot harder to manage than over 2 years. The amount you'll be offered will fall between $200 and $5,000.
What Is The Duration?
You can choose the duration that you desire during the application process, but this usually does not exceed 3 years. Based on the information you provide, lenders may offer a different duration upon approval. Usually the larger the sum the longer the duration.
What Are The Interest Rates?
Interest rates are determined by the loan amount, the duration of the loan, and the information you provide. Individual states also have certain regulations regarding interest. In general the shorter the duration the higher the interest rate, though with a longer commitment you may still end up paying more. The rate can fall anywhere between 125% APR to over 800%. Your offered rate will be made clear to you before you sign the lender's contract and will remain fixed at all times.
Am I Eligible For A Loan?
There are no special requirements to be granted Installment loans online. As long as you are over 18 years old, have a regular form of income of at least $1,000 per month, a fixed address, and a bank account in your name, your application will be considered and in most cases approved. While no lender will promise no credit check, if you have bad credit your application will still be considered.
Do I Need To Be Employed?
You do not need to be employed per say, rather you need a verifiable form of stable and regular income. This could be self employment, you could be retired, perhaps you receive a disability premium alongside part time work. The lender will only offer what they deem you can afford each month.
How Do I Apply?
Before you can apply directly with a lender you can submit some basic information with us and we will help you access a network of over 100 lenders. We will refer you to one of these within 3 minutes, at which point they may ask you to provide and verify further information, before making you an offer. You can be approved in as fast as 5 minutes thereafter, which is the closest you will find to instant approval for this type of loan on the web.
Do I Have To Accept Your Offer?
You are under no obligation to accept the lender's offer once your application is approved. You will have to digitally sign and "accept" it before any agreement is finalized. At this stage you can simply walk away. If you don't accept the offer you are free to apply again at a later date. If you believe there was an error in your application which is reflected in the offer, you can try again or contact them directly. Note that even if you walk away a search may still be recorded on your credit report.
When Will I Get The Cash?
Once you have accepted the offer the lender will aim to deposit the full loan amount within 1 business day. If you applied during business hours midweek, you will likely see it in your designated bank account the following morning. Note that deposits won't be made on the weekend or during holidays where the banks are not active.
Can I Repay Early?
Unlike some loans, the lender may not require you to see the loan term through and may let you repay in full at any time. This will also save you on interest as they will only charge you for the duration that the balance is outstanding. So if you repay a 2 year loan at the end of the first year, you will not be charged the interest for the second year. Please refer to the loan agreement to see if this is one of your lender's policies.
What If I Miss Repayments?
If you begin to have trouble making repayments you should contact the lender immediately to work things out. You may incur extra fees depending on state law, and the interest may continue for as long as the debt remains outstanding. If you fail to respond they may begin regular collection proceedings, civil action, and/or pass the debt on to a collection agency.
How Will My Credit Score Be Impacted?
Taking out an installment loan and making repayments will have a positive effect on your credit report. However if you begin to miss repayments or default completely on the loan it will be considered a black mark, and you may find it more difficult to obtain credit in the future.
Are My Details Secure?
All data that passes through our system is encrypted and secured behind firewalls. We will never pass on your information to third parties outside of our network of lenders.