Even if you are a stable professional, you will find yourself in certain situations where a loan is necessary, especially after realizing that your current funds aren’t going to be enough to cover the expenses. This is a common scenario when you are planning to buy a house, a car, or any other physical asset. Filipinos will also find a need for a loan particularly when an emergency arises, making it a useful financial avenue to address their needs.

When you are short on cash, you have to present proof in the form of paperwork when physically applying for a traditional loan. This will serve as proof that you can pay it off.

With an online loan, the concept is essentially the same, but with the integration of technology, it is easier to go through the motions and receive the loan faster with lower interest rates.

What are the benefits that can be gleaned from online personal loans, which make it better than in-store loans? Let’s break down the important points.

Convenience

The major advantage you can get from applying for a loan online is unequaled convenience. You can just fill out an application form by providing the needed details from the comforts of your own home.

An internet connection and a computer or smartphone are the only tools you need. You can download an app and follow the simple step-by-step instructions to apply for a loan and qualify in no time. After your loan has been confirmed, the proceeds will be deposited into your nominated bank account, quick and easy.

24/7 Application

Banks have strict cut-off times and are closed during holidays, giving potential borrowers less time to process their loans. This isn’t an ideal set up when you need cash in an emergency.

With online loans, you can apply anytime–even on a bank holiday, while in-store loans are restricted to within the store’s operating hours. This is far more inconvenient compared to websites that do not have closing times.

Despite this round-the-clock availability, you should be aware that applications may not be processed instantly since some lenders only do so during office hours. This means you can send an application form any time, but it might not be assessed right away.

Before you apply for an online loan, it is deemed prudent to check the processing time of the lender, which is indicated on its website or app.

Lower Interest Rates

When applying for a loan, do your research and compare loan options carefully. It should be noted that most of the online lenders offer high-interest rates with hidden charges, and some banks offer low-interest rates for personal loans.

With online lender, Cashalo, a low fixed monthly interest rate is charged to those who are granted a loan, plus a minimal processing fee without any hidden charges.

Instant Tracking of Progress

Information about your loan eligibility, repayment options, and applicable charges, including the fees and interest rates will be displayed on your personal account. You can just log in to check how much of your debt is left after a specific time of paying it off including the list of payment dates.

Easier Access

In a traditional in-store loan, you need to speak to a representative to find out if you are eligible. With banks, it is necessary to submit the necessary paperwork through an actual visit.

But with online loans, the application can be done in a few, no-frills steps. You can easily determine if you meet the lender’s minimum requirements, which include your personal and work information, bank account details, and a valid government-issued ID.

Fast Process

In an emergency situation, having immediate access to funds is crucial, so the quick processing of an application is one of the most convenient features needed in getting a loan.

In a traditional loan, you need to book an appointment and be there in person for processing your approval. There may be a queue and you will need to travel, which both take time. If you find yourself needing emergency cash, this is awfully inconvenient.

When you choose to go the online route, applications are processed much faster, which can lead to as close to instant cash as you can get. Everything is submitted electronically, removing the risk of misplaced documents. The smooth and straightforward procedure will have money added to your bank account within a day or, for some, an hour.

Easy-to-Understand Terms

Many borrowers find themselves in a state of confusion when going through the terms and conditions of a traditional loan. They can be hard to follow, which can lead to errors in making payments. This isn’t good both for the lender and borrower, so simplified terms are needed to make loans easier to handle.

This is where online loans can be better. Thanks to advancements in technology, the terms can always be reviewed at your leisure time, and the website or app has an online portal dedicated to answering queries.

Discreet / Private

There may be a certain amount of shame involved when people are in debt, so privacy is a concern. However, it can be tough to apply for a loan without anybody knowing since traditional loans need you to be physically present during application and processing.

Online loans are great if you want to borrow money discreetly. You can create a personal account in private through your mobile device and apply for loans with nary a soul ever finding out you are in debt.

Online lenders have made it much more convenient to grant applicants the emergency funds they need to pay off anything from mortgages to medical bills.

Thanks to technology, you are just a few taps of a button away from cashing in on a loan that offers all these benefits with some of the lowest interest rates.

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If you are the type of person who thinks ahead, register for Cashalo now. You’ll thank us later.