How Does an Installment Loan Work?
An installment loan is a very popular form of borrowing today. You borrow what you need for your moving day,
wedding, home improvement, vacation, medical or other personal expenses. You pay it back gradually over a set
length of time, according to what you can afford, for anywhere from a few months to several years. If you need
just a small loan, let’s say $4,000 to cover the gap between what you have saved and what you need to pay the
videographer for your wedding, for instance, a short-term online installment loan is the solution. A larger amount
to cover your medical expenses or to buy that new boat will probably require a longer pay-back period. Your online installment loan is repaid over a period of three years, through fixed monthly payments, including interest, automatically deducted or payable by personal check from your bank account. There is no penalty for paying off the loan early. That’s it.
The Peerform Advantage
Wide range of borrower eligibility
Application is free
Process is simple
No hidden fees
Quick transfer of funded loans
Unique approach to accessing creditworthiness
A Peerform Online Installment Loan is Easy
Applying for your personal installment loan is easy since the entire Peerform platform is online, open and ready. Traditional brick-and-mortar lenders do offer installment loans, but you need to go into your local office, which means taking off from work in order to meet with loan officers during business hours. Depending on how you want to use the loan, you may not be approved. The interest rates on these kinds of loans may not be so favorable today, and may hide fees and penalties
that you may not be aware of. Unless you have excellent credit, you may never make it past the paper
But, who needs paper these days when just about every commercial transaction is taking place online,
including personal installment loans.
What is the Difference between an Installment Loan and a Payday Loan?
Some consumers resort to payday loans, thinking that these are the same as installment loans.
Yet this assumption is incorrect for several reasons.
First of all, a payday loan is not an online installment loan. You need to pay the loan back
in 30 days or even less. Typically, the payday lender will require a post-dated check to cover
the repayment, or will set up an automatic electronic withdrawal from your bank account. Interest rates can be exorbitant – the Consumer Financial Protection Bureau estimates that fees equivalent to APRs of almost 400% are typical for two-week loans. Lacking a sophisticated system for determining your ability to repay
the loan, payday loan operators set high fees and interest rates to cover their losses.
An Online Installment Loan is Good for Those Unexpected Financial Events
An online Peerform installment loan can help you over those unexpected expenses that you
did not plan for in your budget. You head to work, hop in the car, turn the key and…nothing happens.
You are enjoying your favorite grilled corn fresh off the barbecue and presto—out comes a tooth.
Many of us have fixed budgets which make it impossible to absorb such unexpected expenses. Maybe
you will have the money next month from your salary, or in a month or two you could possibly save
up for the expense, but you need to fix your car or replace that tooth now. You do not want to float
a check and hope that nothing else comes along to prevent you from covering it. Using your credit
card may seem like an easy way, but ultimately, with the fees and interest rates, it may cost you
more than the “ease” is worth.
• Planned or unplanned, an online installment loan can bring you the relief you need.
• You borrow exactly what you need from a lender who is interested in helping you meet your short-term borrowing needs.
• Your online application can be processed quickly
• You can receive the exact amount of money you need on time
• Even if you have bad credit, an online installment loan can be obtainable.
Head to our application page today to get started with your online installment loan.