Want to Know if You’ve Chosen the Wrong Lender for Your Personal Loan? Here are Some Signs!
Are you confident about selecting an appropriate lender for your personal debt needs? Was due diligence conducted before committing to terms? Choosing a personal lender is not easy as the lender chosen will be part of your life for years until you repay your loan. You depend on your lender to process your payments and attend to customer service issues when required. In return, you shell out large sums of money. It’s obvious you would carefully choose an appropriate lender for your needs. Go through the following indicators to assess if your personal loan lender is a good fit for you…
THERE ARE MANY CONSUMER COMPLAINTS AGAINST YOUR LENDER
Some lenders are quick at applying for payments, handling customer issues, and managing loans. However, others have created trouble in the past. A borrower would desire smooth sailing while working with any lender. In such cases, you must be cautious and verify if your prospective lender is involved in problems in the past. Consult the Consumer Complaint Database of the Consumer Financial Protection Bureau to find out such details. Type in your lender’s name and search. Also check the Better Business Bureau ratings of your lender. Consumer reviews available online also are very helpful.
THE SURPRISE FEES
Always compare the total costs to be incurred between one loan and another. Normally, you pay the origination fees and need to pay the late fees and the pre-payment penalties. It’s the lender’s responsibility to make the lending terms very clear. Often, a lender asks for higher fees and if eligible for lower interest rates, that makes sense. Avoid the services of any lender who doesn’t reveal your exact charges and the details when availing a loan or going through the payoff procedure. If your lender slaps a surprise fee suddenly during your repayment process, you need to step back and look out for someone who is more transparent about charges levied.
YOUR LENDER HAS YET TO FLESH OUT THE LOAN TERMS
Certain other things like the interest rate and the repayment terms enable you to calculate the entire loan cost. Setting down all terms clearly while applying for the loan, is the sole responsibility of the lender. Once done, you choose from among many loan products. Is your loan a variable rate loan or a fixed rate loan? For variable rate loans, the rate of interest during the period of repayment could soar. With an increase in interest rates, the total loan costs automatically rise.
THE LENDER TAKES TOO LONG TO PROCESS LOAN APPLICATIONS
People look for lenders when a financial necessity arises. Reasons to borrow money are many. You may pay off high-interest debt or aim for a big purchase. While borrowing, you would want the loan processing by your lender to be quick and non-cumbersome. How much time does it take to check the paperwork, approve the application, check sureties and release funds? There are many loan lenders in the market who complete the entire process and fund your loan within a week. If your lender takes too much time, identify a new one. Certain signs indicate that you need a second personal loan provider. If you find yourself trapped in the above scenarios, search out a new lender.
More in Debt
The Rise, and Rise of TikTok – Part I
Like TikTok, Musical.ly was developed in China and was founded by Luyu Yang and Alex Zhu in 2014 at Shanghai, China....September 22, 2021
$9 Million is What Justin Bieber and Hailey Baldwin are asking for Their Beverly Hills Mansion as They Move to a More Expensive Home
The pair appears to be keen on selling their home after spending $26 million on another massive home. After having sized...September 21, 2021
Hong Kong’s Top Actresses Lead Surprisingly Extravagant Lives!
All have heard about Hollywood, but how many have heard about Hollywood of the East, the Hong Kong film industry which...September 20, 2021
It’s the Famous but Forgotten Bling Ring’s 10th Anniversary Already
Nancy Jo Sales, Vanity Fair contributor wrote about a group of Los Angeles teenagers who became famous after ripping off their...September 17, 2021
The Best Foods You Need to Stock Your Pantry With if You’re Following an Eco-Friendly Diet
Climate change and food are linked in complex ways. The global food industry needs energy to grow, transport, sell, cook, and...September 16, 2021
Will Smith is Giving You a Rare Chance to Live the ‘Fresh Prince of Bel-Air’ Life on Airbnb
It’s exactly been 30 years since the first episode of the now-iconic show, ‘The Fresh Prince of Bel-Air’, aired on NBC....September 15, 2021
This Victorian-Style Home in the Bay Area Cost Julia Roberts $8.3 Million
Pretty Woman star Julia Roberts is no stranger to the real estate scene in California. Aside from the two properties in...September 14, 2021
Loved Watching the 2020 Olympic Games? Here are the Richest Sportspersons Who Participated in It
The 2020 edition of the Tokyo Olympics was delayed by one year and held amidst much controversy, due to the COVID-19...September 13, 2021
Heading to NYC? Why Not Stay at The Best of the Best?
We know that you’re just itching for that next vacation or staycation at the earliest possible date. If you’re heading to...September 10, 2021