Search for Installment Loans Without Credit Check at GreenPlaceLoans
A loan is a contractual agreement. One party gives money to another and there are terms of repayment.
The words used have specific legal meanings. Sometimes, it may feel like people are playing games with language and not saying what they mean because legal terminology can be a funny beast.
Before you take out a loan, you need to understand what the agreement means. This is the only way it has any hope of being a responsible financial decision that won’t come back to bite you later.
So let’s start by explaining some terms. What do we mean when we talk about a no credit check installment loan?
Installment Loans Credit Checks
There are actually two kinds of credit checks: hard checks and soft checks. In reality, most “no credit check” loans really mean they won’t make a hard credit check. Instead, they will probably make a soft credit check.
What’s the difference and why does this matter?
The difference is that a hard check takes more time and also impacts your credit score. A soft check is quicker and does not impact your credit score.
If time is of the essence and you need quick approval for a loan, a soft credit check allows you to get your money faster. It also protects your credit score.
If you have a poor credit rating and are trying to improve it, you want to avoid hard credit inquiries. Getting too many credit checks in a short period of time can make you look like a bad credit risk.
Hard credit checks can stay on your record for two years. So if you have a long term goal, such as financing a new car purchase or buying a house with a mortgage in the next couple of years, you don’t want to have your credit record pinged repeatedly with hard credit checks.
If you have never before heard of hard versus soft credit checks, you should take a little time to read up a bit more on this aspect of the loan agreement to make sure you understand it. Here is a good source to start educating yourself about credit checks.
What Are Installment Loans?
Installment loans are loans that are paid back over a period of time with multiple payments. In contrast, some loans are paid back in one lump sum. In other words, the entire loan gets paid in full all at once.
These days, payday loans are probably the best example of a loan repaid in one lump sum. They are also sometimes called cash advance loans.
Generally speaking, a payday loan requires you to provide a photo ID and proof of income. Bank statements are often used to establish proof of income.
You will need a bank statement anyway because they will take a post-dated check or set up an agreement that is just like taking a post-dated check. If you don’t come back with the cash in time, they will use the check to get their money.
Payday loans are often for very short periods of time. In some cases, you get the money mere days before having to pay it back out of your next paycheck.
They generally have a set fee, such as $20 interest on a loan of $100. Because the fee is a set fee and not based on the amount of time involved, the calculated interest rate can vary substantially depending upon how quickly you pay it back.
The fee may not sound like much in terms of dollars paid, but when you look at the Annual Percentage Rate (APR), payday loans are some of the most expensive loans around. The APR often comes out to 300 to 400 percent.
For comparison, credit cards typically charge between 14 and 26 percent APR. Keep in mind that credit cards are also considered to be an expensive form of debt. Mortgages these days typically charge interest in the single digits.
Why are we talking at length about payday loans when the topic is no credit check installment loans? Because sometimes payday loans are described as no credit check installment loans, but they really aren’t. Installment loans are paid back over time, not in one lump sum.
Actual Installment Loans
An installment loan will have at least two payments and usually more than that. Most installment loans are a minimum of three payments. The payments are usually once a month.
The interest rates on installment loans are generally better than the interest rates on payday loans. This means you aren’t being bled financially.
One of the problems with payday loans is a phenomenon called reborrowing. Someone gets their paycheck and goes to pay their payday loan in full, but it leaves them too little money to make it to the next paycheck. So they pay it off and promptly reborrow.
This means five minutes after paying their loan in full, they have borrowed the same amount as before. So, in reality, they didn’t actually get out of debt. They really only paid the interest and still owe just as much as before.
Installment loans are one possible path out of this trap.
As the saying goes, you cannot borrow your way out of debt. But getting the right kind of loan for your needs and reducing the amount you are paying in interest can help you break a cycle of borrowing.
Payday loans have their uses, but many people view them as a de facto form of predatory lending. In other words, the way they are designed makes it hard to get out from under them and helps milk you for money.
Borrowing money isn’t necessarily a bad thing. There are good debts and bad debts.
Historically, people thought of certain loan types as either good debt or bad debt. You may still run into this idea as you read articles or talk to people.
For example, you may hear that student loans and mortgages are good debt. You may also hear that credit cards and payday loans are bad debt.
If only life were so simple. Wow, wouldn’t it be nice if all the bad things were easily identified so we could just not go there. Life sure would be a piece of cake if that were true.
But it’s not true. Identifying good borrowing decisions and bad borrowing decisions is just not that straight forward.
In a nutshell, good debt is debt that saves or makes you more money than it costs you. For example, putting a sale item on your credit card because you didn’t have the cash, but will pay it off in full before the interest exceed what you saved on the purchase.
Bad debt is debt that bleeds you for interest without genuinely improving your life. It costs you more than it is really worth and life would have been better if you had solved your problem some other way.
