Guaranteed Personal Loans
When we come face to face with a real need and understand that we need money, we look for different ways out. But, in such cases, when we still decide to resort to a loan, it is crucial for us to really get it and do it as quickly as possible. That’s why we look hopeful when we see a sign that says “Guaranteed personal loan.” We want to make sure we get it. But what does a guaranteed personal loan actually mean?
What is a Guaranteed Personal Loan?
A guaranteed personal loan is a loan that basically has a high approval rate for borrowers. This also applies to borrowers with bad credit. Such a loan most often has either a limited repayment period (payday loan) or a repayment period of up to 24 months (installment loan). Generally, guaranteed personal loans are easy to get with any credit score and below-average income.
Is it Possible to Get a Guaranteed Personal Loan Approval?
Perhaps this is the question that each of us asks in the first turn. Unfortunately, despite the fact that such loans are considered easy to obtain, the borrower can still be denied them. This can happen due to your income range, debt-to-income ratio, or any other reason the lender will name.
So a lender cannot give a 100% guarantee that it will approve the borrower’s request for a loan before checking personal data in any alternative way.
What is a Guaranteed Personal Loan Good For?
Guaranteed personal loans can be used for any unexpected expenses. Unlike a mortgage, the borrower of a guaranteed personal loan is not bound by any obligations regarding the purpose of taking out a loan and is not limited by any restrictions. Some people use this loan to pay for some daily needs. Others use them to cover urgent needs.
The borrower can use the guaranteed personal loan for example:
- Payment of medical bills;
- Minor repairs in the house;
- Car repairs;
- Payments on credit cards or other loans;
- In case of lack of money for daily expenses;
- Payment of rent and much more.
How Fast will the Borrower Access the Money?
It would be wrong to name the exact dates since it depends directly on the lender, as well as the time when the loan application was submitted. At the same time, the trend is such that the borrower gets access to money at the maximum on the next business day. If the loan application was sent in the first half of the business day, then there is a possibility of receiving money on the same day.
How to Choose the Best Guaranteed Personal loan?
Choosing a guaranteed personal loan is not much different from choosing any other loan. The borrower should pay attention to the APR and the loan term in the first place. For the borrower, the reputation of the lender, interest rates, additional commissions, loan conditions, and the monthly payment amount are most important. At the same time, do not forget about the initial data: credit history and the loan amount that the borrower needs. As you know, the better the credit rating, the lower the APR. So looking for low rates with a bad credit history is useless.