Lately, more people are looking into obtaining a personal loan to weather the storm created by the coronavirus pandemic. According to the Federal Reserve, the number of nonrevolving debt accounts (including personal loans) increased by 4.8% between June and July 2020. But a shaky economy is also making loan approval harder.
Despite the uncertain times, it’s still possible to borrow money via personal loans. Explore your personal loan options via Credible, where you’ll see lender qualifications, rates, and terms.
Here are some things you should do as you prepare for the personal loan application process. Taking these steps ahead of time could help save money and meet your financial goals.
- Check your credit score
- Know your desired loan amount
- Compare rates and lenders
- Prepare all the paperwork
1. Check your credit score
This number is where your lender will likely start when they review your application, and it’s where you should begin your preparation work, too. You’re entitled to a free credit report from the three credit bureaus each year, and you can order yours through AnnualCreditReport.com.
Having good or excellent credit demonstrates that you are responsible and it helps banks and credit unions assess their risk of lending money to you. Your credit score can be the determining factor between being approved or declined for a personal loan…Read more>>