It appears to be the latest trend in loans these days, installment loans. An installment loan provides great flexibility for borrowers while offering a simple loan process. One strong advantage of an installment loan is the repayment plan options. Borrowers are able to repay the money over several months. This makes such loans more affordable and not as much of a challenge to repay. Some lenders may not propose these same options.
Installment loans may also be referred to as a personal loan. The widely known definition for this type of loan is installment loans can be repaid over a set period of time with a set amount of scheduled payments.
When compared to loans like mortgages, installment loans are noticeably smaller but larger than the average pay day loan. They are specifically arranged for individuals in need of higher cash amounts immediately. Installment loans can range from $1,000 - $10,000.
Consumers select the route of installment loans for many reasons. Below is a list of common reasons why a typical consumer could opt for an installment loan.
Before you sign an agreement for a loan to buy a house, a car of other large purchase, make sure you fully understand all the lender's terms and conditions, including:
The Truth in Lending Act requires lenders to give you this information so you can compare different offers.
With every borrower there are various reasons for needing money fast. Because of this, there are numerous installment loan options. Some loans in particular will have higher interest rates depending on a borrower's credit score or total loan amount. To view a general snapshot of the costs associated with installment loan amounts, please refer to our rates and fees page to see a chart of loan amounts and typical interest rates associated with them.