- Understanding A Personal Loan
There’s always some sort of bills to pay, but sometimes they get a bit beyond your control. It could be anything! A roof leak, car repair, major appliance failure or simply, extra money for fuel to make that necessary trip possible. This is where a personal loan becomes an important option, but with one very important rule you’ll need to follow. A personal loan must be taken seriously! Specifically, your payment schedule must be well managed, if managed improperly, all the positive effects of this loan can result in lowering your credit score. A personal loan that is well understood by the borrower can be a positive tool, for both your immediate financial needs and your credit score. This personal loan can be a very positive experience, your credit score can actually go up. Yes, you can have a stronger credit score after this loan then before it. Credit Bureaus appreciate a personal loan that is paid back appropriately. Please remember this information when applying for a personal loan.
- Know Where You Stand
It’s the most practical first step you can take. Check your credit score! We set up a link to do just that. We want you to check your credit with No Commitment, that’s why we set up a link with Credit Score Pro. Take advantage of their free 7 day trial, follow the directions and get the information you need. If you choose, cancel at the end of a week and you have no obligation, but you’ll get vital information.
- Ask A friend or Family Member
Some people may think that this is a bad idea, but just as many think it can be a smart first move. It’s your choice to understand if a friend or relative you’re about to ask makes good sense or not?
- Limit Your Loan Applications
Remember that each loan application that you submit triggers an inquiry into your credit, and affectively can lower your credit score, each time, just a bit. Think of it like this, you’re out shopping for the best price on a major appliance, you visit 3 retailers, applying for credit at each one, in order to get the actual item price you qualify for. By the time you complete the 3rd credit application at the 3rd retailer you find out that your credit score is way below what the 1st retailer told you. Surprise! Your credit score sinks, just a bit, every time you apply for credit. The same goes for Department Store Credit, Visa Credit Cards, Gas Cards, Synchrony Loan (aka GE Capital), they all sink your credit. Applying for credit once in a while is acceptable, so it’s important you pick one of the lenders we provided, just one! We thoroughly reviewed each lender for your protection and convenience.
- Only Choose Reputable Lenders
We want to start by thanking you for joining us at GetMoneyFast.com, where we not only want to get money fast to you, but also provide security and trustworthiness too. You can count on us because every lender that we provide has been checked and has passed a thorough investigation that includes; Customer Satisfaction Levels, Online Security History, No Prepayment Penalties and No Sharing of Customer Information.
- When Do I Start Making Payments
This is very important to remember and mark down somewhere. It’s easy to forget the payment due date, this is because the loan payment schedule is probably different than other bill payments you may have. Easy to forget, but difficult to resolve if it happens often.
- Late Fees, Interest Rates and Repayment Period
Understand up front what the penalties are for your first, second and third late payment. You don’t want surprises. It’s important to know what type of penalty you can be confronted with, just in case the worst happens, this could also act as a motivator to organize your payment schedule. Understand up front the agreed upon Interest Rate. That means the APR, the Annual Percentage Rate, don’t care about the advertised APR, you want to know exactly what your APR is. Next up is the maximum allowable Repayment Period. This is critical because when there are no surprises, and you’re fully aware of your complete obligation, and payback period, you significantly increase your chance of improving, not reducing, your credit score because of this loan.
- It’s OK to Borrow More Than You Need
Here’s the tip, take that extra money and use it to begin paying back your loan immediately. The bigger the loan the more positive the affects on your credit, and typically lower APR you will pay. Don’t use the extra money foolishly, utilize the extra money to specifically help your repayment efficiency. It’s another reason to only consider Reputable Online Lenders.
- Set A budget
This is very important, you’re about to add another bill to your list of bills. Appropriate Budget Planning is serious business and can significantly boost your loan payment consistency. This means cutting back where you can, limit the extra long drives, go to a cheaper restaurant, don’t buy that new article of clothing, any cuts you can make will help boost your success with your loan experience. Understand what day you have to make your loan payment each month. Make sure, many days before, that you’re on schedule to have your loan payment when you need it. Consider placing little sums of money away each week, in between loan payments, it will make things a lot easier.
- Prepayment Penalty
Is there a Prepayment Penalty? Make sure you know the answer to this question before you finalize your loan. You don’t want a Prepayment Penalty because you want the loan payment schedule to be on your terms not the terms of the loan company. It’s very possible that you may want to close out your account early, stop any interest rate charges, and take advantage of the loan benefits as it relates to you credit score. There is NO reason to be penalized for making your payment early.