Online loans are plentiful these days. Whether you want to consolidate your credit card debts, pay off a big overdue bill, or simply borrow money quickly, it can make sense to take out a personal loan online. But what are the benefits of online vs conventional loans?
The Rise of Online Loans
The borrowing landscape is undergoing major changes as online loan options explode. Gone are the days of requesting a bank/lender meeting, trekking to their office, sitting in an awkward, time-consuming interview, going through stacks of paperwork only to be told you’ve been declined. Even if pre-approved you’re left waiting weeks for your application to be officially approved – and even longer to actually see the funds drifting into your bank accounts!
If you’re looking for a loan, here are four reasons you should consider applying for a personal loan online…
You use your computer and mobile devices for everything, why not applying for a loan? No longer do you have to take time away from work to show up at the bank; You can now apply for a personal loan at midnight, in your pajamas! While we like to reminisce of the “good old days” it’s sure nice to take advantage of modern, convenient technology.
What’s more, applying for a loan online you’ll be able to safely electronically send documents, so no more paperwork!
2. Saves Time
Not only are you saving time not having to physically go to a bank, you’re saving time on the actual application too. When borrowing money, you are required to fill fewer details compared to the traditional way of applying for loans. Once you have finished applying for your online loan, your request will be approved, and you will get a confirmation message. This, therefore, will save you a lot of time and money.
3. 24 Hour Access & Assistance
It’s easy to get used to the convenient online access electronics offer, especially when it comes to managing your finances. According to a Federal Reserve Bank survey, almost three-fourths of consumers accessed online banking through a desktop, laptop, or tablet computer in the last 12 months.
Using an online lender, you can gain access to your application and account at any time, and some good online lenders provide 24/7 online support, so you can get answers and loan support at any point of your application (and throughout your repayment process).
4. Lower Rates and Faster Cash
Because online lenders don’t have to pay the expenses of maintaining a physical bank, they are able to offer lower loan fees. However, most online lending is unsecured, which means you’re not putting up collateral that the lender can keep if you don’t pay your debt. For this reason unsecured loans are riskier for the lender, so they come with higher interest rates. Even at a relatively high interest rate, you may end up paying less than you’d pay in credit card interest.
Last but not least, online loans offer fast cash. For Example at TLC Loans, the approval process is fast and easy. Once we receive your application, our customer service representatives will contact you to verify your income and employment, you will sign your loan agreement electronically and be all set to receive your funds.
Once you’ve signed your application online, you will receive your loan in your bank account on the next business day.