(Newswire.net — March 2, 2020) — What options do you have if you need a financial boost before your next paycheck? Storefront lenders are one of the alternatives that you can consider. Online payday loans are becoming popular by the day, but the good old storefront lending is still here with us.
Online loans have their advantages. You can borrow from the comfort of your home or office and get the money deposited in your account. Storefront lenders still have their distinct appeal, though.
Physical Location of Storefront Lenders
The lenders have an actual office that you walk into. To begin with, this reduces the chances of fraud. There have been cases of online loan facilities asking for loan processing fees, and in the process conning unsuspecting applicants. This occurrence is unlikely when you have physical interactions with the lenders.
Once you walk into the office, you have face-to-face interactions where the entire process is explained to you, and you get answers to any questions that you may have. If you need any assistance with the application process, you can get that too. At the end of it, you walk out with your money.
Storefront lenders strictly follow the laws of the state, and you can be assured of being protected from exploitation. The regulators have a keen eye on them, which is easy since they have an accessible address. This may not be the case with online lenders.
Before using online lending services, you should know about the difference between online lenders and storefront lenders.
Your credit history is one of the critical factors that the mainstream financial institutions will look at when you need a loan. Many applicants are disqualified on this basis.
With storefront lenders, your bad credit will not stand in the way of your loan. As long as you have a regular source of income, you’re a candidate for financial help. Some of them may require that you deposit a post-dated check as a security for your loan. Others do not have such a requirement. They trust that you will pay your loan once your paycheck comes through since you have a consistent income.
Short-term loans protect your credit rating. Think about it; if you take a long-term loan, which, for instance, takes you years to pay back, anything can happen during that period. You can lose your job. Your business can fail. You can fall sick and end up directing most of your finances to medical care. You end up defaulting the loan, and that dents your credit score. Taking up a short-term loan reduces the chances of such unforeseen circumstances.
Fast and Convenient
The process of applying for a loan from a conventional bank is nothing short of a headache. You require to fill forms and submit a horde of documents. This process could take weeks, and even then, there’s no guarantee of approval.
Storefront lender businesses take the least of your time. It is possible to receive an instant approval of your loan, or a couple of hours at most. The application process is brief, and even in the case where your application is rejected, you’re notified right away so you can seek an alternative.
Short-term loans are for those who need the money right away. Maybe your electricity bill is due. Or your car has broken down. Or you need medication that the insurance is not catering for. At such an instance, the last thing you want is to have to fill pages upon pages of applications. Storefront lenders make the process simple for you. You walk in, provide the necessary details, and walk out with your money.
Besides, the money is not tied to a particular use. When you get a loan from a say, a car loan, or a mortgage, you can’t divert the money to any other cause, even in the case of an emergency. Such is the rigidity of bank loans. Storefront loans are flexible, so you get to spend the money as you deem fit.
Another advantage of storefront lenders is that they raise your limit as you go along. As a new borrower, your loan limit is fixed, mostly depending on your income. Once you pay the loan on time, most will raise your limit so you can borrow a higher amount.
Where can you find a storefront lender? You can check online. Even if these companies require you to walk in for a loan, they still advertise online. You can be sure to get a couple of them in your locality. Go through their websites to view their terms and conditions, to help you narrow down. Knowing precisely what is required of you also makes the process shorter once you walk into their stores.
You do not have to get stranded or broadcast your issues to family and friends in the name of getting a loan. We have lenders willing to serve you at a moment’s notice.