Personal Loans With No Credit Check: Some Factors to Bear in Mind
The average loan approval waiting period has shortened considerably in recent years, but the attraction to personal loans with no credit check remains extremely high. It is not just the time saved by the lender not looking up the credit details of the applicant, but also that what mistakes were made in the past is ignored.
The result is a greater confidence amongst applicants that they will get the green light. And with fast cash loan approvals more or less certain, the ability to deal with the financial emergencies that pop up from time to time is assured.
Still, there is no such thing as free money, and for those seeking quick access to a personal loan, there are criteria and conditions that should be met and considered. And as long as the little details are understood, such loans can be as beneficial as they were designed to be.
Basic Criteria to Qualify
Despite the promise of fast cash to handle financial emergencies, lenders are never willing to throw money to anyone. There are criteria to meet if an applicant is to qualify for a personal loan with no credit check. While these are quite basic qualifiers, they are nonetheless essential.
The first is that the applicant is in full-time employment, but must have held that job for a minimum of 90 days before the date of the application. This is important when looking for fast cash loan approval as the lender needs to know whether the borrower has a reliable source of income.
Secondly, the applicant must have a checking account, and have had it open also for at least 90 days. This is so that the funds (if approved) can be transferred to the borrower directly, and that repayment can be automatically transferred out on payday so the personal loan can be cleared. The final condition is that personal identification be provided.
Select Your Terms
There is no guarantee of approval, but most online lenders allow their customers to choose the terms that suit them. This is done very easily online, where the process of getting a personal loan with no credit check involves clicking a number of boxes, providing essential information and pressing the submit button.
Applying online is the fastest possible way of applying for a loan, and with no delay cause by lenders checking credit details, it means that fast cash loan approval, and funds transfer into a checking account, can be achieved within 24 hours.
When filling out the application, the lender will ask a series of questions requiring some simple preferences. For example, what personal loan sum is needed ($100 to $1,500), and the repayment period (14 to 180 days). The shorter the term, the higher the pressure to repay. With 6-month repayment terms, the pressure is much lower.
It is important to read the small print on the contract and to understand the conditions it stipulates. Often, what looks like a good deal turns out to be a disaster because details were overlooked. Personal loans with no credit check tend to come with severe penalties for late repayments, so this needs to be taken into account. With short-term loans repaid after maybe 30 days, the entire loan needs to be cleared, so the pressure can be extreme.
However, after fast cash loan approval is granted and the loan is repaid, then an applicant is free to apply for another loan. This can mean accessing 5 or 6 loans each year which, while expensive, can see the credit score gradually improve. So, through these modest personal loans, it is possible to regain financial status with an improving credit score.