From a lender, when you borrow a specific amount of money in a series of payments that you pay back and that series will naturally fall on your payday, then this is known as an installment loan. The term and amount of an installment loan may change depending on the factors such as how often you get paid (bi-monthly, weekly), your income, and type of installment loans.
Into the category of installment loans, many different loans fall. You may don’t even know by already having one. Things like home equity loans, student loans, and certain auto loans are also installment loans.
1. Flexible and Manageable Payments
Without exception on your next pay date, mostly payday loans are due in full. Sometimes on a borrower, this type of repayment structure can increase financial strain. If someone gets an online installment loan, then the main reason behind that is more manageable and smaller payments. Instead of the total amount of loan (including interest and fees) being due on your next pay date, through lower scheduled payments, the installment loans paid back over time.
Often, for people, the long-term payment schedule works better because it makes repayment more convenient and manageable. Smaller payment amounts allow you to cover your other monthly expenses and still have enough money left over after repaying your loan. With the flexibility paying through installments to repay early without consequences, in a way that suits your needs, it allows you to manage your monthly bills and loan repayment.
2. Higher Loan Amount
Usually, lenders can provide higher loan amounts because as installment loans contain longer loan terms, to cover unexpected expenses or costlier emergency, these higher loan amounts can be enough, or between pay dates help provide cash flow. With manageable payments, the more significant loan amounts that coupled can also lessen your risk to take out multiple needs of loans to gain enough funds in case of covering an unforeseen expense.
Speed is another added advantage of an online installment loan. As soon as the next business day, into your bank account, installment loan products are usually deposited, and online cash advances that. If you want to cover an immediate and necessary expense quickly, then this fast access to funds allows you to do so. It can also help in repaying more budget-friendly amounts of loans in a shorter time.
With repayment flexibility, you can have quick access to cash because many direct lenders provide online installment loans. Look for a state licensed lender and do some research before you apply for an online installment loan. If you want to confirm that you’re making an educated financial decision, be sure to thoroughly understand and read the rates and terms of your loan product. Visit our rates and terms page to know more about the products of MoenyKey’s installment loan.
4. Cover Unexpected Emergency Expenses
Unexpected emergencies are come from time to time as much as you’d want to avoid them. You might have a flood in your basement, to the hospital you may need to take an emergency, or your car might break down. For the payment of these emergencies, if you don’t have enough savings, then the personal installment loans can able to help you.
For that auto repair that you can’t hold off on or for surprise medical bills, you may be able to get the money that you need to pay with the help of personal online installment loans.