If you’re interested in a personal loan, you have many options. There are tons of lending options from banks and credit unions to online personal loan lenders. The challenge is knowing who to give your business to, who has the best rates and terms, and which lender is right for your financial background. Choosing the wrong lender could lead to financial hardship later on, so it’s important to take the time to compare personal loans.
Here are three tips for comparing personal loans and finding the right source of funding.
Focus on features.
When comparing personal loans, it’s important to remember that not all lenders are a fit for every type of borrower. Some lenders only work with borrowers who earn high incomes and have excellent credit. Other lenders provide subprime loans to those with poor credit. Then there are lenders who can serve borrowers with a wide range of credit and financial backgrounds, like Uprova.
Determine if a lender offers the loan product you need. If you’re looking for a payday loan, a typical personal loan website probably can’t help you. Other features to pay attention to include:
Loan amounts – Does the lender provide loans for the amount you need?
Funding speed – If you need funds right away, you’ll need a lender that can provide approval and deposit funds within the timeframe you need.
Know the exact cost of borrowing.
Some lenders charge fees like origination and prepayment, while others don’t. Some lenders charge these fees depending on the borrower and their financial background. You’ll also want to understand the lender’s late payment policy. If you want to pay off your personal loan quickly, make sure you don’t have to pay fees to do so.
Compare personal loan lenders.
One benefit of personal loan lending sites like Uprova.com is that some allow you to check your rate for free without impacting your FICO credit score. This allows you to compare personal loan lenders and get the best loan possible. While it can take time to compare lenders, it’s a vital step in ensuring you secure a loan with competitive terms.
Summary
Comparing personal loans can be an overwhelming process with so many options to choose from. However, choosing the wrong lender could lead to issues with your loan down the line. Take the time to research lenders, find out if they offer the features you need, what rates they charge, what loan amounts they offer, and if they can fund your loan in your timeframe.
If you need fast funding, Uprova can fund loans up to $5,000. You can get started now for free and if approved, receive funds in as soon as one business day.