Other Ways To Solve Your Problem
If you are having facing a financial shortfall, what are your options other than taking out a loan? What else can you realistically do?
- Call 211 or check their website.
- Find local food pantries and other sources of emergency aid.
- Ask a friend or relative to give you money as an early birthday or Christmas present.
- Find some means to earn it quickly.
You know, 211 is a terrific resource. It can help you identify local food pantries and other forms of aid. But the reality is that most of that aid will be very specific, limited and “in kind.”
In other words, most aid will give you actual food, not money with which to purchase food. You may have little to no choice over the type of food you get.
If you have special dietary needs, this may be worse than actually going hungry. Fasting for short periods isn’t inherently harmful to your health, but eating foods known to be bad for your medical condition can cause serious complications.
Medical treatment is far more expensive than food. If you can’t afford a trip to the grocery store, how on earth are you going to cover a visit to the ER?
So, a lot of people don’t really want to go to a food pantry or soup kitchen. They want to buy their own food so they can pick and choose what works best for them, which is completely reasonable.
Similarly, gifts from friends or relatives are wonderful, but you can’t really count on them. They may not cooperate in straight up giving you cash and what they choose to give you may not really be what you most need right now.
Plus, imposing too often on friends and family can burn bridges. If you ask them for help every time they turn around, this may not be available when you need it the most.
Earning it quickly is a terrific idea. In fact, increasing your income should absolutely be one of your goals if you find yourself needing payday loans and the like.
But the reality is that earning quickly (and legally) is just not that easy. If it were easy to pull off, payday loans probably wouldn’t exist. We would all just go earn the money we need to cover that financial shortfall.
What you should do before borrowing?
It’s always a good idea to look around and see if you can find some means to solve it without borrowing. But the odds are pretty good that you already know what your other options are and why they aren’t really sufficient to your needs in this case.
This is where a no credit check installment loan can come in handy. If you have a history of taking payday loans and getting stuck in a cycle of reborrowing, then an installment loan may be one tool to try to get unstuck.
Unlike a payday loan, an installment loan doesn’t get paid off in one lump sum out of one paycheck, leaving you with too little to get by. Instead, it gets spread out, making it easier to absorb the cost so you can try to stop the cycle of borrowing.
In the long term, if you are living hand-to-mouth, you need to be working on improving your income or reducing your expenses or both. Ultimately, you can’t borrow your way out of debt.
But the right kind of loan may reduce the amount you are paying in interest and improve your cash flow situation. For some people, this is enough to put an end to the cycle of reborrowing.
Getting a no credit check installment loan online can be the ultimate in convenience. You can fill out the application in the privacy of your own home at any time of the day or night.
If you are in need of money, there can be a lot going on in your life that makes this privacy especially valuable. It’s possible to get the money without anyone around you having any idea that you took out a loan.
The funds may be directly deposited to your bank account in as little as 24 hours. So you don’t even have to go somewhere to receive the funds.
Unlike with a payday loan, you will not find yourself walking around with a big wad of cash, worrying that you might get mugged. If you have ever taken out a payday loan, you probably already know that payday loan places are often in a sketchy part of town where walking around with a lot of cash is very stressful.
Of course, some parts of the internet can also be pretty sketchy. So you want to make sure you use safe practices and go through a portal or lender you trust.
Some general safety tips when doing anything online, but especially anything involving money:
- Only use trusted, verified financial sites.
- Use secure passwords.
- Wipe your browser history periodically.
- Use a locking screen on your smartphone.
- Check for malware that can steal your information.
The fact that safety is a concern online is exactly why we exist. We provide you with a layer of safety in the online loan process.
We check out lenders so you don’t have to do so. Then we try to match your application to a trustworthy lender with an appropriate loan product for your needs.
What Do I Need to Get an Installment Loan with no Credit Check?
If you are going to borrow money, you need to determine how much money you need. Don’t make the mistake of borrowing in full whatever amount they will approve unrelated to actual need.
Borrowing the maximum they will give you is a good way to get into financial trouble. It will cost you more in interest and you will probably spend it frivolously because easy come, easy go.
Next, you will need to gather together some basic paperwork. So-called “no credit check” loans usually really do a soft credit check. They involve less paperwork than other loans and are usually approved more quickly, but you still need to provide ID, an address, bank account and proof of income as a minimum. They may also want other information from you.
Ready to Start a “No Credit Check Instalment Loan” Application?
Have you determined how much money you need to borrow? Have you gathered together some basic paperwork, such as your photo ID and a bank statement?
Then let’s get started on filling out an application. It won’t take long and you may be able to access the funds you need today.
Just click here to start our easy application process. We will walk you through whatever you need to do to complete the process.
Ready? Click the “Get Started” button!