How to Find the Best Fast Loans if You Need Money in an Emergency
If you need money really quickly then you might find that getting fast loans or payday loans can be the right answer for you. They will be able to be organised very quickly, which means that you will be able to get the money that you need fast. However, if you have not had a fast loan before then you may not know where to start with regards to finding one and even if you do find some you may not know what to look out for in a good loan.
How much would you like to borrow?
Representative Example: Rates from 49.9% APR to max 1333% APR. Minimum Loan Length is 1 month. Maximum Loan Length is 36 months. Representative Example: £250 borrowed for 30 days. Total amount repayable is £310.00. Interest charged is £60.00, annual interest rate of 292% (fixed). Representative 669.35% APR (variable).
The first step in finding the best loan for you is to think about what you actually need form the loan. Only then will you be able to match the loan to your requirements. These are the sorts of things that you should be considering :-
- How much do I need to borrow? – it is really important to make sure that you are borrowing the right amount of money. If you borrow too much, you will end up paying out more than you need. If you borrow too little, then you will end up having to consider taking out another loan in the future. Getting this balance right can be pretty difficult. However, if you contemplate how much money you need for the emergency that you have, how much you have and the things you will need to buy before you next have some money coming in, you should be able to work out exactly what you need to borrow. This might feel really hard, but it will be worthwhile as it can make a big difference to how easy you find your finances to manage once you take out the loan.
- How much can I afford to repay? – it is really important to work out how much you can repay. Some loans for 6 months will require a lump sum payment on the day that you get paid. This could be too much for some people. However, you may also have the option of repaying in smaller amounts across months or even years. This will allow you to spread the cost of the loan and it will be much easier to manage. If you take a look at your usual financial situation each month, you will be able to work out how much you will be able to afford to spend. This will enable you to chose a loan which has a suitable repayment plan that you will be able to afford.
- How much am I prepared to pay for the loan? – it is good to think about how much you are prepared to pay for the loan in total. If you have a dire emergency then it might be that you will be prepared to pay anything. However, it is likely that you will have a limit of some sort and therefore will need to think hard about what you are prepared to spend.
- Do I need a well-known lender? – some people will prefer to go with a well-known lender. This is usually because they feel that they are more able to trust a lender whose name they know. However, it is not always a good idea to think like this. If you have heard of a lender, think about why you have heard of them. It could be that they have been in the press, you have seen an advert or something like that. None of these things mean that they will necessarily be a good lender. It is much better to go for a lender that comes highly recommended, whether or not you have heard of them.
- Do I want good customer service? – it can be wise to think about whether you feel customer service is important to you or not. For some people it is a really critical thing as they feel that they want to make sure that they are able to feel comfortable and confident if they need to contact customer services. They might feel that it is likely that they will need help, either with the application process or when they have the loan and they want to be sure that they will be able to get it.
- Do I need the process to be simple? – it is also worth thinking about whether you need a nice simple application and repayment process. Some people are more used to doing this sort of thing that others and therefore they will be more confident. However, you may feel that you do not want things to be overcomplicated and therefore will be looking for something which is nice and simple to do.
Once you have this information, you will then be in a position to be able to look for a loan. You will want to find out about the different fast loans that are available to you and think about whether they match your criteria. Although this sounds quite straightforward it may not be. This is because there are lots of loans and lenders in the market and so checking each one will take time. You will also need to look in detail to find out the information that you need. For example, it might be quite straightforward to calculate how much the loan will cost, as the lenders will often have a calculator to enable you to do this. However, to find out whether they are well-known, how good the customer service is, how simple it is to apply and things like this can be harder. This is because you will need to research beyond the lenders website and look at reviews or speak to people you know that have had loans, so that you can find out. This means that it could be wise to see if there is a better way which is also quicker.
Why It Pays to Use Credit Brokers
One way to make the process easier is to use credit brokers such as Boutell as they can help to pair you up with a lender. What you do is simply go to their website and put in the details of the lender and loan that you require. Then they will send you the details of a lender that you can use. This can speed up the process and you can still check out extra details about that lender before you apply if you want to.
If you are in a desperate hurry then this can be a good compromise. It is unlikely that anyone would have the stamina to search all of the lenders to see which was the best for them anyway. Even just searching through a dozen of them could take too long as if you are looking for a fast loan it is likely that you will not have very much time to do any research anyway. Even if you do have the time, it is possible that you will be concerned about your situation and that stress and worry might make it difficult for you to make rational decision anyway. Getting a company to help you out by doing this for you could make it a lot easier for you to be able to get a loan organised quickly.
Is a Comparison Website a Good Idea?
These are something which more people may have heard of and might think would be a better alternative than a credit broker to speed up the process. There is no doubt that they might make things quicker, but they may not be better. This is because comparison websites are limited. You will enter a few details such as how much you want to borrow online and how long for and they will send you a list of the possible lenders and their costs. Although this can help you see which will be the cheapest it does not give you any other information and you will have to do research yourself to find out whether the repayment arrangement suits you and look up other details about the lender.
There is also another thing to consider which is the fact that comparison websites get paid through commission on the leads that they generate. This means that they may only choose form lenders that pay good commission and not all of them. It is easy to make the mistake that these comparison sites will assess every single lender and choose the best for you, but they will actually assess form a small sub set of lenders that pay good commission for them and let you pick the cheapest for you from those. This could mean that you end up paying more than you might if you use other methods.
So if you want a fast loan in an emergency then it is worth making sure that you do not panic and rush more than necessary. You need to have a think about how you will quickly find the most suitable £300 loan for you. This could mean that you will need to get help and a company such as a credit broker can be really helpful for you. They will be able to sort things out quickly for you and pair you with a suitable lender that will be able to provide you with the money that you need. There are other options as well such as using a comparison website which could be biased towards recommending products which pay them the most money or doing the research yourself which could take a considerable amount of time.