Tag Archives: loan

Tactics for a Problem-Free Title Loan Repayment

Coins, calculator and contract on a tableWhen it comes to securing a title loan, you should treat it the same way you would your mortgage, car loan, or any other loan. In fact, you need to pay more attention to this type of financial service, seeing as it comes with a higher interest rate than traditional personal loans and a form of short term loan.

This doesn’t mean you should no longer consider it as a viable option when you need to secure cash as soon as possible. With the right tactics, Utah Money Center says that you can repay your title loan in Provo without any problem and even have the chance to improve your credit. Here are three of the most effective strategies that’ll help you pay back what you owe.

1. Only apply once you’ve established the offer is the best for you.

The best offer awaits those who take the time to find them. Unless you do your research and look for a lending institution offering the most reasonable rates, you may find yourself stuck with a title loan contract with considerable interest. Many lenders are offering this type of financial assistance in Provo, so take as much time you can in comparing them.

Make sure the lender has a reputation for transparency. You don’t want to find yourself shocked upon seeing hidden and unexplained exorbitant charges.

2. Secure loans one at a time.

A common mistake many borrowers have made is taking out multiple loans consecutively, usually to pay off a bigger loan. You should avoid this at all costs, as it will only make your financial situation even more difficult. If you need cash as soon as possible, then consider applying for a car title loan and only this. Once you’ve paid it off, and you still need cash, then look for other alternatives.

As you can see, you don’t have to fear title loans, if you practice proper borrowing habits.

Three Kinds of Short Term Loans that Can Assist Your Future

Loan ApplicationSometimes, people need extra money for emergencies, utility bills, student loans and short-term investments. But money does not always come easy, which is why people resort to borrowing or taking out a loan.

There are many kinds of loans, which may confuse first-time borrowers. Lending comes in various forms and usually differs on the mode of payment, interest rate, and schedule of distribution. One of the most popular is short term loans, because it’s fast and require payment in less than a year, plus the interest rates appear to be lower.

In the event that you consider a short-term loan, here are three kinds that can assist your future needs.

Credit Cards

Credit cards allow the borrower (or the card holder) to purchase goods and services on credit. Typically, bank corporations issue credit cards to individuals who have a steady flow of income and positive credit history. Credit cards charge interest and may require an annual fee.

Convenience is the main advantage of credit cards since you can use it in almost any establishment. Apart from this, credit cards are helpful during emergencies such as paying hospital bills, student miscellaneous, or an important purchase.

Payday Loans

Also known as a cash advance, payday loans involve a lender who provides an unsecured loan, which the borrower can repay on his or her next compensation. Payday loans are usually a small amount with a very high rate of interest. Borrowers submit post-dated checks that lenders will encash on the agreed date.

People who are short on cash and needs to pay something immediately can take advantage of a payday loan. Unlike credit cards, payday loans are actual cash that you can use or as payment to another debt. You can also use it to avoid bounced check charges or to pay upcoming bills and pending fees.


An overdraft allows a person to withdraw money, even if their account balance is zero. Banks usually provide overdraft agreements with a certain amount limit and an agreed interest rate. Usually, overdrafts do not have a fixed repayment period, which means that borrowers can pay whenever they are ready. However, unsettled overdrafts are bound to account closure. Overdrafts provide utmost convenience during emergencies. 

When applying for a short term loan, consider the urgency of your need and your capability to pay. This way, you can avoid enormous debts and bankruptcy. Remember, borrowing comes with a lot of discipline and responsibility.

Are Online Loans Safe? Here Are Five Ways to Tell

Online LoanOnline loans are both convenient and risky. It involves a delicate process that ensures its safety and eligibility. However, there are online companies that take advantage of this opportunity by tricking borrowers into false agreements. As a result, borrowers find themselves in financial trouble.

Many online loan companies certify their services through documents and testimonials that confirm their entitlement. Rapidloans.com.au, like many legit online loan companies, makes an effort to verify their services through quick, person-to-person responses. Apart from reliable customer service, here are other ways to ensure the safety of an online loan.

Ask About Credit Checks

Lenders that do not require background checks are beneficial to borrowers who are in need of money immediately. However, if you want to know that you are working with a legitimate company, it is normal to expect a simple credit check, income verification, or credit report. Remember that just like you, loan companies will not transact without any form of assurance.

