What Potential Borrowers Need to Know About Mobile Loans
Mobile loans are processed on a smartphone or tablet. These unsecured loans pay home repairs, medical bills, and personal emergencies. Mobile loans are easy to apply for and deposited directly into the bank account. Fintech companies and alternative lenders offer mobile loans.
Recent studies have shown that almost half Americans need easy access to a $400 emergency loan. Payday lenders, on the other hand, often care about their customers and provide them with short-term loans to assist them in dealing with the financial impact of unplanned costs.
- Mobile loans are unsecured loans processed on a smartphone or tablet for home repairs, medical bills, or emergencies.
- They are easy to apply for and deposit directly into the bank account. Fintech companies and alternative lenders offer them.
- The maximum loan amount varies by lender, ranging from $100 to $5,000, and payback periods from a few weeks to a month.
- The application process is fast and completed in minutes. Eligibility requirements include an active checking account, proof of income, residency, age, and non-military status.
- Mobile loans have advantages over payday loans, such as more transparency in terms of interest rates and fees.
- Mobile loan amounts may be withdrawn through ATM or cheque/wire transfer, with processing times varying depending on the lender.
- A credit score is a numerical representation of a person’s creditworthiness.
What Are Mobile Loans?
A mobile loan is a small, unsecured loan that is applied for and settled via a mobile device. Typically, these loans are unsecured and are utilized to cover various costs, from urgent car repairs to unexpected medical needs. Mobile loans often have a streamlined application procedure and short approval time, and the money is sent straight into the borrower’s bank account. Financial technology (fintech) firms and alternative lenders often provide mobile loans compared to conventional banking institutions.
How Much Can I Qualify for When Using Mobile Loans?
The lending company sets the maximum loan amount for a mobile device. Some lenders have minimum and maximum loan amounts, while others consider salary and credit history. Mobile loans are often lower amounts and have shorter payback periods than bank loans. Loan amounts fall between $100 and $5,000, with payback durations ranging from a few weeks to an entire month.
How Long Does It Take for My Mobile Loan to Be Approved?
The time it takes to have a mobile loan authorized varies based on the lender and the loan’s specific terms. Certain online lenders take minutes or days to accept the loan application and fund the account.
Mobile loan application processing times are often far shorter than regular bank loans. The application is handled entirely online, so it is fast and easy to submit and obtain a response.
Mobile Loan Eligibility Requirements
GreenDayOnline doesn’t grant mobile home loans based on credit checks, so applicants’ credit scores won’t matter.
However, GreenDayOnline has some down payment requirements that enable borrowers to qualify for a loan. The following are some of the eligibility requirements for getting a mobile loan from GreenDayOnline:
- Borrowers must have an active checking account
- Must be a resident of the state where GreenDayOnline operates. Zip code
- Have proof of income, such as a regular job.
- It is helpful if borrowers are over the age of 18 years
- Must not be an active member of the military or their dependent.
These requirements are relatively easy for most people to meet, and it only takes about five minutes to complete the mobile loan application.
How safe is it to apply for a mobile loan using my phone?
Safe mobile loan applications are possible with due diligence. Be sure the loan application procedure is safe and the lender is reliable. The following are some factors to think about:
- Check The Company’s Legitimacy: To ensure that the lender of choice is legitimate, check the company’s website address. Only opt for companies with a website beginning with HTTPS instead of HTTP. Companies’ information is usually encrypted to prevent hackers from gaining access to private details. The URL address bar must also contain a green padlock. Sites with this icon are typically safe, and all communications are encrypted.
- Check other things than encryption. Verify the firm before applying for a mobile loan. The company displays all its details on its website, including the address and contact details. Users access all the company’s terms and licensing information on the website. Apply for the mobile loan after verifying these data.
The Advantages of Mobile Loans Over Payday Loans
For example, mobile loans from GreenDayOnline are usually transparent when providing details such as interest rates and other fees. These help a person to know the exact amount needed to repay. It is easy to plan and avoid any inconveniences of handling hidden cash advance fees.
Can I acquire a loan using my phone?
Yes. GreenDayOnline allows individuals to apply for a loan using their mobile devices. The entire lending process is optimized for mobile phones to make it easier for users to apply for loans. The whole application process takes less than 10 minutes.
What do I need to qualify for a mobile loan?
Listed below are some of the details borrowers need to qualify for a mobile loan.
- Email and phone number
- Source of income
- Contact information plus the home address
- A checking bank account
- To confirm if borrowers are active members of the military or their dependents.
- Social security number
How long does it take to access money?
How long it takes for the money to be withdrawn from the account is determined by the kind of account the borrower has and the chosen withdrawal method. Withdrawing money from a checking account through an ATM, for instance, results in instant money access. It takes some extra time for the funds to be processed and delivered if one asks for them to be sent to individuals through a cheque or wire transfer. Borrowers need to contact their bank or financial institution to gain a more precise time frame for when borrowers expect to receive the funds.
Does a mobile loan affect FICO credit score?
Yes, a mobile loan is shown on the credit record, affecting the FICO score. How well a borrower handles the loan determines its impact on the credit rating. Paying bills on time and in full helps credit rating.
What is a credit score?
A credit score is a numeric number assigned to a borrower following credit or a loan. A credit score from 300-900 shows credit companies how likely someone is to pay back the credit. Credit scores vary from 750-850 when applying for credit cards, while for payday or installment loans, the range is 500-700.
Why do credit scores matter? Credit score matters because lenders want to ensure they’re putting their money somewhere worthwhile. The lenders typically feel they are getting an excellent investment if someone has high credit (generally over 700).
How credit score affects the loan process?
The credit score determines the interest rates for loan amounts, credit limits, and credit types.
The higher the credit score persons have, the more likely they are to be offered a lower rate by lenders. Low or bad credit scores affect the ability to approve credit cards or lines. They even prevent borrowers from receiving cash advances in some instances.
How does GreenDayOnline help with my credit score?
GreenDayOnline sends an advance notification of the lender’s decision within seconds of completing our process when approval is confirmed via mobile phone. The GreenDayOnline platform allows anybody with a mobile phone and an email address to apply for credit cards, credit lines, personal loans, and cash advances based on credit scores. GreenDayOnline is expanding access to credit to those historically excluded due to poor scores.
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.