Consumers want to know what the application process is for getting an installment loan online. Let us explain how it works.
Before we get to the application process let’s be sure you know what an installment loan is and how it’s different when compared to other types of loans. Most other loans are refereed to as “short term loans.” These types of loans include payday loans and cash advance loans. There are also a few companies that provide car title loans and long term personal funding. These short term loans are designed for consumers who need a small amount of money with bad credit. These financial notes will come due in full within a few weeks. Usually on their next direct deposit from their job or social security. Installment loans are different from short term loans for two reasons mainly. First off, online installment loans are usually high dollar amount loans. Most online loans are more than $2,000. Installment loans are structured in a way so you can pay them back over a set amount of time. Usually a matter of months or even years for large loans.
We’d like to break down the difference between a short term loan and installment loan. Now let’s get to the online application process! When you apply for an online installment loan you’ll first need to fill out an application. The application process usually takes no more than 10-15 minutes. You’ll need to give personal information such as contact info, birth-date and address. On top of that you’ll need to give employment history and financial information such as your direct deposit information and how often you’re paid. Many consumer’s are afraid to give up their banking information online. But most installment loan lenders will require this to process a loan. They want to make sure they get paid! You also may need to give personal references or detailed work history but we really don’t see that too much anymore. At this point you’re ready to click submit on your installment loan application. You may know how much money you want to borrow. Some lenders will even let you pick the amount of months that occur with an installment loan. From hear on out you’ll be waiting on the online lender to get back to you in regards to your loan application status. Do you know if you inputted correct information on your loan application? If you have a steady job with no past loan delinquencies you should be in good shape. One thing to note, some online funding companies will require a phone consultation before you’re approved. They’ll usually call you right after you submit your app to make sure you’re a real person and to verify specific information. Don’t stress talking to someone on the phone! This is usually a generic conversation and you’ll be one step closer to getting your installment loan!
If you’ve made it this far then we’re going to assume you found a direct lender of personal loans online! Unlike payday lenders, most of these finance companies will process your documents within an hour. You should see an approval for a direct installment loan that fits your needs yet also gives you the ability to pay it back in a reasonable amount of time. When it comes to actually getting your money you’ll have a few options. Some direct installment lenders will directly wire the loan amount into your bank account. This can usually be done within one business day. Some online installment lenders will give you the option of getting your loan amount that same day. This is only possible if they have a retail location near you. Many of the large companies that fund installment loans online have locations throughout the country. Try to find one that will let you walk into one of their locations and pickup your cash. At this point you’re good to go! Be sure that you stay current on your installment loan payments!