How Healthy are Instalment Loans For Your Finances?
Financial
stability is what every person desires. But regular encounters with
uncertainties make us rely more on fund-sourcing. For
managing expenses and debts efficiently, we need to understand how we can
borrow money and utilise it in the best way possible.
There are many benefits
which an instalment loan can offer you. These loans have flexible repayments.
You can borrow money whenever you require and that too by applying online. With
the recent developments in the credit market, online application for personal
loans are gaining popularity.
In this article, you will know the reasons for the gradual shift of borrowers towards instalment loans.
ØThe Application Process is Quick
& Easy
ØHow Much Can You Borrow
The amount you can borrow through a loan is directly proportional to your income. Although factors like your credit record, credibility also influences the loan amount. Generally, instalment loans are suitable for more substantial amounts. You can explore several various deals offered by different lenders before finalising the deal.
ØEasy to Qualify Loans
Since you can apply for instalment
loans online, qualifying for them has become relatively easier. If you have
been turned down by bank or institutions, you can borrow from lenders available
online. You can apply online at Oyster Loan - an FCA registered online broker,
and explore reliable lenders suiting your preferences.
Note:
The criteria for qualifying for any loan may vary from one lender to another.
ØFlexibility in Usage
Once your loan is approved, you
can utilise the money in whichever way you want. It can be a car repair, home
repair or even a holiday. In the case of instalment loans, lenders usually
don't ask you about the purpose. The reason why many people opt for these loans
during the financial crisis.
ØConvenience
Getting an instalment loan is more
convenient than any other loan type. Since many lenders are offering these
loans, these are widely available.
Are
Instalment Loans taking over Payday
Loans? Know the Benefits
Instalment
loans last longer than the traditional payday advances. One of the reasons why
Britain is experiencing this major shift of borrowers from one loan type to another.
With instalment loans borrower pays a small amount every month as the loan
spread is longer.
Payday
loans, on the other hand, has to be paid in full on your next pay-cheque,
generally. Ideally, credit products are meant to help people manage expenses
during the financial crisis. So, as a borrower, you should opt for the option
which is more convenient as per the situation.
Both
of the above-mentioned loans are moderately costlier. Instalment loans have a
range of products in term of tenure- for example, 12 Month Loans & 6-month
loans. Payday Loans, on the contrary, are provided for 30 days or less. We can say
that Instalment Loans in the UK are
firming its grip over the lending market gradually.
However,
payday loans are still available with various lenders who offer them for a
period of 12 months - for people who want money instantly and for a longer
tenure.
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