Personal loans are an excellent way of receiving a cash injection quickly and are ideal for financing a home project or consolidating debt. That being said, there are lots of factors that typically determine how quickly you will be approved for a personal loan. In this post, we explore some of the factors that influence the speed of your loan approval and introduce you to some methods that will help make the process a little quicker.
How much time does it take to receive a loan?
The time it takes to process your loan application depends majorly on who you are borrowing the money from. Most online lenders have loans that are available to a broad range of borrowers and with contrasting APRs depending on an individual’s actual financial situation. When compared to traditional lenders – banks and building societies, for instance – online lenders can offer loans much more quickly.
What can you do to speed things up?
Although it’s really up to the lender how quickly they issue your loan money, there are certain things you can do to speed things up a little. Below are some of our top tips on how to make the loan application process quicker:
Find out your credit score before you apply
Regardless of the lender you apply to, your current credit score will play a big part in the success of your application. When deciding on whether to issue you with a loan, lenders will consider your credit score and decide if you will make the proposed repayments reliably. People with good credit scores will be approved more quickly, while those with a bad score might not even be accepted for a line of credit.
Taking the time to check your credit score before applying for a loan will give you much clearer insight into what type of online lender is best suited to your financial circumstances. Ultimately, this will save you time and effort and means you are less likely to experience loan rejections. You can even complete an eligibility calculator to accurately assess the loans that are most appropriate to you.
Ensure your credit is accessible
When you’re applying for a loan, if you have a credit lock or freeze in place, it’s likely to prevent a lender from looking into your credit, which will ultimately slow down the entire approval process. Be sure to lift any credit freezes or locks prior to the submission of your application, so you don’t experience any delays. It’s always possible to reactivate a credit freeze when you have received the loan that you’ve applied for.
Fill in your information accurately
You might think this sounds overly simplistic, but you’d be surprised at how many applications are delayed by inaccurate information. Ensuring you fill in the online forms accurately and honestly is so important if you’re hoping to receive your loan quickly. Provided you enter your information accurately, your application is unlikely to be delayed. As soon as you have completed the form, be sure to take a quick look over everything to make sure the information you have provided is correct.
Overall, if you’re looking for a quick loan approval, then online lenders are the best choice. To ensure things go as smoothly as possible for you, always check your credit score in advance, keep your channels of credit open, and make sure the information you enter into your application is accurate—the outcome? Quick and effortless personal loans.