Facts And Basics About Installment Loans

An installment loan can help you out much faster and better than a conventional loan. They are different from a ‘payday’ loan, or one of those title loans you always hear about. The funds from the loan can be used for just about anything, unexpected bills, medical expenses, food, whatever you really need it for. Let’s say for an example that something happens where you live, and you have to move suddenly. While there are many agencies out there that claim they can help you with emergency funds, in many cases you won’t qualify for these services. Where then can you turn to when you need to come up with first month’s rent and a deposit? Getting an installment loan can save you.

What are installment loans , and how is it different than these other loans mentioned above? Well let’s take a look at another popular type of loan, the title loan. Basically you put up the title of your vehicle in return for money. The problem is that these loans have one of the highest interest rates in the industry. In many cases, when you start paying payments on these loans you end up paying 80-90% in interest per month! This is really where people get into trouble and some even end up losing their vehicles because the simply can’t afford to pay. While they are legitimate companies, in many cases they set up in poor communities, targeting these people because they are desperate for money.

Let’s then also take a look at the ‘payday’ loan. These too are advertised all over the place, over the internet as well as on various media sources. They have no credit requirements, and usually all you need is a bank account, a source of income of at least $800 a month, and some basic information. Once all of this is verified, you can usually get your funds right away, either in the form of cash or a check, or when it comes to online companies, deposited in your bank account. Here too you are looking at higher interest rates, sometimes half or more the amount of the loan. In addition this is a short term loan, meaning you have 14 or 30 days to pay back the loan amount in full. Funds are automatically taken out of your bank account, whether you can afford it or not.

Okay so now let’s look at installment loans. In some ways they are similar to ‘payday’ loans, but in the same token much different. They usually require the same information, income, bank account numbers, references, etc. You have to have a minimum income level of at least $800 a month. However they are also different, and much better. For one thing, interest rates are usually lower, and much lower than a title loan. The interest is applied to the whole loan at one time, not compounded daily, and added to the amount of the loan. All the fees are also added to the amount of the loan up front. Once this is figured out, your payments are based on these figures. Let’s say you get an installment loan for $100. You interest is going to be $10, fees are $25, so your whole loan is $135. Unlike a payday loan where you have just a short period of time to pay back this loan, you have four to six months, even more depending on the company, to pay back the loan. Once the loan is paid, you are done, nothing else to pay.

While installment loans have been around for awhile, they are relatively new to the internet. Many online companies have been doing short term loans for a long time. It is an easy way to help people, but also make money. Now more and more companies are offering installment loans as well, because while there are many that need money, they may not be able to afford to repay the loan in one lump sum. In order to do business with these customers, they are offering to extend these payments over time.

Just like payday loans there are some things you need to know. You want to compare interest rates and fees over different companies, so you get the best interest rates and the lowest fees. You also want to find a company that has been in business for a long time, and has a good reputation. Because you are giving out personal information like bank routing numbers, account numbers and your social, finding a legitimate company is extremely important. Another factor to consider is how many installment payments are, and how much money they are willing to loan. You also want to find a company that reports to credit bureaus when you make payments and pay off the loan, not just when you’re delinquent.

These loans are a good way to rebuild your credit rating. Almost all of these companies will loan money to you with no credit checks, and as long as you fulfill their requirements, you can get your money in just a short period of time. So if even if you have bad credit, these loans are a great way to start rebuilding your credit history. It is a good idea to start off small, with a loan that you can easily manage.

If you are looking for a reliable company, one that has your best interests in mind, then go to personaldebtrelief.net . They offer installment loans up to $1000, and have flexible repayment options. They don’t do background or credit checks, require no collateral, and just a few basic items of information. They can get your loan into your bank account in less than 48 hours. To help you reestablish your credit they report your good credit history to all the major reporting bureaus. They offer a simple application process. In addition they also have a number of different resources to help you understand different types of loans, to choose the type of loan that best fits your needs.

So whether you are trying to rebuild your credit, or need funds for whatever reason,personaldebtrelief can help you get started on the road to success. You owe it to yourself to have good credit, and this company can help you get started.