Installment loans are the most common loan type but are known under different names or used in various methods. A personal loan is an installment loan from a bank or credit union. A credit card is also a loan because these products are paid back monthly.
The duration of installment loans can be months or sometimes years.
Fixed monthly payments help you plan based on your monthly income. The beauty of installment loans is that you can easily plan your repayments.
They are also good for larger purchases or for consolidating other high-interest loans into lower payments. Below, Greendayonline will explain these common types of loans, how to use one wisely, and how to get a loan with bad credit.
What Is An Online Installment Loan?
An installment loan is a type of loan in which a customer is lent money for a fixed amount of time. The loan is then paid off in monthly installments.
The monthly installments are set out in advance for six months, 12 months, 24 months, and up to 60 months. These loans are advantageous as the interest rate (APR) is set during the loan contract.
Instead of having variable interest rates, the interest rates are fixed in advance. The fixed-rate allows you to anticipate your monthly payment each month to avoid the variable rate that some loan types have.
When you repay an installment loan each month, you will repay some of the principal plus some interest. The origination fee on your loan application will be stated along with the repayment plan before signing.
GreenDayOnline Installment Loan Advantages
Online installment loans are a terrific way to boost your finances, even with bad credit.
- Greendayonline’s fast loans have a simple application process and no hidden costs.
- Once authorized for an installment loan, users obtain a set interest rate and pay predetermined amounts over time.
- Always know how much to pay each month, so you can manage your finances to repay debt.
- You can get a loan even with bad or poor credit.
- 5-minute application process
- Greendayonline lenders offer unsecured personal loans with no hidden costs and flexible terms.
- We can assist with credit card debt or unforeseen expenses.
- No prepayment penalties
We also offer payday and title loans. In most situations, you can get your emergency loan in one business day, so apply online today to discover what we can offer you. You can check out additional installment loan articles here.
How Do I Apply For A loan?
It is easy to apply for an installment loan. At the top of the page, there is a request form to start your application. Input your information accurately in order to get a swift reply for the lenders.
You may apply any time of day as our ping-tree software is always on and connected to lenders 24/7, 365 days a year. The process is completed in a few minutes and is entirely online.
Can I get Guaranteed installment loans?
No lender can guarantee any loan. Any lender who would approve every loan requested would soon go broke. Credit bureaus such as Equifax®, Experian®, and TransUnion® exist to judge borrowers’ creditworthiness for a reason. The lowest rates and guaranteed loans go to those most can afford them. That is consumers with good credit.
Having defaulted on a loan previously does not help, but there is still hope, even if you have a bad credit score. If you meet the minimum requirements, you can get an online installment loan with Greendayonline’s lenders.
It would help if you had some income to show that you can repay the lender. Still, our installment loans have much higher approval rates than traditional lenders like banks and credit unions.
How Can I Get Installment Loans With Bad credit?
You can get a bad credit personal installment loan with Greendayonline. We have up to 80% approval rates for borrowers who apply and are in full-time employment. Our lenders do not only look at your credit history when applying and because there is no hard credit check you have a good chance of being eligible for a loan.
Customers should note that installment loans are unsecured bad credit loans with sums up to $5000. Because of bad credit scores, your interest rates will be higher. Our online loans are one of the most popular options for personal loans, with monthly payments.
Installment loans can improve credit scores or fund mid-to-high needs like home repairs or rent. You should only apply if you can meet the repayment schedule, and we encourage lenders to borrow responsibly.
Do Installment Loans Have No Credit Checks?
Our lenders only do a soft credit check on you. This basic check on your details is less rigorous than a bank’s or other financial institution’s hard credit check. They will not do a hard credit check on you for smaller amounts. The lack of checks can help as too many queries on your credit score could damage your credit rating even further if you have bad credit.
The higher the amount the more likely your credit score will be checked. So think carefully about how much you need to borrow.
No credit check is not honest, and it is advertised by many websites online. Before a loan is distributed, there is always some form of analysis of your credit history, no matter how small.
Before approving any online application lenders need to assess credit scores, lenders will want proof of income or bank statements if you have poor credit. It also allows for more competitive rates for those who can have better credit and can secure loans.
How Do I qualify For A Loan?
To qualify for an installment loan the basic requirements are:
- Be a US resident citizen.
- Be over eighteen
- Have A Social Security Number
- Earn at least $1000 a month
- Have a bank account
- Email address
- A Fixed or cell phone number
Why Should I take out an installment loan?
You should take out an installment loan if you need it. Suppose you need cash badly and have an emergency. In that case, installment loans are one of the cheapest ways for bad-credit consumers to borrow money.
