Your search for an ideal source to obtain loans has brought you here. Approaching a bank as a prominent institution of lending is a priority for many. Stable financial status is a pre-condition in this case that some borrowers might not fulfil.
They are left with no option but to drop the idea of borrowing to cover an urgent and trivial purpose. It is because established lenders will look for strong and concrete assurance for loan payments at the time of offering loans.
Imagine a situation when you need financial help but have poor credit scores. In this situation, some loan providers will enquire about a guarantor who can support you in repaying loans within time. On the other hand, you can obtain loans with no guarantor from a direct lender.
It means when you apply with a private loan provider, you do not even have to produce anyone to meet payments on your behalf. They will simply validate a few essential traits of your financial profile. It would be enough to assure them of the chances of successful approval.
You can see how their unconventional way of lending can compel you to choose them as an alternative to mainstream lending. Stay here to learn about the other perks of applying with an online lender than with traditional loan providers.
Why opting for a direct lender can be the best bet?
Do not give less weightage to the offerings of these lenders just because they are not traditional providers of loans! You can easily spot the difference in many following ways. It will totally depend on the type of requirement you have for deciding the right source to extract money.
In most cases, direct lenders are considered for short-term funding as that involves less risk and less requirements from their end. However, you can research on your own to find the conditions that follow any borrowing action concerning a sizeable amount of loan.
What are the aspects that set them apart in the lending industry? Find them here.
When working with a direct lender, you do not have to be very serious about the purpose. Nevertheless, borrowing money without any strong reason would be foolish because you will be under an obligation to repay them on time. You must take out cash to fill up any funding gap and not sponsor any personal desire.
The only difference is that you can borrow from them without explaining the purpose provided it is for small requirements only. You do not have to elaborate anything on how and where you will need the money. Besides, some loans could be purpose-specific like Christmas loans in the UK.
You must utilise these loans to handle any financial challenge that you might be facing during this festival. It could be purchasing gifts for family and relatives or decorating the home for an evening party. Until the amount you draw out matches the necessity and your financial potential, borrowing should be a last resort for you.
Expedient lending conditions
You must have come across the instance of flexibility in the initial part where anyone with low credit scores can apply for loans without a guarantor. Besides, you do not have to pledge any collateral as an alternative way to gather funds for some pressing needs.
These lenders will have an interest in knowing your affordability which needs a soft check. The best part is that this verification does not leave any imprint on your credit profile. You should be able to meet current necessities with a stable income from whatever sources.
This aspect can prove you eligible in the eyes of the lenders. Therefore, the requirement is not something that you cannot meet despite being in a tricky situation. They further do not complicate the repayment process and let you pay back in small amounts for months.
No delaying in loan disbursal
You must be thinking amidst all good things to get from a direct lender you must have to deal with the processing delay. However, you will be delighted to know that due to the modernisation of their approach, these loan providers tend to process any application at lightning speed.
The documentation part is negligible which lets you save a lot of time. The lender will collect the needed information from you in the form of an online application. Thus, no visit to the lender’s place is necessary and again you can save time.
Above, the steps to filter all the information you have presented are super-fast. It allows the lender to give out a response in no time. A positive decision will result in approval followed by a speedy transfer of money into your checking account.
This fast receipt of the decision from a lender is rare and cannot be expected from traditional loan providers. It is because they examine a lot of things ahead of concluding whether to give you loans or not.
When it comes to contacting a direct lender, you do not have to follow any strict schedule like working hours in the banks. You can get in touch with them from anywhere and at any time. All thanks to the mode of communication they facilitate to the borrowers.
You can easily take advantage of their online presence to put forth your query or loan request. Pay a visit to their website, and find the relevant page that can help you contact the lender. Enter the information you want to share with them and wait for their reply.
No need to keep waiting for a long to get a response from these lenders. They are prompt action-takers and like to help the loan applicant in every possible way. Since you can raise an online inquiry, you can reach out to them even at midnight.
The bottom line
You must have pointed out how contacting a direct lender can be blissful and time-saving for you at the same time. Be aware of your requirements and do not forget to cross-check the background of the lenders as some of them might be a scammer.
Leo Allende is a Senior Content Editor at Myfinancialloans. He is dedicated to give his readers the well-researched and fact oriented blogs with the in-depth study of the UK loan marketplace. He has won many prestigious awards in his long 13 years of experience while working with many reputed financial firms.
Leo Allende became the passionate of UK finance and loan market after joining Myfinancialloans where he parts in decision-making body. Leo has done Doctorate in Finance.