Quick loans are unsecured and short-term loans provided in no time, specifically within few hours of application and approval of the loan. However, fast loans come to the rescue when you face cash crunch are in immediate need of urgent cash loan. Some of the quick loans are provided in a day or two’s time, while most of the time, it takes just 24 hours to disbursal. With small-cash loans, you do not have to borrow from friends and family anymore.
Types of Quick Loans in India
- Small Cash Loans in India: A payday loans is a short-term loan (unsecured in nature), and is disbursed within 2 to 4 hours of loan approval. You can apply for payday loans apply and get approval within minutes. The U.S.P of this loan is the hassle-free procedure. The financial institution or lender usually charges a higher rate of interest as the loan is advanced without demanding collateral. Such loan is mostly offered to salaried individuals only, wherein the EMI is to be paid on the pay-check date until repayment.
- Same Day Loans: These loans are granted the same day of loan application. This credit system is best to meet emergency cash needs and requires only minimal documentation with no credit check. People with poor credit history or a bad credit score could be eligible to get this type of loan in short time. However, the interest rates of same day loans are much higher than regular loans.
- Quick No Credit Check Loans: There are quick loans offered that require no credit check. These loans are mostly chosen by those with bad credit history. As soon as the documentation needed is verified, the money is disbursed to the borrower’s bank account. The interest rate charged however, is very high compared to other short tenure loans.
- Credit Card Loans: You can take quick loan on credit card. Most financial institutions offer instant loans on credit cards that too at an affordable interest rate. The loan meets approval quick with no or minimal documentation. However not everyone can avail loan on all types of credit cards. Thus, it is advisable to check on the credit card you possess and the loan facility provided on it before making a decision of choosing the credit card.
Advantages of Quick Loans
No Credit Check: As mentioned earlier, quick loans do not necessarily required the applicant to maintain a good credit score, since the loan can be disbursed without credit check. Speed of Approval and Disbursal: These loans are provided within 2 to 24 hours and at max 48 hours. Unsecured Credit Facility: Quick loans are basically unsecured loans, wherein the financial institution or lender does not require a security or collateral. Online Application: You can apply for quick loans online on . Minimal Documentation: To avail these loans you need only minimal documentation such as identity and address proof and probably income proof. Thus, the approval and disbursal process is also quick. Self-employed Individuals Can Apply: A quick loan can be availed by self-employed individuals in many cases. Non-existing Customers Can Apply: Even if you are not an existing customer to the financial institution with which you apply for the quick loan, you can still get the loan.
Disadvantages of Quick Loans
Higher Rates of Interest: The quick loans come with very high rate of interest. The rates are almost double of that applied on regular loans. Thus, these loans are considered expensive. Many Non-certified Lenders: As many people require urgent cash, there are more than just official banks, NBFCs or certified lenders offering the loan. You must beware of shady lenders who are not certified as it can be risky to borrow from them. Heavier EMIs: The quick loans are short term loans and are to be repaid in a few weeks to maximum 3 months. This means you have to pay heavier EMIs in limited time. If you are choosing a quick loan, look into the repayment tenure and associated conditions.
Features of Quick Loans in India
Quick loans offered in India are different from that those offered worldwide. These loans are not typically termed as ‘quick loans’ but carry different names and have different approval time-frames. These loans however have simple documentation and lenient requirements.
The quick loans offered by the banks and financial institutions are different from the payday loans Austintown quick loans offered worldwide. There is no special kind of loans called quick loans in India but there are alternative loans with quick approval. These loans require have lenient requirements and simple documentation.