Payday lenders claim to offer easy installment loans. And on the surface, payday loans do appear to be easy, especially those that are administered online. The application process can be completed on your own computer and typically requires well under an hour. If you’re approved funds from the loan are deposited automatically into your bank account. Repayment is easy too – the payday loan company makes an automatic withdrawal from your account on the designated day. But beware of what you might actually be getting yourself into.
The Payday Loan Trap
At first glance, payday lenders may appear to offer quick and easy installment loans. If you have a job or other source of steady income plus a checking account, qualifying for payday loans is often both quick and easy. Repayment, on the other hand can quickly become a lengthy nightmare.
Automatic repayments are actually intrinsic to the payday loan trap. That’s because the repayment period for what payday lenders call easy installment loans is often barely longer than that for conventional payday loans. Add astronomical interest rates and the result is a majority of borrowers who are unable to repay their loans in full. That triggers the trap – the first of what often becomes many renewals, each of which increases rather than reduces the amount that you owe. There’s nothing easy about that.
What About Banks As A Source For Easy Installment Loans?
Very few people would claim that banks offer quick and easy installment loans. The installment loan part of the equation is covered: personal loans from banks and finance companies usually carry manageable repayment periods – often at least 12 months or even longer.
But qualifying for bank loans is far from easy for many potential borrowers. Especially since the beginning of the financial crisis, many banks have significantly tightened their lending standards. Borrowers with less than stellar credit need not apply. And the application process for bank loans can move very slowly.
LoanNow offers truly easy installment loans that match the initial convenience of payday loans – but with reasonable repayment periods that are measured in months, not weeks or days. Our technology-driven operations and superior underwriting allow us to minimize costly defaults and overhead – and pass the savings on to you in the form of interest rates as low as 29 percent. ◊
We make the application process for our loans easy too. Our user friendly website and standard online-only application process takes the anxiety out of the application process for the vast majority of borrowers.
All the verification is completed online with no paperwork and no faxing required**. Most borrowers receive a response within 24 hours†, and borrowers who complete the application and approval process before 4 p.m. Pacific Standard time can receive their money within minutes*, thanks to our innovative Instant Funding‡ technology.
But we also have a mission to help as many people as possible. So we look beyond FICO scores and review each applicant’s entire financial profiles, which allow us to approve many borrowers who have been turned down by other lenders. As a result, our underwriters sometimes request certain applicants to provide additional documentation. When we do request additional documentation, we explain exactly what we need and why we need it. With LoanNow, transparency is an essential element to how we work.
At LoanNow, easy installment loans are more than a gimmick, a slogan or an advertising angle – it’s what we do. If you’d like to experience the LoanNow difference, why not start your application today!
Tommy A. Moore, Jr., is a co-founder of First Investors Financial Services Group, Inc. ("FIFSG"), a financial services corporation founded in 1989 and located in Houston, Texas. Since 1989, Mr. Moore currently has served as the President, Chief Executive Officer and as a director of FIFSG. Mr. Moore was elected to the additional position of...
General Items Loan and Installment Software ( Non Auto )