Personal Loan Tips & Tricks
Getting a personal loan can be a big decision. Many questions might be going through your mind around whether you need it, what you can use it for, and how much you should borrow. At QuickCash, we’ll work with to help you get the best possible deal on your personal loan. The personal loan process isn’t as difficult as it may seem but it’s important to do your research before you get any type of loan.
Here are some tips and tricks for when you’re thinking of getting a personal loan.
Tip # 1 Figure out why you need a personal loan
Whether you need a new car, want to renovate your house or need some emergency, figure out why you need the personal loan first. A personal loan can help you get a job done or help you out in times of need. It’s important to know what you need the loan for so you have an idea of how much you need to borrow and don’t end up in the deep end of not being able to keep up with the repayments. Many people find that it’s easier to take out a personal loan if they already have a good personal credit score and a decent salary that’ll help them pay back the loan in time.
Tip # 2 Research the type of personal loans available
Personal loans can be used for a wide range of things. Most of the time you don’t need to agree to use the money for a specific purpose. Types of personal loans include car loans, boat loans, caravan loans, holiday loans to emergency loans. Whether your car has broken down and you need money to repair it or even buy a new one, you can get a personal loan for this. If you need a break from your routine and you’re looking to book that next holiday at the beach, you can apply for a holiday loan with us. If you want to buy real estate or maybe it’s time to renovate your house and you need some extra cash, you can get a personal loan for any of these situations. It’s useful to know your options when it comes to the types of personal loans so you don’t get it mixed up with something that you may need a different type of loan for, such as a small business loan.
Tip # 3 Figure out if a personal loan or business loan is better for your situation
Business loans are used for business matters and personal loans for personal matters. If the loan you’re looking to take out will be used for business activities such as paying for a new property, used to pay for new stock, used as part of your marketing budget, or pay for things such as the electricity bill for your business, then a business loan is the better option for you. A business loan can’t be used for personal spending such as medical bills, personal cars, or to go on holiday. If you want to use the money from the loan for these sorts of business expenses you should check out applying for a business loan instead.
Tip # 4 Check the process of how to apply for a personal loan
One of the most important tips for personal loans is for you to find out the process of applying for a loan and the things you may need to get your desired loan. You can apply for a quick personal loan through QuickCash.We provide a range of loans that are fast and easy to apply for. When applying for a loan with us, it’s all done online and you could have the cash you need in your account within 25 minutes, depending on your circumstances.
The process of applying for a loan through QuickCash, is quick and easy. All you need to do is apply using our online application form. There’s no need to print anything, scan anything or even visit the bank. This means you don’t have to wait in long queues or read through towers of paperwork. You can sign the form online as well. The form helps us get an idea of your situation and the type of loan you need. The form will ask you information such as how much cash you need, how many weeks you’re going to pay it back in, how often you can make the repayments (weekly, fortnightly, monthly), the date you can make the first repayment, your city and whether the loan is only for you or whether it’s a joint application.
Tip # 4 Make sure you know what you need for a personal loan
Some loans are unsecured (this means you don’t need a security item) whereas some loans are secured (this means you need to provide a security item that is valued more than the loan amount you’re trying to take out). This is a crucial personal loan tip. You need to know the type of loan you’re getting into and whether what your loan lender requires.
Secured loans require a security item. You can use a vehicle, real estate, or boat for security. The value of these need to be more than the amount you borrow and if you’re using a vehicle it needs to have a current WOF and registration. For motor vehicles you’ll need to know information such as the registration plate number, make, model, year and whether there’s any money owed on the vehicle. For a boat, you’ll also need to enter information about the make, model and year.
If you choose real estate as your security, you’ll need to enter the address and approximate mortgage balance. You’ll also need your passport or driver’s licence as a form of identification, a bank statement, and proof of security item.
Tip # 5 Check if you need to put down anything for the personal loan such as a deposit
In some cases your loan lender may require you to put down a deposit for the loan. It’s important to check this because it’ll help you figure out whether the loan will be worth it for you or not. With secured loans, you only need to put down an item for security. This means the security you put down just needs to have a value more than the amount you’re borrowing for your personal loan. As mentioned earlier, examples include, house, commercial property, vehicle or boat. Usually no cash deposit is required.
