One of the best ways to get an installment loan is to apply for a direct loan from a lender. A direct lender issues your loan agreement without going through a third party, such as a broker or agent. The primary advantage of direct lenders is that they usually offer the lowest interest rates because there are fewer costs involved in arranging and processing loan requests.
Borrowers have various options for obtaining a direct loan. You can sometimes get a direct loan through your bank, which will likely offer attractive interest rates. However, many banks don’t provide small-dollar personal loans and often have stringent credit score criteria, which could be an issue if you only need a relatively small amount of money or don’t have a high credit rating.
Some credit unions also extend installment loans, but you’ll need to be a member in good standing to access this type of credit. Like banks, credit unions generally only extend credit to borrowers with solid credit scores, and you may struggle to obtain a small-dollar, personal installment loan from a credit union.
Your final option is to apply for an installment loan with an online lender. An online lender could be a suitable option for you if you’re working to rebuild a lower credit rating by making regular monthly payments, as a wide range of companies will consider applicants who can’t get an installment loan from their bank or credit union. Many online companies also let you pre-qualify for a loan based on your credit history, enabling you to see the products you’re likely eligible for without affecting your credit score. You can often get installment loan funding from Wise Loan without good credit, and many prospective borrowers receive a decision within a few minutes.