The internet has made life a lot more convenient, we now have the choice to do our food shopping online, book appointments online and communicate with our friends online. The ways we lend and borrow money has also seen a change, and thanks to online banking we can now transfer money easily from our phone or desktop.
Loan applications are no different. When you need to borrow money you can now turn to the wide range of lenders on the internet. There’s no longer the need to book appointments in advance with the bank, or sift through and sign additional paperwork, the whole process can be done without having to leave the house.
Read on to discover the benefits of applying for a loan from the comfort of your home…
One of the greatest advantages when applying for loans from home is that websites don’t have opening or closing times, giving you 24/7 access when submitting an online application. Traditional lenders business hours are usually restricted to 9am-5pm, but with online loans you can apply at any hour, day or night – particularly benefitting financial emergencies.
Lots Of Options
When you want to borrow money in person you will need to source a specific bank or high-street lender. Online there are far more options, so when you apply for loans from home you have the time and freedom to compare different products, lenders and interest rates. Proper lender research can ensure that you get the best deal on the market.
Whilst browsing online you can also utilise sites that have helpful financial tools like the Money Advice Service’s Loan Calculator to help you plan for your loan in greater depth.
Another benefit is the online access to reviews and ratings that can be found on lenders websites. All verified lenders should have customer testimonials to allow you to compare and get a better idea of the service you would receive.
All legitimate lenders can be found on the Financial Conduct Authority’s Financial Services Register, so once you’ve found a lender you can check to see if they are listed. The FCA is responsible for protecting people when they borrow money, regulating and enforcing rules that consumer credit firms are required to follow.
Online loan sites also use the latest technology to keep borrowers’ personal details secured, encrypting all personal information sent online with either 128-bit or 256-bit SSL.
Easy To Track
When you choose to apply for a loan online, most lenders will give you access to an online personal account where you are able to keep track of your borrowing. You will usually be able to view your outstanding balance, interest rate information and equated monthly installment (EMI) amount all from the comfort of your own home.
Online loans give you greater access to a personalised service, to help you manage your finances some lenders will even send you email and text reminders for repayment deadlines
Low Interest Rates
Because online lenders don’t have to pay expenses such as maintaining a physical bank branch, they are able to offer much lower fees and interest rates. These rates are usually fixed, which means you aren’t at risk of interest rates fluctuating during your loan repayment period.
Due to the fact there are so many lenders on the market, increased competition means you can find far cheaper options altogether when applying for loans at home.
In general it is easier to be approved for online loans as lenders have less strict eligibility criteria than banks and you will be able to find lenders that offer specific loans for people with poor credit scores.
As you’re researching your loan you can also check your credit report for free using Experian. This will allow you to view your latest credit information and get a gauge on how your report would look to a lender.
An unsuccessful loan application from traditional lenders could harm your credit score, but there are helpful tools online that you can easily use at home to protect your score. Find out the likelihood of getting approved for a loan using Money Saving Expert’s Eligibility Calculator.
Online lenders use the latest technology to deliver instant answers. When applying for loans at home applications are quick, simple and easy to submit and you will often find out if you’ve been approved in a matter of hours if not minutes. The speed at which you are able to access the loan money is also far faster than if you were to go through a traditional lender or the bank.
Applying for a loan online at home enables you to keep your financial matters private. You might not feel comfortable talking about your financial situation face to face, so discreet online application forms can eliminate this anxiety entirely.