Whenever you need to borrow money, your aim should ideally be to pay as little interest on the loan as possible. In cases like this, your best option could be a personal or any other instant cash loan. The rates of personal loans, particularly, have a tendency to be competitive and significantly lower than the interest rates you would need to pay on a credit card balance.
Now, there may be instances wherein the need to borrow money arises again after you have already paid off your previous loan or are still in the process of paying it off. If that happens, you may be tempted to work with the same money lender you used initially. If you are wondering whether or not this is a good idea, read on to learn more about personal loans and why getting them from the same lender might be a good decision.
Why take out personal loans?
Personal loans can be used for just about anything. While other types of loans are earmarked for a particular purchase and require collateral, a personal loan does not usually need collateral and can be used for any lawful purpose. So, if you have no collateral to offer and are looking for the least expensive borrowing option, a personal loan might be precisely what you need.
A personal loan is also an excellent option if you need to borrow money for a reasonably short but well-defined period of time. Most of the time, personal loans run between 12 to 60 months. So, for instance, if you do not have the adequate cash flow for the time being and you have a lump sum of money due to you in a year or two, a two-year personal loan could substantially bridge that gap. That said, managing your personal loan responsibly should be your utmost priority.
Why get personal loans from the same money lender?
Life is unpredictable, and so is your financial position. Most people do not know when they will need to borrow money again. But if another need to borrow money arises, obtaining a personal loan again from the same money lender might be a great decision.
1. You already know what to expect
Each money lender has a slight difference in their process, particularly in terms of applying and qualifying for a personal loan. If you partner with a lender you have already worked with, you may find the process less troublesome or stressful since you have undergone it before and know what to anticipate. Besides, if you are already familiar with your lender’s application process and requirements, you have a higher chance of getting fast loan approval in Singapore.
2. You may be granted a better rate as a repeat borrower
As a repeat borrower, it will not necessarily assure you of a lower or more competitive rate on your personal loan. However, if you have a solid credit score and are a strong applicant for the loan, these factors, along with the fact that you have already worked with your money lender before, could pave the way for an excellent deal. If you are a good repeat borrower who pays your loans on time, your lender could trust you enough to grant you a better rate next time.
Due to their nature, personal loans are undoubtedly one of the most convenient and flexible loan options you have whenever a need for money arises. Getting your personal loans from the same money lender may be a good decision, as it takes away much of the stress induced by the application process and provides the possibility of obtaining better rates. So, if you need to borrow money again, working with your previous money lender is absolutely fine.
If it’s your first time borrowing money, and you are looking for a reliable money lender offering a personal loan to meet your current financial needs, Orange Credit is the lender you need! We are a reputable and licensed Geylang money lender that offers fast, flexible, and easy cash loans with less stressful and hassle-free application processes for those in need. To apply for any of our trusted loans, feel free to reach out to us today.