A Step-by-step Guide to Apply for a Personal Loan in the USA

Are you experiencing financial issues? In this time of crisis, getting short of cash is a common problem. How can you resolve this issue? US residents can take a personal loan from any of the many banks and lending companies that operate in all the states.

Applying for personal credit can be faster and convenient by following correct procedures. To help you get the cash that you direly need, here is the step-by-step guide for you to observe.

Step 1: Calculate the sum that you want to borrow.

Think about how much you need and how much you can afford to pay before applying for a loan. Borrowing an amount that cannot cover what you need can leave you stuck with the same financial problem. However, taking too much could result in stretching the monthly budget that would leave you with almost nothing after making your monthly payments.

You must consider your salary and your other future income before writing down in your application form the amount you want to borrow. Compute the monthly payment you must make. Compare this to your income. If you still have something left after taking care of your debt, then you are financially safe.

Step 2: Choose the loan that you prefer.

After determining how much to borrow, it is time to decide what kind of loan you need. You can opt for an unsecured one, which means no collateral. People that have something to back their debt, such as a car, can try a secured personal loan.

If you want to pay all your present debts so that you would have to worry about only one creditor, the debt consolidation loan is the best one for you. For those that need cash immediately to settle hospital and medical bills, some lenders will lend you money for your medical or dental bills.

Step3: Shop for the right lender

The internet is the best place to look for the kind of lender that will be a perfect fit for your needs. Borrowing from credit unions or banks cost less but may take longer to process. For quick loan approval, check the different agencies that offer payday loans or personal loans that they can release the day of the application approval or in less than two days.

Take a look at websites that publish a comparison of all credit companies in your area in terms of the maximum loan amount, interest rate, speed of release, and the repayment terms.

Step 4: Check the documents that the lender requires

Before you submit your application, check all the documents that you need to present. Make sure that you have all of them to avoid wasting time.

Generally, lending companies require papers that show your credit score, yearly income, credit record or history, and your current debts.

Step 5: Monitor your credit rating

Some bureaus keep track of the credit history of consumers. In the United States, these are the TransUnion, Equifax, and Experian. You can request these agencies for your credit report and check for errors. This information will give you a chance to make sure that the statement is accurate. Although the data do not include the credit score, you can ask your credit card company for it.

According to FICO or Fair Isaac Corporation, the first to implement a credit-risk score, a person with a score of 740 up is equivalent to excellent, and a rating of less than 579 is described as a poor rating, while 580 to 739 is fair to good.

A borrower with a poor credit score must do something to enhance or improve his rating to enjoy a high credit limit, low-interest rates, and better terms of repayment.

Step 6: Verify the legitimacy of the credit agency of your choice

Now that you are almost ready to apply for a loan check first if the lending company of your choice is registered. Watch out for indicators of illegal activities. A legitimate lender would have many clients. Read for customer reviews of the company to get more details of how it operates.

Step 7: Prepare other documents

Aside from the significant requirements, some credit entities may ask for a valid identification card, SSS or social security number, certificate of employment, bank statements, and the contact details of your current employer. Missing one of these papers can compromise your loan application.

Step 8: Submit application

Once you have compiled all the documents that you need, it is time to submit your request. For online submissions, you can complete the form on the company website and scan all the papers.

After you have followed all these steps, you can now sit back and wait for the approval and release of your loan. You can ask the lending company to deposit the proceeds to your bank account or send you a check.

5 Easy Steps to Get Instant Payday Loans If You Have Bad Credit

Most banks allow their customers to get limited payday loans from ATMs, however, these transactions often include several taxes and charges that are not fully disclosed at the moment when you are taking out the money. This makes this type of loan inefficient due to the fact that you can end up paying considerably more than what you initially thought that you would have to pay.

The direct alternative to payday loans offered by banks is the short-term loans that can be taken out from online money-lending platforms. These websites offer what are essentially payday loans, without any hidden charges or large interest rates.

Find the best companies that offer their services in your area

Some money lending companies only offer their services to certain states, which may limit what platforms you can use. You will also find that, depending on where you live, the online lending websites may have different terms and conditions. This is because each state has a different way of regulating the activity of these companies.

Look at all the companies that offer their services in your area and choose the best one depending on the monthly interest that you have to pay, the period of the loan, and how much money you need to borrow.

Once you find all the companies that fit your needs, look for reviews on websites such as TrustPilot in order to determine how they treat their users. If the service that you intend to use offers a mobile app, go to the App Store and read the comments on that, as well.

Read the users agreement on the website of the company

Regardless of what method you use to access the services of the online money-lending platform, always check the company’s website and read all the information that is presented there. The user agreement and the support section of the website will contain everything that you need to know in terms of what taxes and fees you have to pay when getting a payday advance.

Also, focus on identifying the penalties that will be imposed if you’re late with your payment. Online lending platforms are safe to use and offer a lot of transparency, however, they also have harsh penalties if you do not return the money on time.

Make sure that your chosen service does not report the transaction

Generally speaking, online money lending companies do not require your credit score in order to determine if you are eligible or not for their services. This having been said, you should go through the website of the company such as adherents.com and make sure that your loan will not be reported to any of the major credit score registries in the US.

This is mainly to avoid further damaging your credit score. Most creditors will look at your credit score and then check to see if you have used online services that do not perform credit checks. If they find records of these transactions, they will consider that you’ve chosen to use alternative ways to borrow money rather than increasing your credit score.

Again, most online money lending companies do not perform credit score checks and do not report the money that they lend, however, you should always double-check before getting a payday advance.

Use the app, if available, in order to create an account faster

Some of the major online money lending companies that offer their services throughout the US also have apps that you can download for free and install on your phone or tablet. These apps are invaluable tools when it comes to borrowing money because they help streamline the account creation process and also make it easy to submit all the data that is required to request a payday advance.

Once you create an account and like it to your app, you will be able to go back to it and borrow money how often you need, without having to resubmit all the information that you’ve previously sent.

Do not take out more money than you need

Online money lending platforms do not usually have a payday advance offer that you can use, however, they do offer general-use short-term loans. These are basically the same thing and enable you to borrow a small amount of money for 30 days.

Do not forget that once you take out a loan, you will not be able to borrow more money until you pay it back, preferably as soon as possible. Avoid getting a bigger loan than you need to avoid situations where you won’t be able to pay the money back on time and you will be stuck with a bad credit score and no other way to get a few extra bucks.


Getting a payday advance from an online lending company is often easier than getting one from a bank, especially if you already have a bad credit score and do not want to lower it any further. All transactions are private and will usually show on your bank statement as a regular money transfer, not as a loan.