Installments loans are a boon in disguise for people who need money to tide over urgent financial needs. These loans are similar to the payday loans and require minimum documentation for approval. Since these are short term loans, you will be amazed to learn that the interest rates too are quite affordable. There are number of people who would like to have a short term loan to meet various expenses that crop up every now and then. Installment loans are at par with payday loans; in fact, it is better than the payday loans on certain aspects.
The installment loans can act as buffer during financial emergencies and they have become more relevant because of the dwindling economy. People can often face unwarranted expenses that can’t be avoided and since the pressure running the household in the current economy is taking a huge toll on one’s savings, it is wise to opt for the installment loans. The installment loans are similar to the payday loans but differ only in terms of the repayment schedule. These loans can be taken on any day of the month and can be repaid before the next payday. One can even opt to pay it off in multiple installments, which purely depends on the agreement between the borrower and the lender. This is a great advantage that can be enjoyed by opting for the installment loans.
Payday loans are already under the scanner as analysts feel that these loans tend to increase the borrower’s long term debts. There are many instances where the borrowers had to apply for a fresh loan to pay off the payday loans. Installment loans make life easier for the borrowers by allowing them to repay the amount over a long period of time.
Installment loans can be availed even by the borrowers who have a bad credit score. Finance companies tend to give other loans based on the securities provided by the borrower and this can often be a big hurdle for people who do not possess anything to mortgage. The credit check in the case of installment loans is completely absent thus allowing the borrowers to face fewer hassles while securing a loan. The installment loans are short term small loans which can be repaid by any salaried individual.
Approval of installment loans can be had within a few hours and the money is credited to the bank account of the borrowers. This is an easy loan and the entire loan approval culminating into disbursal does not take more than a day.