You can find legitimate signature loans for $1000 on the Internet and these are from licensed lenders. Therefore, there is no need to resort to illegal loansharks when you desperately need $1000 fast but cannot get a bank cash advance. These usually involve a quick credit check online and other very basic requirements. Many legitimate lenders compete for business online, hence they have to roll out lower fees in order to survive.
The basic lending requirements to be met – have a stable income of at least $1500, above 21 years and have a checking account that accepts direct deposit. Generally, most people take short term loans for 30 days, but you may be allowed to extend/rollover payments if you have problems with affordability. Additional fees are levied for deadline extensions. Direct lenders usually allow 4 maximum extensions for unsecured loan payments.
There are several types of online loans available, especially when you need to borrow larger amounts up to $50,000 or for long term signature loans up to 60 months. The rates on these $1000 direct loans can vary significantly, depending on whether you have collateral to secure the loan or have a co-signer with good credit to help you convince the lenders.
For $1000 unsecured loans, rates will always be higher thus having a co-signer really helps when you are asking for a bigger loan with no collateral. However, these can take 5 to 10 years to repay, so you must be on really good personal terms with your co-signer such that they are willing to put up with the financial obligation. You can also sign up for payment protection insurance on larger long term loans.
Secured loans where you borrow against the value of your assets are also available online at more established lending companies. You can use your home, car or other possession as collateral to secure a loan. This is done so that you qualify for better rates, even if you want to borrow $1000 but have bad credit. The other advantages of secured loans include lower interest, affordable payments, longer payback period etc. Since various providers may offer different types of lending rates, take your time to compare. Make sure that you can handle the scheduled payments, otherwise you may lose your collateral as the lender can sell it off to claim back the balance owed to them.
Bad credit signature loans are also available online and is a very popular option nowadays. Due to the higher APR, they are only suitable for small loans under $1000 or for short term borrowing. In fact, there are many more online lenders for unsecured financing compared to secured ones, so borrowers can easily compare quotes and choose the best loan offer.