The Benefits of Taking Out a Fast Emergency Loan

Since 42% of Americans are struggling financially, alternative sources of accessing money are becoming more and more important.

Short-term loans are one of the most popular and accessible ways that individuals and families can get back on their feet. Read on to learn some advantages of taking out a fast emergency loan.

You’ll Get It Immediately

Those considering taking out a loan generally do so for fast funds. They essentially need cash advances on their paychecks. This makes a quick deposit an urgent need rather than a preferable luxury.

Applying for a loan with your bank will take time. It will require both a credit check and a background check. The approval process can take anywhere between a day and a week.

Once you’re approved by the bank lender, you can expect your loan to come within 5 business days. While some people do only wait 2 days to get a loan after applying, you could be looking at an overall 2-week wait.

This is an impossible length of time for many borrowers who need to pay bills or make rent. Luckily, fast emergency loans online don’t take this long.

Once you apply, you’ll be paired with a lender in 24 hours max. The lender has already approved you, so all you need to do is sign the forms.

Some people get their loans within just a few hours of applying. Others get their funds in about a day. It’s a simple process and the money will come in the form of an immediate direct deposit.

There’s No Credit Check

As we brushed on before, bank-affiliated lenders will do a credit check before accepting your loan application.

A credit check is a hard inquiry into your credit score. This inquiry requires your consent, but you’ll need to give it to a bank to consider you for a loan.

When you give consent and the bank performs a hard inquiry, you get a small ding to your credit score. It goes down a few points. This might not be a big deal if you only apply for one loan, but it will add up if you apply for several.

You will be rejected for loans if your credit score isn’t good enough.

However, a fast emergency loan doesn’t require a credit check. There’s no hard inquiry or hit to your credit score. You also can get approved for loans regardless of what your score is.

This makes payday loans ideal for those who have fair or poor credit scores (lower than 669). Those in the ‘fair’ range (580-669) may get approved at some banks, but they also may not. The hard inquiry would hurt in these cases as well.

You can get a loan with bad credit. You can also get a loan with no credit at all. If you haven’t had the chance to build any, short-term loans are a great place to start.

You Can Build Credit

Many people think that payday loans automatically hurt your credit, but this is far from the case. A fast emergency loan will only hurt you if you fail to make your monthly payments. If you don’t think you can pay the loan back on a schedule, don’t take it out.

Otherwise, though, payday loans can help your credit a lot!

If you make every payment on time, your credit score is sure to improve. Lenders will report that your payments have gone through and your FICO score will go up a bit with each passing month.

This will improve your credit regardless of its starting score. It also is great for those who simply haven’t had the chance to build credit yet. You’ll get a chance to prove yourself and build it up.

You’ll Have a Consistent Payback Schedule

It’s easy to make your payments on time because your schedule will be consistent. You’ll pay a set amount on the same date each month. This date will be something that you discuss and negotiate with the specific lender that FastLoanDirect pairs you with.

Your monthly payment amount will also be consistent. Unlike a credit card, which you need to pay back based on the amount of money you spend each month, a loan is broken down into even and unchanging monthly installments. You can budget more easily when you know what to expect.

Lenders Are Pre-Vetted

When you work with FastLoanDirect, you don’t need to worry about being paired with an unreputable or unscrupulous lender. We vet every one of the lenders we’re partnered with to make sure that they’re trustworthy and reliable.

This means that you know that you’re signing binding documents that keep you safe by holding the lender accountable. It also means that you don’t need to worry about your personal or financial information being stolen.

Getting a fast emergency loan is a safe and secure process. This peace of mind is extremely beneficial to those who have anxiety regarding money or data breaches.

You Can Use It for Anything

Payday loans are generally used as fast emergency loans. This means that people get cash to pay their rent, buy groceries, purchase basic necessities like clothing and diapers, get medical treatment or pharmaceuticals, or pay utility bills.

However, when you apply for cash advances, you don’t need to disclose what you plan to spend the money on. This means that these loans can go to other things like wedding planning. You can even take out a loan, head off on your dream vacation, and pay it back when you return.

This is a great way to finance things that you wouldn’t otherwise be able to. Payday loans can help you live life to the fullest!

Payday Loans Are Unsecured

There are two types of loans that borrowers should know about:

• Secured loans, which use your property as collateral (such as your house, automobile, or collection of jewelry/other items with financial value)
• Unsecured loans, which do not use any property as collateral

“Collateral” means that you lose the property if you do not make your installment payments. The loan requirements dictate that it will be repossessed if you fail to pay your loan back. Understandably, this can cause a lot of stress for borrowers.

Luckily, a fast emergency loan is unsecured. You don’t need to worry about losing your home or vehicle.

The Application Process Is Simple

The application process for getting a loan with FastLoanDirect is also extremely easy. All you need to do is:

1. Select the amount you’re looking to borrow (between $100-$35,000)
2. Fill out the online form based on the prompts our website gives you
3. Wait less than a day for us to pair you with a lender that has already approved you
4. Communicate directly with the lender to negotiate your APR and payment plan
5. Sign the documents that the lender requires you to
6. Check to make sure that your next-day direct deposit goes through

You should receive the entire sum you applied for upfront. Short-term loans come in lump sums. In short, it’s extremely easy to get up to $35,000 in your bank account within the next couple of days.

You Can Consolidate Debt

Some people use payday loans to consolidate their credit card debt.

If you have multiple cards that have high balances on them, you’re going to be paying several bills each month. This can be difficult to organize and remember. You’re more likely to miss payments or get them in late, which can be detrimental to your credit score.

However, you can get a loan that will pay off all your credit card bills. When you do this, you’ll only have a single loan to pay back. This makes keeping track of your money (and remembering to make payments) much easier.

APRs Aren’t Too High

Another benefit of loans for debt consolidation is lower APR (interest) rates. “Payday loans have unmanageable APRs” is a common misconception. In fact, in many cases, a fast emergency loan will have a lower APR than major credit card carriers offer.

FastLoanDirect works with lenders that offer interest rates starting at just 5.99%. You will also be able to talk with your lender about interest and come up with a plan that works for you. Since interest will be evenly distributed in the payback plan, you are also unlikely to take much of a hit.

Get a Fast Emergency Loan Today

Now that you know some benefits of getting a fast emergency loan, it’s time to get started. FastLoanDirect is excited to pair you with a lender that best suits your needs.

You’ll get the funds you need to get back on your feet ASAP with consistent monthly payments and a manageable APR. Fill out our quick and simple form to start spending or investing today.