Due diligence is vital for any loan you’re considering taking out, and this includes direct loan options like title loans and personal loans. As you do your research for a quality personal loan, for instance, there are several specific qualities of the loan that you should be prioritizing to ensure you get a good deal and aren’t being taken advantage of.
At 1st Choice Money Center, we’re happy to explain the details of any of our personal loans or other short-term loan types to clients who want to know more about them. As you’re evaluating your options here, what are some of the top things you should be looking for in your loan? This two-part blog will look at several considerations.
Low (Or No) Fees
Fees will typically be part of the conversation when it comes to personal loans, but lenders vary pretty widely when it comes to how they’re used. Generally, the most common fee that usually can’t be avoided is the origination fee — this is just the fee a lender takes in exchange for processing your loan. Other possible fees might be things like late payment penalties, check processing charges or even something called a prepayment penalty (which is exactly what it sounds like: a fee you’re charged for paying off your loan early).
In an ideal situation, you want to avoid as many of these additional fees as possible. Many personal loans can be obtained for nothing more than a small origination fee (1-5% of the total) and don’t penalize you for prepaying, for example. You can check the fine print of any loan agreement to see what kinds of fees might apply.
Immediate Funding
Many people are taking out personal loans for immediate expenses, such as emergency home or car repairs. In these kinds of situations, you obviously don’t want to wait around for days or weeks to get the money you need — you want it as soon as possible.
The good news is that, in general, personal loans can be obtained pretty quickly after approval. At 1st Choice Money Center, for example, we can fund personal loans within 24 hours in most cases. Other lenders may have a similar timeline, or it could be even faster. It’s definitely something you’ll want to ask about when you’re considering different loan options.
In fact, many of our personal loans are funded on the very same day as the application is made. We take pride in offering quick funding for our clients because we know that when they need money, they need it fast.
For more on what you should be looking for in any personal loan you’re considering, or to learn about our personal loans, title loans and other installment loan types, speak to our team at 1st Choice Money Center today.