Here are four reasons how installment loans can help you
- Installment loans may be available to consumers with bad credit
- You can receive online installment loans with nearly fast approval.
- Depending on the lending company, your loan can take one to a few business days to approve.
- Unsecured online installment loans involve fewer fees than payday loans.
How Much Will The Loan Cost?
Here is an example of a loan taken out for 36 months at an interest rate of 11% for a borrower with good credit
- Total principal: $5,000
- Loan Term: 36 months
- Monthly payments: $163.69
- Total interest paid: $892.97
Here is an example of a loan taken out for 36 months at an interest rate of 98% for a borrower with bad credit
- Total principal paid: $5,000
- Loan Term: 36 months
- Monthly payments: $434.05
- Total interest paid: $10,625.71
Bad credit installment loans have a higher interest rate than good and fair credit loans. Installment loans are cheaper and more reliable than payday loans.
If you have bad credit, online payday loans may be more likely to get approved. If you’re in financial trouble, payday loans can be dangerous and should be used wisely.
How Much Money Can I get?
Our lenders offer cash into your checking account as soon as the same business day.
We can offer smaller loans of $100 or a $500 loan with monthly payments. Typically people might take out a payday loan for these small amounts, but it may be more convenient to pay the loan back over a few months rather than in one lump sum.
Can I Use Installment Loans For Debt Consolidation?
An installment loan can be good for consolidating your debt if the interest rate is lower than the one you are paying. A good example would be if you had multiple payday loans with high interest. An installment loan with a lower rate will make your monthly payments less.
Is A Direct Lender Or Broker Cheaper?
You may think the direct payday lender is cheaper but be aware that is only sometimes the case with online installment loans. You can get your money from a direct installment lender or a broker. The main point is you should check several lenders to compare loan rates and fees before deciding where to get a loan.
Some direct lenders need collateral to ensure customers can repay the loan. Most internet lenders want a consistent monthly income to assure repayments are met.
Payday Loans Versus Installment Loans
You should settle Online payday loans on your next payday. Payday lenders require a one-time payment at the end of the month, and the loan is terminated. Payday loans are short-term products and should be repaid quickly. They range from $100 to $1000 in most states, although there are some exceptions, like $255 if you reside in California.
Installment Loans, however, are long-term financing and can last years if you take out a mortgage. Many Americans are looking for personal loans with repayment periods over several months. Monthly payments mean you can plan your outgoings,
If you are ready for a payday loan for bad credit or an installment loan, call our customer service now at (800) 233-9435
What Are Other Types Of Installment Loans?
Examples of installment loans include title loans, mortgages, secured and unsecured personal loans, and car loans.
Title loans are secured on your vehicle’s title papers. The lender enables you to drive your car while the lender has security on your vehicle. By using the collateral in your car, the lender can give you better interest rates. Title loans can be 12-24 months, depending on the lender.
Monthly installments are typically paid over 24, 36, 48, 60, and 72 months. However, not all lenders offer these ranges.
If you don’t keep up with payments, a lender may seize your new car.
Make sure lenders disclose payments and hidden fees. Dealerships, banks, and credit unions sell them. Credit unions offer the best rates.
Monthly payments are made for 10 to 30 years. Your property works as collateral, like with vehicle loans, if you don’t pay.
Home mortgage loans have lower interest rates because they’re secured, and some have set payment rates that don’t alter.
Irrespective of the amount borrowed and monthly payments, always communicate with the lender. Mortgage lenders evaluate credit, income, and employment to ensure on-time loan repayment.
These can be utilized for debt restructuring or unforeseen medical needs. Personal loans don’t need collateral like a car or house.
The duration can be 12 to 60 months.
Installment loans, in general, provide cheaper fees than payday loans.
Online Installment Loan Lender Considerations
It would help to look for decent monthly interest rates when taking out an installment loan. Online lenders consider various factors while evaluating loan applications. The factors below determine your interest rate and APR.
- Your credit rating
- debt-to-income ratio
- employment length
Before depositing installment loans, lenders must be confident that customers can repay. Before applying for an installment loan, borrowers can try and improve their credit. Increasing your credit score could cut your rates.
Can I get installment loans near me?
You can get a loan agreement in your location that requires in-store applications. The reality is, though, these days, you will get a much faster answer online using the internet.
The lender may be based in a different state, but the conditions could be better.
By shopping around for online loans, you are at a great advantage over storefront locations, which may reject you one by one.
Jason writes about all financial topics such as loans, debt solutions, and bankruptcy. He is an expert when it comes to subjects like APR, loan fine print, debt collection laws within the United States. With his in-depth knowledge of all things financial, he is a great asset to Greendayonline.