Read the Fine Print

Borrowers tend to overlook the details of their loan, especially when they think that they already understand the whole deal. However, reading the fine details will advise you of more important information such as payment penalties, loan modifications, and additional interest rates. Unknown fees can sum hundreds of dollars to your payment requirements, which the lender can add without your knowledge.

Avoid Faxless Loans

Faxless loans are loan offers that require no paper trail. Since they are anonymous, faxless loans are popular to borrowers that want to assure the confidentiality of their loan. Even if it sounds inviting, avoid this kind of deal to ensure the authenticity of your transaction. In the event that something goes wrong, you have a document that can support your arrangement.

Locate Contact Details

Whenever you submit any kind of personal information on the internet, it is essential to know the contact details of the company you are working with. Look for the “contact us” page and find the phone number of the lender. Confirm by calling and asking about its eligibility. You may also look up the URL on a verification site to assure that it is not a scam.

Check for Reviews

What other people say are significant when transacting with an online loan company. Apart from distinguishing the pros and cons of the business, you also get a summary of how their services work. Usually, companies put a reviews and testimonials page on their website. Be sure to check this.

No matter how urgent your need is, it is important to check the eligibility of the online loan company you are working with. It may take some time, but it is better to be safe on your finances.

Credit 101: How Lenders Decide on Your Loan

Applying for a loanApplying for a loan can sometimes leave you hanging in uncertainty. You simply do not know if your loan application will be approved or not. Sometimes, even if you have all the necessary documents to back up your application, lenders always find a way to deny your application.

What if you have a bad credit score? It is quite easy to understand how lenders decide whether to give you credit or not. You cannot blame them if they don’t trust you enough to fulfill your financial obligations. Just look at it this way — you got a visitor in your house one day saying he is going to borrow money from you. He has all the credentials, but you simply do not know him. Will you give what he is asking for? If your answer is ‘No’, then the same thing can be said about lenders in general.

Nonetheless, here are some of the things that they will be looking for when you apply for a loan:

Your Credit Score Matters

One of the most important considerations by any lender is your credit score. Sometimes, all lenders have to do is to look up your name, determine your credit score, and write you off right there and then if you fail to meet their minimum credit score. If you still have time, try to repair your credit score.

Your Source of Income

As Malco Motors notes, lenders would like to know how you are going to repay your loan. If you are currently unemployed or even live on subsidies, do you think lenders will trust you to repay your loan?

Your Credit Utilization

You have existing credit. But, the point they would like to see is if you are not remiss on your financial obligations. If you have been overusing your credit way beyond your means to pay them, what does that say about you? Most lenders would not want a borrower who utilizes more than 30 percent of his credit.

Availability of Collateral 

If you have collateral, lenders might likely give you credit because they have something to tie the loan to. Just remember that once you renege on your financial obligations, you automatically forfeit your right to your collateral.

It is quite easy to understand how lenders decide on whether to give your credit or not. The important question is, "What are you going to do about it?"


Home Diaries: Are You Ready for a 15-Year Mortgage?

mortgageMortgages usually come in either 30 or 15-year durations, and the choice has a huge impact on your finances. Shorter mortgages have gradually become more popular among today’s homebuyers. It is easy to see why; a 15 year loan has several attractive selling points:

  • Significant interest savings, usually amounting to tens of thousands of dollars
  • Quick loan payments to make room for retirement and other financial obligations
  • A faster way to build equity in your property

These advantages are great, but the drawbacks are also worth considering. A 15-year mortgage always has a higher monthly payment. If you wind up in a financial emergency, this could be a massive burden. In the worst case, you may have to refinance or sell to avoid foreclosure.

Despite it being the best choice for long-term savers, not everyone is capable of taking on a 15-year mortgage. To find out whether one would be suitable for you, ask yourself the following questions.

  1. “Will my monthly income support it?” – Experts suggest that no more than 25% of your monthly income should go towards a mortgage. Anything more than that may be unsustainable over long periods. Ideally, you should be able to pay it off even on just one income source.
  2. “What other responsibilities will I have in the future?” – If you plan to have children or switch careers sometime in the near future, the instability could greatly affect your ability to pay off the loan. As Utah mortgage professionals explains, a 30-year loan might be a safer choice.
  3. “Can I reliably maintain an emergency fund?” – As mentioned earlier, a financial emergency, like your car breaking down or losing your job, could be disastrous. You need to be capable of building and maintaining an emergency fund for these instances.

A mortgage is the biggest debt you will ever have. Before making your decision, weigh your options and consider every relevant factor.