If you need a loan in an emergency, the best place to seek help is from non-banking lenders, due to less formalities involved. It is your best bet because it can be easily arranged in as little as 24 hours. No credit checks are involved and borrowers are not required to present any form of collateral. Even in an economic downturn, there is no limit to the amount you can borrow, especially when you have a good credit rating. This superb rating helps you best with banks. Whether you chose to borrow from banking or non-banking institutions, the tips below are important to be successful with your request.
Have a reliable job
Lenders have greater confidence in borrowers with steady jobs. They want to be assured that they can get their money back, and in good time too. Steady employment with the same company also increases your chances, as some lenders require that you must have been in employment with a particular company for up to three months before they can advance you loans.
Make sure your bank account is in good condition
To make any headway with getting emergency loans, make sure you have a current bank account, be it a savings or checking account. Ensure that it is not dormant, and you must have had and operated it in the last ninety days. Most lenders, both banking and non-banking alike, prefer to lend to people with a history of verifiable transactions. This is also a means of security, in case the bank has security contracts to help track down loan defaulters.
Have your paperwork in order
Your documents speak for you in the presence of lenders. They do not know who you are personally, but your documents can be used to verify certain information about you. Your ID card, social security documents, pay slips, cheque stubs, credit cards, invoices, and utility bills all speak for or against you in this case. Ensure that you do not have conflicting details on any of them. Also, prevent them from unauthorized use by any of your friends and family members, as any irregularities can stand as a stumbling block to your emergency loan request.
Shop around for the best interest rate
Due to the credit crunch and poor purchasing power of consumers, there are now numerous non-banking lenders willing to give out money at roof-top interest rates. Be careful, so you do not get into the hands of shylocks. Do not be in a hurry, even in an emergency. Shop around for the best interest rates you can manage, so you do not have to borrow money subsequently in order to clear the debts.
Know the requirements of the borrower
Before you approach any lender, especially a non-banking institution for such an amount, know the requirements in advance. With this information at hand, you will be prepared and have all they need. This will make them view you as serious and offer you the loan quickly.
These tips serve as a good starting point if you need to secure an emergency loan worth $10,000 without hassle.