To avail a personal line of credit, nowadays, you don’t need to go anywhere. It’s just you and your internet-enabled smartphone. Since the onset of technology, availing a personal loan has become as easy as ordering food from your smartphone.
Moreover, during emergency times, such a loan helps a lot in order to fulfil the needs. Now, there are times when people require instant funds without any hassle. This is where a personal loan steps in!
What is a personal loan?
As the term suggests, it is a type of loan that is borrowed from a financial institution to help cover any kind of personal expenses. This can be a home renovation, medical bills or even debt consolidation.
Further, these loans are typically unsecured in nature, which means that they do not require any collateral and are repaid over a fixed period of time (Between 1 to 7 years). The interest rate on a personal loan depends on the lender’s policy, the borrower’s credit score as well as history.
What are the 7 benefits of having a personal loan app on your mobile phone?
From convenience to transparency, such applications have tons of benefits which help the borrower in the long run. Moreover, such an app has somewhat become mandatory nowadays to keep a track of your finances.
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Convenience
Personal loan mobile apps allow individuals to apply for a personal loan from anywhere and anytime they wish. This has offered them a lot of conveniences and has cut down the need to visit the bank or any financial institution.
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Transparency
With such an application installed on your mobile phone, you can track the status of the loan application in real time and receive updates about the progress. This undoubtedly offers greater transparency and clarity.
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Instant Processing
These applications tend to use advanced technology and automated processes to review and approve loan applications. This basically means that you can easily get the loan approved and disbursed faster than the traditional methods.
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Personalization
Some applications that are available on the Play Store/App Store offer personalized loan options based on factors such as credit score, monthly income, and other financial factors.
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Flexible
These applications offer flexible repayment terms that include longer periods as well as the ability to make early repayments without any penalty. This helps individuals manage finances much more efficiently and avoid late payment fees.
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Lower Interest Rates
Many applications offer a lower rate of interest than the one offered by traditional banks, making it a more affordable option for borrowing money. This helps the borrower to manage the finances in an effective manner as they have to pay less in interest amount.
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Security
Personal loan applications often secure technology to protect your personal information. This includes two-factor authentication and encryption, which provides high security and peace of mind while applying for a loan online.
Conclusion
If you are in need of emergency funds, then apply for personal loan without any hesitation. It has a lot to offer, and that too with just a few taps. Furthermore, if you are planning to go for a credit card in order to access urgent funds, then take a step back and change the path!
