Personal Loans – Types of Personal Loans

The application process for a loan

The application process for a loan

The simple online loan application process with Personaloans.com is designed to connect you with a lender or credit partner in your network for the purpose of financing your loan. If you are successfully connected and approved, you can receive your funds in just one business day. They give you a term between 6 and 72 months to repay the loan , subject to the terms agreed in the contract. The APR for loans in the network of this company varies, and many providers offer interest rates between 5.99% and 35.99%.

The process is very simple:

You start by filling out the simple virtual application form on the company’s homepage here . In this form you are asked to put the amount of money you want to borrow, type of credit and the reason for the loan. The form will also ask you to provide basic personal, banking and income information. This information will be used to determine for which loan product you may be eligible.

Shortly after receiving your loan application, the affiliated lenders or credit partners will decide whether or not to approve your loan application based on the information provided. If approved, you will be redirected to a loan agreement with clear terms and conditions, including the amount you will have to pay and the repayment term. Make sure you understand the key elements of your loan agreement, including the interest rate of the loan, as well as the repayment terms before accepting the offer.

After having accepted the terms of the loan agreement, the money will be sent to your bank account. The money will be deposited into your account after your loan has been approved. The time will also depend on the partner or lender with whom you have worked, but you will surely receive the funds between one to five business days.

Then it will be directed to the so-called Account Center. When you log in, you will be able to make changes, for example your basic data, such as your contact information and you can also change the password. When you want to request a second loan, you can send another personal loan application by clicking on a link as all your information will be verified.

Requirements for personal loans

Requirements for personal loans

Although credit applicants are accepted with any credit score, there are bound to be some basic requirements that you must meet to qualify for one of the loans that they offer. Before applying for a loan, make sure you meet the specific criteria:

Age / ID / State of residence : you must be 18 or older to be eligible for a personal loan. You must have a valid social security number and be a permanent resident or US citizen.

Income : To ensure that you can repay the loan, you need to have a full-time job, be a self-employed worker (work for yourself), receive monthly benefits for invalids or Social Security. Some of the lenders may ask for a check stub or some other way to verify your income.

Bank account : almost all loans request a current checking bank account, this is because after the approval, the lender will deposit the amount via direct deposit in your account.

The credit : it is not required that the applicant has a super good credit or excellent to be approved. However, for the vast majority of loans they ask that customers have demonstrated responsible behavior with payments. In order to qualify for a product with this company, usually a person must not have a delay of more than 60 days; you should not have any bankruptcy either active or recent (if you spent 10 years or more disappears from the credit); you should not show a habit of making late payments; can not count on any debt that can not be covered by monthly earnings; also you can not have any account that has been charged lately.

Fulfilling all these requirements is not a guarantee that the loan will be approved, but its possibilities of approval increase on a large scale.

Types of personal loans

Types of personal loans

This company offers 3 types of personal loans. These are: Peer to Peer loans, personal installment loans and personal bank loans. Read below the detail of each type.

Peer to Peer loans (for individuals or companies)

Peer to Peer loans (for individuals or companies)

Typical requirements:

• Credit score: 600+
• Minimum income: $ 2,000 per month, must be verifiable
• Source of income: employee or self-employed
• Loan range: $ 1,000 to $ 35,000

Peer-to-peer lenders connect borrowers directly with investors, rather than offering them themselves. A P2P loan means that you will borrow money directly from a person or company, rather than from the bank. Peer-to-peer loans ensure that borrowers are matched with people looking to invest in a detailed note. Often, the reason for your loan will be disclosed to investors who review the notes available in the peer-to-peer lender system.

As a borrower, you will complete a basic loan application form and post the amount of the desired loan. Investors will see your listing and the one that best suits your specific needs. Once an agreement is negotiated, you will make fixed monthly payments to the investor until your loan is paid.

The entire peer-to-peer loan process takes place online, so you never have to leave the comfort of your own home. Applying for this type of loan only takes a few minutes, and if you qualify for a peer-to-peer loan, you can be given a list of loan options to choose from. Many borrowers prefer peer-to-peer loans due to lower interest rates.

You can borrow between $ 1,000 and $ 35,000 with a peer-to-peer loan, depending on your type of credit. PersonalLoans is associated with several peer-to-peer loan lenders and each lender has its own set of investors and terms. The peer-to-peer lenders often charge a commission for the loan of between 1 and 5%, which is deducted from the loan amount given to the borrower.

Personal installment loans

Personal installment loans

Typical requirements:

• Credit score: 580+
• Minimum income: $ 2,000 per month
• Source of income: employee, self-employed or benefits
• Given loan range: $ 1,000 to $ 35,000

The installment loan process for personal loans is also quick and convenient. You can request an online loan by providing basic personal and financial information. Your lender or partner will provide you with a loan contract individually tailored to your financial needs. You must review the terms of the contract before signing, as each lender or loan partner will have their own specific payment process. The borrowed money will be deposited in your account via direct deposit.

Consumers are encouraged to investigate applicable federal and state laws and to request more information from their lenders or credit partners. Personal installment loans may vary by state. Each state has its own rules and regulations for personal loans, so the amount and rate of your loan will depend on where you live. In addition, the loan amount, the annual percentage rate (APR), and the duration of the loan may depend on a variety of factors used by lenders or credit partners, including your credit score and payment history.

Personal bank loans

Personal bank loans

Typical requirements:

• Credit score: 580+
• Minimum income: $ 3,000 per month
• Source of income: employee or self-employed
• Given loan range: $ 1,000 to $ 30,000

A personal loan from the bank provides an individual local service to borrowers who wish to apply for a loan in person at their local bank. First by phone or in person and you provide your personal information for the loan. Some banks even allow you to apply for a loan online as well. If you apply for a loan online, you will probably be directed to the nearest local branch to complete the loan application process in person. After being approved, you will receive the funds at the branch or they will be deposited in your bank account.

You may be eligible for a personal bank loan of up to $ 30,000, and you can analyze the individual terms and payment options at your local branch. Most bank personal loans have fixed rates and can provide you money the same day, if they are approved before noon.