Many lenders are offering low APR interest charges as an incentive for borrowers with excellent or good credit score. Good credit scores often refers to a credit score in the range of 750 – 850. Having perfect credit score means that you rarely miss paying your bills. With a good credit score, the loan that you apply will surely be approved quickly and it is also easy to get approved for more loan than the average borrowers. The reason is because the bank sees you as borrower who is low risk. You should shop around at different banks/credit unions in your neighborhood so that you can find one that offers the best lending terms for the personal loans.
You can request a free credit report from the credit bureaus if you don’t keep track of your credit score and are curious of finding out your credit score level. When you have the credit report, you can review closely all the entries and see if there is any mistake. The credit bureau can take up to 30 days to resolve the errors on the credit report.
The best place to shop for personal loans at affordable rate is to shop online at the loan comparison site. The loan comparison site gives you a quick glance on the most important information of the personal loans including loan term, APR range, maximum loan, origination fee and credit score.
If you shop for the loans online, you will be able to save 2%-3% in the APR interest rate. Another advantage of shopping for the loans online is that online lenders usually release funds fast within 1 day through direct deposit after approval. Normally, you won’t automatically qualify for the lowest APR rate that is advertised so you should get pre-approved first to find out the estimate APR you will get approved.
It is easier to get a loan online because online lenders may consider factors other than your credit score. The online lender may take into account factors like social media followers, academic records and etc. You can avoid multiple hard credit inquiries when you are shopping for personal loans online. To get pre-approved, you just need to fill in some personal information into the loan request form and a representative will quickly evaluate your application and give you a fast response.
Getting pre-approved will not have any negative impact on your credit score. Besides the APR rate, you should also take into account the fees that the lender charge for the approved loans. Every lender can charge different fees so you should find out from them the full list of fees. This allows you to calculate the cost of the loan and determine whether you can afford it.