They may seem to be widely available, but how difficult is one to obtain? Is a quick loan right for you? What are the differences?
These days it is not unusual to need cash in a hurry. A quick loan is an obvious option. Unless you already have an existing banking relationship, getting a quick loan from any bank may prove impossible. Even if a loan approval is forthcoming, the application process can take the ‘quick’ out of the loan. In many instances, that is why many consumers make use of alternative lenders.
An alternative quick loan may be had at various establishments such as car title loans or even pawn shops. Choosing among these and other quick loan lenders often becomes a simple case of which is most convenient.
There are perhaps other more important considerations. Which quick loan option is the most cost effective? How much cash is offered with each quick loan? What are the terms of the quick loan? What are the risks?
Of the group, car title loans generally allow for the largest quick loan amount. Often times these quick loans reach into the thousands of dollars. The reason for this is the relatively high value of automobiles. Simply put one generally can borrow more on a car than is the case with the few hundred dollars most often allowed with a other quick loan or a similar amount with pawning. Proceeds from the quick loan are normally available the same day. The borrower enjoys continued use of the vehicle. One risk of default is repossession.
As a quick loan, some loans may be had in moderate amounts. A solid work history and agreeing to direct debiting (ACH) for repayment are normally required. This means a bank account is required. Getting the money from this quick loan type may be the same or next day. Payment is generally required bi-weekly.
Frequenting a pawn shop for a quick loan is an age old practice. One borrows money against some possession, commonly jewelry or electronics. The quick loan cash usually is available the same day. However, one must leave the collateral at the pawn shop and risks losing ownership should they fail to make loan payments.
When considering any quick loan bear in mind that interest rates are typically high. Carefully consider any additional fees involved. Seek lower cost loans whenever possible. Finally, any quick loan should be repaid quickly as well.