Dutton Lending Differentiates Bank Loans and Personal Loans

For many people, there are always times when they could use a bit more money to make ends meet. Maybe one needs cash for a home improvement project or money to help cover virtually any other unforeseen expense. If that’s the case, options are available that make financial sense.

A loan is one of the best ways to get money without being charged super high-interest fees. While the terms and conditions are always different depending on several factors, most can qualify for a much better loan than a high-interest credit card. It also beats huge late fees in certain situations.

What options are available? What works best for certain situations? By making intelligent decisions on loans, a person can correct their finances quickly.

Bank Loans

Banks tend to offer a variety of loans for individuals looking for money as quickly as possible. Secured loans usually come with a lower interest rate, but the downside is that a select asset works as collateral.

The most common example of a secured bank loan is a mortgage, as the bank can take over the home if the lender fails to make payments. Pay the loan back on time and in full, and there will be no issues. Slip up, and there could be major consequences that kill any advantage of a lower interest rate at first.

There are a lot of banks also offering unsecured loans, which act much like personal loans. They realize the popularity of these smaller loans, and they do their best to offer similar rates as smaller lenders. People will always feel a lot better about taking a loan out with a well-known bank, so they might be willing to pay slightly less favorable rates.

In the past, secured loans were much more common. Sometimes they’d even be the only option for people. With unsecured personal loans starting to rise in popularity, it’s helped make rates that much better across the board.

Personal Loans

A personal loan like what you get at Dutton Lending is an installment loan option that provides people who qualify with a fixed amount of money. They receive it in one lump sum, and it’s an unsecured personal loan. The good news is that there’s no collateral to secure these funds, but that does come with interest rates that are a little higher because of that.

Every personal loan setup is different, but most repayment terms are at least a year long. Some of them will be about ten years long if it’s a more significant sum of money. There are no restrictions for personal loans, but it’s essential to be upfront with the lenders to get the best option.

The application process is very similar to securing a credit card. It could be done online or in person, but every lender will run a hard credit check to finally complete the fast loan option. Most people can get by with decent credit, as anything above 650 will usually work for personal loan eligibility.

What Loan is Best?

Most people will say that the best loan is the one they can get approved for. The chances are, the better the person's credit score, the better their interest rate. A bank loan can be a very secure option, and businesses usually go this route. It’s awesome for some people who want to have all their finances running through one particular bank.

A personal loan from a company like Dutton Lending is a perfect option for many people, as long as they have no issue paying it off. For example, a common use for a personal loan is to pay off credit card debt. If the personal loan interest rate is much lower than the credit card rate, it’s a smart move without any fear of late fee penalties. If a person struggles to pay their bills on time, personal loan late fees add to debt issues.

The good thing about both types of loans is that a person can inquire about them and even become preliminarily approved without doing anything to their credit score. Soft inquiries are a smart way to gather information and see what is there. A credit check will occur only when filling out paperwork and getting to the final stages.

How Easy is it to Secure a Loan?

A personal loan is pretty easy to secure these days, especially with so much competition out there. Companies like Dutton Lending have simplified the process to the point that it takes just a few minutes to fill out the information. There are even options available that allow people to get pre-approved to speed up the loan process.

Bank loans tend to take longer to secure since they undergo more procedures. For some people to take care of business right away, they don’t have that extra bit of time to wait for something like that. They have to be ready to go and get a loan, and they need it right away. Waiting just a little bit longer can cause many other complications no one else wants to deal with.

All in all, loans are easier to secure so that a pressing purchase is possible. This makes personal loans especially good for emergencies.

How Dutton Lending Helps

Dutton Lending prides itself on being a lender for all types of needs. From personal to business loans, finding the perfect solution will allow people to control their finances better going forward. The team strives to be a go-to source for information and support to make wise decisions every step of the way.

Scared of Loans? 4 Reasons You Shouldn't Be

While borrowing money is something that we’re all taught to avoid if possible, there are times when talking to a reputable lender is something that can actually provide some sort of benefit. Loans aren’t something to be scared of all the time. In fact, they’re there to help you accomplish goals and get through crises in a stress-free manner. Here are some reasons why you should be comfortable borrowing money in certain situations that may arise later on. 

Aid When Buying a Home

As one of the biggest purchases anyone of us will make, property is something that basically no one can save up for. This means that a mortgage is the only way forward, giving us the finances that we need for the massive amount of money required. If you choose a loan with an affordable interest rate, you can then buy a place to live in that will also appreciate in value over time. Once you’re finished paying everything back as required by your lender, you’ll have increased your assets and can earn extra cash by selling your home in the future.

Support in an Emergency

There are times when life throws something in your face that you’re simply not prepared for. Whether you end up in hospital or your automobile is damaged, you’ll need some extra cash to get yourself back to normal. Here, talking to a lender such as www.creditnoble.co.uk is a smart idea as they can give you the cash you require to sort out your issues in a flash. In this case, only borrow enough to cover these emergency costs and make sure you can handle the repayments later on. Just because you’re in a crisis doesn’t mean you have to be desperate and thoughtless.

Assistance with Education

There’s a saying that money spent on self-improvement is a worthwhile investment. If you don’t have enough cash to put towards a degree or certificate, borrowing money can be a smart idea. While you’ll have to cover repayments during study, you’ll end up more employable as a result. This means that the interest you end up paying on your loan will then be returned to you in the form of a higher income once you graduate. Taking out some credit is a great way to develop your skills and knowledge if you don’t have the money required for the course you’re interested in.

Help with Home Renovations

Lastly, you might want to improve your living environment by knocking down a wall or building an outdoor swimming pool. Projects such as this are quite expensive but can be worthwhile as they increase the value of your home. This is why borrowing money is a great idea yet again as the interest you have to pay should hopefully be covered by the additional money you get once you sell your property later on. Not only that, but your home improvement loan will also give you the chance to enjoy a comfortable, attractive domestic setting in the years before you sell as well!

About the Author Creditnoble is a marketing company in the United Kingdom that specialises in financial products and services such as instant loans. Visit their website at www.creditnoble.co.uk for more details.