How to Apply for an Instant Online Loan

Good news if you need a personal loan in 2022: Interest rates are much lower than they were a year ago.

Maybe you’ve seen headlines like these but you still hesitate to apply for a loan. It could be that you’re not sure whether you’ll qualify. Or maybe you think the loan process is too long, confusing, or complicated.

In the past, this might have been true. But today, it’s easier than ever to get an instant online loan. Best of all, you don’t even have to leave your home!

Just how easy is it to get an online loan? Here’s how to apply for a quick loan in seven simple steps.

1. Crunch the Numbers

If you’re applying for a loan, chances are you don’t have a lot of money in reserve. The last thing you want to do is make a sticky financial situation worse by taking out a loan you can’t afford to repay.

How can you get past this conundrum? Don’t just rely on a lender to evaluate your finances and decide whether to approve your application. Do the math yourself and make sure you can truly afford to repay the loan.

First, determine how much cash you need to borrow. Subtract any application or origination fees. Then, use a personal loan calculator to see what your monthly payments could be.

You may not know the exact rates and terms until you apply. But you can at least get an idea of how much the loan will cost — and whether your budget can handle it.

2. Check Your Credit Rating

You’ll have the best chance of getting approved for a loan (with a low APR) if you have a good to excellent credit score (670+). However, many lenders will be happy to approve you even if your credit rating is fair (between 580-669).

What if you have a low credit score or no credit history? You still have options. Some lenders will also consider alternative credit data such as your rent, utilities, and bank account cash flow. 

Whatever the case, it’s good to know where you stand before you start applying for loans. If your credit score is lower than the minimum requirements (and you don’t immediately need the loan), it might be best to wait a while and work on improving it.

3. Understand Your Options

The most popular type of instant online loan is a personal loan. You don’t need to give a reason for requesting the loan — you can use it for anything you wish.

If you have decent credit, an unsecured personal loan is the best option. If your creditworthiness is less than stellar, you might consider a secured loan (which requires collateral) or ask a responsible family member or friend to co-sign.

You’ll also want to think about how you plan to use the money. Many lenders can direct deposit the cash into your checking account, allowing you to do what you like with it. If you’re getting the loan to consolidate debt, you may be able to have it sent directly to your creditors.

4. Gather Documentation

The great thing about an online loan is you don’t have to drive anywhere or print anything out. Once you’ve found a few contenders, see if you can get preapproved for a loan.

You’ll need your:

• Government-issued ID
• Social security number
• Checking account information
• Proof of income (i.e., paystubs)

The lender may also want to see a utility bill or another official document with your name to verify your address.

5. Fill Out the Application

You’ll be amazed by how simple it is to apply for your online loan. You’ll fill out your basic information and then scan or upload photos of your required documents.

You’ll also need to enter the loan amount you’re requesting, so make sure you have an exact dollar amount in mind before you start the application process.

Important note: Whenever possible, try to get preapproved for a loan. This only places a soft inquiry on your credit report, which won’t negatively affect your credit rating. 

6. Carefully Consider Offers

After you’ve sent in your application, all that’s left to do is wait. But don’t worry — you won’t be waiting long.

If you choose FastLoanDirect, we’ll take the information you provide and contact reputable lenders in your state. Each lender will then contact you with a loan agreement offer. Keep in mind that FastLoanDirect does not charge any fees for this service.

Don’t automatically take the first offer you get. Take your time to read the entire agreement, including the small print. Look for terms such as:

• APR (annual percentage rate)
• Borrower default
• Credit score
• Fixed interest rate
• Installment loan
• Loan amortization
• Late fees
• Loan origination fee
• Prepayment penalty
• Principal
• Term
• Variable interest rate

If any of these phrases are unclear, get familiar with loan terminology so you understand exactly what you’re being offered (and what your responsibilities entail). The best loan offer is usually — although not always — the one with the lowest interest rate and fees.

7. Get Your Instant Cash

Once you’ve found the best loan agreement offer, all that’s left to do is accept it! You can do this online without the need to visit a bank or physical office location.

Most lenders that provide quick loan services will deposit your money within a few business days. In some cases, you may even be able to get it on the following business day.

Apply for an Instant Online Loan Today

In the past, applying for a loan could be a long, complicated process. If you were in need of fast cash, this could present a serious challenge.

As we’ve discussed, online loans have changed all of that. You can apply for an instant online loan from the comfort and convenience of your home. Best of all, you can be approved and receive your funds as soon as the next business day.

Is a quick loan the solution you’ve been searching for?

FastLoanDirect is here to connect you with reputable lenders in your state. Click here to see just how easy the application process can be.