What are instant loans?
Instant loans are not the same as payday loans, which are bank advances that have a very short duration of time for repayments. Instant loans or check advance is a short term loan that is obtained from a lender without credit checks.
Usually, there is no credit checks involved in obtaining an instant loan. This is a cash advance to enable you to get some money for urgent personal and/or business needs.
Instant loans may be provided by various lending companies, like the different types of bank, lenders, or money grants. Instant money is available at the comfort of your home and convenience of the Internet.
Who offers this loan?
There are various financial institutions that offer this type of loans. Some common financial institutions include credit unions, corporations, banks, and other lending organizations. You can apply for an instant loan from these financial institutions even if you are a depositor in their institution.
There are also special accounts available with some lending organizations that enable people to avail of money in their account that is not secured by collateral. This type of loan is known as unsecured.
Major advantage of instant loans
The major advantage of instant loans is that you do not have to submit any paperwork such as the application forms. It is approved within hours.
These instant loans may also be known as an advance on deposit or automatic advance. An instant money advance allows you to withdraw the money immediately after the approval of the loan. Most online lending companies do not require a security deposit from the borrower.
When you obtain instant loans from online lending companies, it usually takes only a few minutes to receive the money. There is no need to fax a bunch of documents, wait for weeks for an answer, and check a bank account just to make the funds available to you. In most cases, you can have your money transferred into your bank account.
Instant money is usually used by customers to pay bills and urgent personal expenses. It is also used to repay bills that have been delayed. Instant money is usually received by telephone or online.
Instant loans can also be obtained by an individual as long as the person has a stable job, a checking account, and a regular income. The lender may require several documents and must conduct a credit check. Even though it is short term, instant loans are safe.
Since instant loans do not require a credit check, the risk is minimal. The interest rates are also lower than traditional loans. For your peace of mind, it is advisable to check with other online lenders before selecting one.
Make sure that you know the conditions and rules associated with instant loans. It is a good idea to speak with an attorney or a financial advisor before you borrow.