Six-week loans are a great opportunity to cover up your budget holes or get additional funding for any enterprise or plan you have. Without any questions, a lender can transfer you the money offering manageable rates and loan conditions. Below you will learn about the most essential steps and tips on getting approved for a 24-week personal loan with bad credit.
How does a six-month personal loan work?
If you have bad credit or if your FICO score is lower than 670, then a standard (long-term) personal loan might not be an option for you. However, if you have a bad credit score and need money urgently, then a 6-month loan can be your perfect solution.
Whether you apply online or in a physical store, the money gets transferred to your account within the next 24 hours, 2-3 working days at most. According to the repayment schedule, you will be making monthly or bi-weekly payments to repay the loan. Most often but not always, this schedule will depend on your payday schedule. The last payment is usually bigger than the rest since processing and additional fees are added to the last repayment sum, so keep this in mind when planning your budget.
How much do 180-day payday loans cost?
The total cost you will have to repay on top of the borrowed sum heavily depends on your lender, your loan sum, your financial stability, and even your local state regulations. Payday loans generally have a very high interest rate percentage, so be ready to pay between 20% and 2,000% of interest. In case you decide to go with a 24-week personal loan, you can expect the interest to vary from 7% and up to 250%. Add to that processing fees or fixed-payment fees to get the total cost of a loan. To calculate how much you will need to return to the lender, you simply need to take your loan sum + loan interest + processing fees; add these and you will have the exact number.
What do you need to look for when comparing 24-week loans?
Half-a-year loans can come in different shapes and formats, namely:
- Payday loans
- Personal loans
- Auto-title loans
Whenever you decide to go with payday loans, remember that they have the highest interest rate so this is, basically, the most essential factor for comparison. If you select 6-month personal loans as your choice, make sure to compare additional processing fees that may vary significantly depending on the lender. Auto-title loans are a rare alternative for half-a-year loans; most often lenders would require you to pay within a month but some dealerships might go for six months as well; in this case, compare the interest rate as well.
What are the benefits of a 180-day personal loan?
The greatest advantage of 24-month personal loans is the speed of their approval. It takes about 24 hours to file the application, hand in the papers, get an approval and receiver the money transfer on your account. In rarer cases, you will wait up to three business days. Besides that, the benefits of 180-day personal loans include:
- Application convenience. You can apply both in-store to get a prior financial consultation from a lender or click several buttons online to receive the money transfer.
- Independence from the credit score. Even if your FICO score is bad, you can still get a 6-month personal loan since lenders do not check it.
- Automatic payments. This is an option for you to choose, but many lenders would advise deducting the repayment sums automatically from your account.
- Credit score improvement. Once you repay a personal loan on time and without any delays in the repayment process, you can easily improve your credit history and score. In fact, this is one of the easiest credit score health-activities you can opt for.
Am I eligible for a 6-month payday loan?
Note: payday loans are not available in all states so even if you are eligible to get one and your state prohibits such loans, you will not be able to apply for one. Keep in mind that Massachusetts, for instance, completely bans payday loans; New Hampshire heavily regulates them, and bad credit payday loans in Florida are absolutely legal. So before checking if you are eligible, ensure that your state allows these loans; if not, consider applying for a personal loan instead.
The eligibility criteria for six-month loans are generally the same for lenders in all states, however, particular peculiarities may take place so it is highly advised to carefully inquire about the requirements the selected lender has:
- Residency: to apply for a loan in state X you must be the resident of state X
- Age: 18 and higher
- Citizenship: US or proof of permanent residency
- Steady income: it is better to show proof of employment for at least three past months and also bring bank statement for the previous half a year
- Checking account: even though not obligatory, it is highly appreciated and acts as an additional “for” factor
How can I find the right 24-week short-term loan for me?
- Check loan legibility in your state
- Collect all paperwork you have (check the point above)
- Contact several lenders to learn about their 180-day personal loan conditions
- Compare received answers
- Contact the selected offers to get more insightful information and discuss possible improved conditions (some lenders might lower your interest if your FICO score is good others would consider lower processing fees due to the long-term employment)
- Scrupulously review your budget and consider if you can afford monthly repayments set by the lender
How do I apply for a six-month payday loan?
To apply for a 6-month personal loan you only need to meet the requirements stated above, have a package of documents that prove your eligibility, and a filled-in application form. The application is as simple as possible since personal loan lenders tend not to go into the in-depth credit history and score checks as banks usually do.
How do I compare my 180-day loan options?
Whenever you are in the process of selecting the right lender for your financial situation and six-month loan needs, here are the top points to compare them by:
- Interest rate. Depending on the loan type (payday or personal loan), the interest rate will vary tremendously. So check the offers and make notes about the rates proposed to you.
- Repayment terms. Some lenders would allow later flexible repayments, others would reinforce additional charges for the overdue repayments. Besides that, the payments plan might require you to pay once or twice a month which also may or may not suit you.
- Approval period. This point would generally go around a day, three at worst for short term loans like a 6-month personal loan. However, if you need the money tomorrow and the approval process is two days, this might be an issue. Consider this factor as well.
- Fees and other charges. Missed and late payments might be subject to additional charges, processing fees always take place with 180-day loans. Do not forget to ask about the changing interest rate should you miss a payment and other payments you might be obliged to.
To sum up, 24-week personal loans are a great opportunity to receive the required money fast and efficiently without any in-depth checks even with bad credit. Whatever your loan sum is, always ensure that you are able to handle it without missing or rescheduling payments to avoid any possible charges from the lender. Should you understand that half-a-year personal loan is easily manageable, consider applying for a 5-month personal loan to shorten the repayment period and hence lower the interest rate. In case 6 months seems to be too short for you, remember about the options of 7-month loans that might be extended up to a year.Get Started Now!
- 1 How does a six-month personal loan work?
- 2 How much do 180-day payday loans cost?
- 3 What do you need to look for when comparing 24-week loans?
- 4 What are the benefits of a 180-day personal loan?
- 5 Am I eligible for a 6-month payday loan?
- 6 How can I find the right 24-week short-term loan for me?
- 7 How do I apply for a six-month payday loan?
- 8 How do I compare my 180-day loan options?