The 21st century is the age of monetary prowess. In almost every arena of your life, your spending power evaluates your worth as an individual. It can more or less be summed up as, “Money is not everything in life, but it is surely needed for a vast majority.” The question which comes to mind in such a situation is to find the base of this spending power. After all, earning money is easier said than done. While many may easily earn a few million in a day, the rest of us have to scrounge and grovel for every penny and cent.
It is in such a scenario that the boon of economics, the concept of ‘loan’ comes out to help us. And why not? For, it seems sensible enough in a very romantic fashion to be able to spend what you want on the things which your heart desires. But again, not so simple. The question regarding the selection of some particular category of loans comes back to haunt you before you are able to splurge.
There are a number of classifications available in the market. But the two most prominent ones among them are Cash Loans and Personal loans. Both are fairly easy to come by, although with a slight variation in the relative sense which we will peruse soon. Both are meant to lower the crunch of a cash-strapped livelihood and both are aimed at specific demographical sections of the population.
While cash loans are the more popular of the two, due to its easy availability (you can also get it as quick cash loans online) and minimal paperwork demands, it is also a bit risky what with the exorbitant interest rates that come packaged with the convenience of it all. But to say that it more than makes up for it would be a gross understatement. After all, it has some huge benefits:
- No credit checks. You do not need a good credit score and seldom do you need to visit a bank in order to set up the nitty-gritty details of such loans.
- Quick processing. When you are applying for emergency cash loans, you can be confident that the development will be very swift. Most often than not, you can complete the request claim route within 15 to 20 minutes. Once you are sanctioned for the loan, you can get the amount wired in your account within 1-2 business days.
- No collateral- Although some programs do require indemnity, you should not be too troubled to find one that is not tenable by your chattels. This means that you can get the cash you need without being required to hand over a title or deed papers.
But this does not mean that one should just jump the wagon and run head along into it. Get this kind of loan only after clearly marking out a strategy to pay it back with the high-interest rates that come parceled along. It usually adds up a lot of money on the outflow side and so, it is advisable to sit and think financially. It is easy money, to say the least and as is the case more time than not, what comes easy goes out easy too.
Coming to the other side, personal loan is a type of unsecured loan that is given to a consumer to cater to any of their personal needs like buying a vehicle, home appliances, and marriage or for renovation etc. It is given after authenticating your capability to pay the money back, particularly the source of your earnings and also as per your credit history.
Some dispensation fee is charged and the aggregate according to your paying ability gets credited to your account. The reimbursement of the loan is made through permanent installments including interest for a definite time period. Personal loans are quite manageable these days. You do not have to peruse for hours through the labyrinth of monotonous paperwork and loads of red tape. A great majority of banks and financial establishments arrange for personal loans. The interest rates are also quite judicious and people often take a personal loan for obtaining assets or to fund their ventures like education or housing.
But with all such advantages, there is the added bulk of lengthy time taken to sanction such loans and also the strict credit checks which need to be overcome.
Whatever be your choice, it is imperative to make an informed decision in the interest of balancing your own financial books and heaving a sigh of relief.