A sudden unforeseen expenditure or a financial necessity can often force one to look at the option of applying for a cash loan. And sometimes a pre-planned activity or goal such as higher education for your kids can lead you to explore the option of applying for a cash loan.
The good news is whether your need falls into the category of an emergency or pre-planned activity, there are many options for you to get everything from fast cash loans to instant cash loans or short term cash loans. All you need to know is some basics on how to approach the best source that is a reputed bank or a licensed money lender who can guide you on how to apply for a hassle-free cash loan.
But before you approach a money lender, you should know what a cash loan is. Here is a brief summary- A cash loan can be described as a short-term credit that can be taken in the form of personal instalments. You are required to pay a fixed interest rate and you enter into a predetermined period with your lender. You are expected to return the amount within the stipulated period to ensure that you do not incur any penalty.
This predetermined tenure can range from a few months to a few years depending upon your ability to repay the funds. Short term cash loans, as the name suggests, come with a shorter stipulated time within which you are expected to return the money borrowed.
Once you express your intention to borrow a certain sum to a lender in the form of an application, they go through your credentials to decide if you are a likely candidate for a cash loan. Once your application is approved, the required amount of money is credited to you in the form of a lump sum. You are now free to use the money all at once or as you need. The repayment terms give you the advantage of returning the money in smaller fixed installments.
Cash Loan Compare
Depending upon your need and urgency, 3 of the easiest and most hassle-free cash loans are:
Pay Day Loan: This is a type of loan you can look at applying when you are faced with a sudden, unexpected financial shortage. It is a sort of an instant cash loan where you get money credited almost immediately and comes in the category of short term cash loans where you are required to repay the loan as soon as you get your next paycheck.
This type of cash loan can be best described as a safety cushion for a person until his next salary arrives. When you apply for a payday loan you are not required to show any elaborate documents. The loans are approved mostly based on your salary slip and you are required to repay the loan in full along with the interest amount as soon as you are credited your next months’ salary.
A small loan: A small loan is a type of loan that provides for your needs or takes care of your needs especially during lets’ say slower business months. But a small loan can be helpful in also taking care of a sudden expenditure like a car repair or a house renovation. Usually, a small loan falls under short term cash loans that enable you to sail through a sudden expenditure that cannot wait a long time.
Micro loans: According to financial experts micro loans are best to be considered when you require a loan that is of a smaller financial liability and you are also in a position to return it soon enough, which is why they are the best option if you’re looking for fast cash loans or just doing a cash loan compare to explore the options you have. If you are in a position to repay sooner then you get an additional advantage as these kinds of loans also have a lower interest rate.
However, you have to make sure that you will be in a position to repay a micro loan as they work on the principle that the repayment period is much shorter than other long term loans. Micro loans are also far less small, so they may not be best suited for all your financial needs or situations where you may have a recurring expense and do not know beforehand how much money or the loan amount you would actually need.
