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Borrowing money isn’t exactly unusual. People have been doing it for as long as money has existed. But borrowing money online? In the grand scheme of things, that’s a relatively new development. No wonder there are plenty of misconceptions surrounding the experience.
Myths can confuse facts and complicate your borrowing experience. To make sure you’re only working with the facts, let’s learn about short term personal loans and dispel their biggest myths below.
1. They’re Complicated
If you’ve ever ordered clothes over the Internet, you have the skills to apply for short term loans online. The setup for these two digital tasks is remarkably similar. With one, you’re filling out your financial details to buy a new pair of jeans; with the other, you’re sharing this information to receive funds.
Borrowing online is easier and more convenient than in-person alternatives, as you won’t have to take time out of your day to visit a physical branch. You can apply for and receive your funds anywhere you get Internet.
And, just like your favorite e-retailer, most online loans direct lenders are available 24/7. That means you can even apply in the middle of the night if that’s the only time that works.
2. You Need a Desktop Computer to Apply
Few people have a large family desktop computer anymore. Most hop online using mobile devices like laptops, tablets, and smartphones, so it only makes sense that online loans direct lenders update their sites to accommodate this tech.
You can find loans by phone using mobile data or Wi-Fi — just make sure it’s a secure connection when you do. You’ll be sharing confidential banking info in your application, and you don’t want to expose it accidentally.
3. You Can Expect Zero Customer Support
Online personal loans are backed by powerful tech that can speed through most of the borrowing process, but humans are still involved in key steps. These customer service representatives will call you to verify your information and go over your loan contract should you be approved. They’re also there whenever you have a question or concern about your online loan or profile.
4. They’re All the Same
It’s easy to talk about short term personal loans as if they’re all identical financial products. But this shorthand is misleading. In reality, personal short-term loans comprise a long list of individual products.
Short term refers to how long you have to repay what you owe, and it can mean anywhere from a few weeks to a few years. Cash advances, payday loans, installment loans, and lines of credit fall under this timeline, and each one will come with different rates and terms depending on your lender.
5. They Aren’t Available with Bad Credit
There’s no doubt that bad credit can complicate borrowing money, but it shouldn’t stop you from finding a loan online. Remember the last myth about variety — this includes options for people with bad credit. With some digging, you can find online loans direct lenders who don’t require prime credit to qualify.
Online Borrowing, Debunked
Whether you do it online or in-person, borrowing money is a big decision. Get informed about your options before you sign along the dotted line. Look beyond the myths for the truth, and you’ll be in a better position to make good decisions.