PersonalLoans.com Bad Credit Loans
How this service works is once the applicant completes the application form they will match them with appropriate lenders from its large network. PersonalLoans.com's approach enables it to lend to a larger pool of potential borrowers. So the company is a particularly appealing option for those with weaker credit scores as it serves those with scores as low as 500 to borrowers with near-perfect credit scores.
Loans can be used for anything from auto financing, debt consolidation, paying off credit cards and buying a new home.
- Peer-to-peer: Instead of borrowing from a traditional financial institution, the applicant will be borrowing money from an investor. This type of loan allows you to borrow about $4,000 to $35,000. In many cases the borrower will be assessed an origination fee of anywhere between 1% and 5%.
- Personal installment: In this instance, a borrower can take out a loan of anywhere between $1,000 to $20,000 and you borrow directly from a bank. In this case, the terms will face regulation from the state in which you live.
- Bank personal loans: This type of loan is typically taken out through a local bank. However, the application is usually completed online. In this instance, you will receive a loan ranging from $1,000 to $35,000. However, applicants must earn at least $3,000 per month in order to qualify.
While many may see PersonalLoans.com as simply a middleman, the benefit of the company is that it saves a borrower from having to research dozens of lenders before submitting an application which may eventually be denied.
While PersonalLoans.com does not require any documents to be faxed or electronically transmitted, each individual lender will likely have its own specific documents required for verification. In addition, if a borrower is connected to a peer-to-peer lender, it is increasingly likely that the borrower will be required to provide even more personal information. College transcripts and proof of employment are among the documents a borrower could be asked to submit.
Once a borrower chooses a lender and agrees to terms, payment is dispersed within one week.
The terms of the loan will vary depending upon the lender's requirements. Normally, borrowers can expect a repayment period from as low as six months to as long as 72 months. The option for a shorter repayment period has particular appeal for borrowers taking out smaller loans. However, it should be noted that the majority lenders who allow six-month repayment plans are high interest payday loan lenders. So it may ultimately be cheaper to opt for a longer repayment term. The average repayment term is between 12 and 36 months, but the majority of Personalloans.com's affiliates do not charge prepayment charges. This is a bonus but potential borrowers will want to be certain that their chosen lenders are among those who do not charge for prepayment if the borrower does intend to pay ahead.
Another benefit of Personalloans.com is that it can aggregate loans and allow a borrower to accept offers from multiple lenders to reach their desired loan amount. PersonalLoans.com aggregates loans ranging from $1,000 to $35,000.
The interest rate will also vary depending on criteria determined by the lender the service matches the borrower with. This means applicants can receive an interest rate as low at 6.00% APR all the way up to 36.00% APR. However, in the event that a borrower is connected with a payday lender, the interest rate could climb as high as 150%.
Along with a simple application form, the service touts expedited service pertaining to receiving loan funds. Depending upon the lender the borrower decides to go with, they can expect to receive their loan funds in as little as one business day, making this is a great option to consider for those that need emergency cash.
However, the biggest drawback to using this service is since PersonalLoans.com is only a matching service. As a result, the applicant won't know the lender they borrow from until after completing the short application. From there, the borrower will want to research the lender they might go with to ensure they are reputable, which can take time.
Moreover, with a wide range of interest rates available, if the applicant has a lower credit score, it's likely they will receive a rate no different than if they use a credit card or try to receive approval through a traditional lender.
Great customer service is a primary strength for this company. PersonalLoans.com is a customer-focused business and has one of the easiest to use websites a borrower will ever log-on to. The company's website is filled with a plethora of information about the service and the industry in general. In addition, Personalloans.com features an informative frequently asked questions page. As a result, a potential borrower is unlikely to need to contact the company's customer support to answer simple questions. However, in the event that you do need direct help, you can reach representatives during its 8 a.m. to 5 p.m. business hours via telephone. And if you need support after business hours, Personalloans.com also has e-mail support which typically responds to all inquiries within a few days.
Verdict - Good
This site makes it simple for borrowers to find all the options available to them. It's important to note that it will be an expensive option for applicants with low credit scores due to the high interest rates charged.