If you think loans are only useful for buying a home, you might be missing out on some golden financial opportunities. Home loans are just one end of a spectrum that’s much, much wider. Have you ever considered the wide range of things you could do with a personal loan?
Perhaps you’ve always wanted to go on an expensive holiday, or you’re interested in fixing up your car but don’t have the money available right now. In situations like this, where you need one infusion of cash and you’re willing to repay it later, a personal loan might be a perfect solution. Let’s go over how these loans work and what you can do to secure one.
Working with a good credit provider
Purchasing a home is just one possible use for a good personal loan. In truth, if you’re able to find low-interest loans that you can realistically repay, you can put them toward all sorts of financial needs. According to the Australian Securities and Investments Commission, there are plenty of loans available for people who can recover the money they owe within a specific time, usually between 1 and 5 years.
To get a loan, you’ll need to develop a solid partnership with a credit provider. This provider will want to see hard proof that you’re a responsible borrower who can repay what you owe. This may include pay slips, bank statements or credit card bills.
Choosing the right loan on the first try
It’s only natural to search the world for deals, shopping around everywhere for the lowest loan interest rates you can find. However, News.com.au reported that people have actually been led astray by searching too much.
Lending expert Greg Symons told the news source that the more loans you apply for, the worse you’ll look.
“It’s not advisable to apply to multiple lenders at a time,” Mr Symons said. “The more inquiries [there are] on your credit report, it will diminish your credit score considerably.”
Instead, try to get it right on the first try. Look around, find one lender you can trust, then stick with them.
Getting help from a knowledgeable broker
There are many options available when it comes to personal loans. These include secured, unsecured, fixed and variable loans. It’s hard to know which option is best for you. Fortunately, working with us – your local mortgage broker – can help you figure that out.
We will do the research for you, find the right loan and guide you through the whole process. All you have to do is pick up the phone and call us today!