There’s been a great deal of talk about payday, title or short-term loan lenders. In the past, much of the scrutiny was well deserved. These lenders often charged interest rates at a percentage that veered into the thousands. However, after a great deal of the concerns over exorbitant interest rates being charged to customers, the federal government stepped in and begin to regulate this lending market. This has led to more beneficial lending terms rather than predatory lending, as it was once considered.
However, lenders like MaxLend have also done their part to make the short term, payday or title loan lending market a bit more friendly to consumers as well. To this end, most short-term lending institutions put a cap on how much a person can borrow as a maximum for their first loan. This can help a person avoid getting in over their heads when they’re looking to secure a short-term loan. In most cases, the maximum a person can lend on an initial loan is $1250.
In addition to looking out for the financial interests of their customers, these lending institutions also make the process of securing one of these loans extremely easy. Most people question getting a loan, whether it’s a personal loan, mortgage or car loan, because of damaged credit. However, since these lending institutions look at a person’s paycheck as collateral rather than a credit report, getting approval for a loan is extremely easy.
The qualifications are oftentimes quite simple. A person must be at least 18 years of age, they need to have a job or regular source of income and they need to have a bank account. Outside of this, there is no jumping through hoops, offering up collateral or going through the constant back and forth process that often takes place when looking for personal loan through a bank.
It is true that short-term loans are often much more expensive than personal loans secured at a bank, from a standpoint of convenience and meeting an immediate need, short-term lending institutions offer everything a person may want when it comes to getting necessary cash in short order. That’s why, if you need a bit of money for an emergency, and you need that money immediately, short-term lending providers can be of great service.