We all need an influx of cash from time to time. What are your short term loan options? The question is, how do we get the cash that we need? There are all sorts of loans available to people with all kinds of credit ratings. You don’t have to miss out on a loan because of bad credit anymore. Let’s take a look at some of the options.

Installment Loans

An installment loan or short term loan can be described as a loan for which there are a fixed number of payments to be made over a predetermined period of time. Many different types of loans fall into this category – from auto loans and mortgages to some personal loans and more. The thing about the big financial institutions likes banks, is that they require a lot of paperwork and you have to have relatively good credit to get them. What if you don’t have good credit? What if you need an amount of money that is too small for most banks to consider? What if you know what you need the money for and you need it right now?

In fact, figuring out the use of your monthly installment loan shouldn’t be that difficult. You probably know why you need the money as soon as you know you need it. The question is, what type of loan do you need? You need to determine this before you go any further.

Payday Loans

Everyone should know by now that payday loans can be dangerous, and in fact, they are known to be predatory. Payday loans are loans that have a short duration coupled with high rates of interest. Typically, they will need to be paid back on the very next payday of the borrower… which can lead to the borrower not being able to make ends meet and having to go through the process all over again.

Debt Consolidation

Some people look to get loans in order to consolidate their debts. This can be a good thing and can even give their credit score a boost in the process. The question is whether or not you need a secured or a short term loan to consolidate your debt?

When you need to borrow some cash, you have several short term loan options. These options include things like borrowing from family or friends (which should always be a last option), getting a cash advance from one of your credit cards, getting a traditional loan from a financial institution such as a bank or credit union, getting a payday loan, or getting an installment loan.

Secured Loans

If you go to a bank, they tend to offer two options for loans – secured and unsecured. A secured loan is a loan that needs to have a form of collateral. This could be the deed to your home, as is the case with mortgage loans. If you default on the loan, the collateral will become the property of the lender. One of the benefits of a secured loan is that you can claim the interest that is associated with it as a tax write-off.

Short Term Loans

Unsecured loans typically don’t need any sort of collateral and this is what most short term loans are. You are able to get the money you need and then pay it back in a short period of time. The rate of interest might be a bit higher on these because the lender is taking more of a chance since there is no collateral.

Direct Lenders or Brokers?

Be careful when landing on a broker short term loan page as there may be hidden charges, some brokers will charge you for just finding you a loan!! Short term loan direct lenders are the safest bet, or brokers who do not charge you for their services

What to Look For

Anytime you need a loan of any kind, there are some things that you need to look for when you are researching your options. One of those things is the quality of the lender. Knowing that you will be dealing with a lender that is qualified as well as compliant with all regulations can give you a significant amount of stress relief, especially if this is your first time borrowing.

You also need to look at the total package and the terms. Whether or not you are the type of person who likes going through all of the legal jargon, you really should compare all of the fine print for any loan you are considering. You need to know exactly what is involved and what the penalties will be if you make a late payment or default on the loan.