Tip # 7 Check how much you can borrow for a personal loan
Online you can apply for a loan up to $10,000. If you need a loan higher than this, then call us on 0900 784 252 for a custom rate on loans over $10,000. We can have a chat to work something out. At QuickCash you’re in contact directly with the lender, this means you don’t have to wait for approval from multiple people or have your case be transferred across departments.
Tip # 8 Try not to borrow more than you can manage
It’s easier to pay off a loan that you know you can afford. Even if you can apply for a loan up to $10,000 online on QuickCash, it’s helpful to be realistic. Before applying for a personal loan assess your personal financial situation and figure out how much you can comfortably borrow while still being able to make the payments on time.
Many people find it helpful to have a repayment and spending plan in place so you know exactly how much money you have coming in and going out. This will help you stay on top of things. At QuickCash we want the loan to work out for you, so keep us updated on your situation and we’ll help sort out the best deal that’ll work for you.
Tip # 9 Check how you can get approved for a personal loan
Getting approved for a personal loan depends on each individual lender. Usually they look at your personal credit history and your personal income. The amount and loan repayment length that you’re approved for may be determined by these factors. If you have good personal credit and income then you have a good profile for a loan to be approved.
At QuickCash, with every application we do a credit check. This is used to assess your application with a range of other information. If you have bad credit we might still be able to approve your loan, but it will depend on all of the other factors, like your affordability, the security and how much you’re borrowing. Our loan approval system at QuickCash is fast. Once you’ve submitted the form online, we’ll assess the information you’ve provided in less than 25 minutes. Approved loans can be signed electronically and you could have the cash in the same day.
Tip # 10 Check your credit score for a personal loan
A credit history and credit file is a list of all your credit transactions. This includes any loans you’ve taken, credit card history, if you have a mortgage, basically any borrowing of money. The credit report sums up all this history and calculates a credit score. It’s used to figure out whether you will get a loan or not. The higher the credit score, the better it is. This determines your creditworthiness, every company has their own way of calculating this and your credit score. It depends company to company what a good credit score is.
At QuickCash, we use software that scores everyone’s application using data from credit checks as well as records of property and vehicle ownership. Additionally, all the information in your application will help determine your situation when applying for a business loan. If you don’t have an existing credit history it can be difficult to come up with a credit score and figure out your credit, spending, borrowing patterns. The history helps determine your future habits.
Tip # 11 Find out what an applicant score is
At QuickCash, our software scores each applicant using data from credit checks, land/vehicle ownership records, online public records and your repayment history with other lenders. Our system also records how many times you’ve changed mobile numbers, moved to a new address, changed employment or failed to keep your vehicle’s WOF and registration current at all times. You can retain or improve this by keeping us informed of any changes in your situation.
Tip # 12 Find out what the interest rates are and whether there are any payment penalties
At QuickCash our interest rates are set according to the Loan to Value Ratio (LVR), using the amount borrowed and the security available. We don’t have any secret fees, our interest rates are fixed, and we don’t charge extra fees if you’d like to pay off the balance of your loan earlier than initially intended. This may save you money since you don’t have to pay the extra interest. We’re flexible and want the loan to work out for you.
Tip # 12 Keep all the details handy
Finally, remember to keep all these details that you’ve researched handy so you have it in case anything comes up. From the contact details of your lender to the loan contract agreement. It’s up to you to stay on top of things and make sure the payments are made on time and all the details of your loan are correct.
Keep these tips and tricks in mind when you’re looking to get a personal loan. It’ll help you stay informed and on top of the loan that you’ve taken out. This means you’ll avoid stressful situations if you’re aware of everything before getting into the loan. At QuickCash we’re here to make this process as easy as possible for you. You can apply for a personal loan online or get in touch with us on 0800 784 252 any time if you have more questions.
Disclaimer: This article is intended to provide general information only. It does not take into account your financial needs or personal circumstances. It is not intended to be viewed as investment or financial advice. Should you require financial advice you should always speak to an Authorised Financial Adviser.