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How to Find Direct Lenders for That Small LoanTuesday, February 12, 2013 Mary Anne Velasco
If you are looking for direct lenders for a small loan, there are a number of things that you need to take into consideration. Small loans can be sold under many different names. Today, we have payday loans, fast cash loans, short-term loans, and more. These are just some of the many names that a direct lender will use to advertise their loans. They provide short-term, financial assistance to individuals that are struggling to pay bills, credit card debt, mortgage payments, or other financial obligations. They are generally small loans and best used between paychecks when you have come up short and need extra money to get through the month. Below, you will learn how to find direct lenders for these small loans.
● Find a reputable lender
First and foremost, you need to go with a reputable lender for your small loan. A company that has built up a considerable online presence is the type of business that you need to consider. If they offer an online application and approval process and they have been providing their small loans for several years, this shows you that they have enough qualifications to assist you. [http://www.smallloans.net/]
● Find a company with fewer loan fees
Loan fees are charges that are applied to your balance if you fail to meet their requirements. This could mean that you are late on repayment or you didn't meet the minimum payment requirement. Loan fees are common in the short-term loan industry, so it's a good idea to find a company that rarely charges a loan fee.
● Find a low APR
The annual percentage rate that you receive is the interest rate that you will have to pay. Interest can be a significant burden on your finances, especially with direct lenders that have high APR's. Look for a small loan company that offers an APR that is less than 250%. Remember that these loans are short-term, so the interest rate is going to be considerably higher than a bank loan or even a credit card. A good APR is difficult to find, so it's important to look around until you find a company that can offer you this.
● Flexible repayment terms
If you come up short on the cash that you need to repay your loan, it's important to have options available. Some short-term loan companies pressure their clients into taking out an additional loan. This is a situation that you want to avoid and by finding a company with flexible repayment terms, you would be able to extend your repayment date, rather than having to come up with the cash all at once.