Getting a cheap interest rate loan makes it easier to purchase things you wanted but cannot afford at the moment. If you wanted to get approval for cheaper loans, here are some tips that will work with many types of lenders on the market. By putting yourself in the positions of lenders, you will understand how things work.
Direct Lenders for $1500 Loans
Lenders are trying to maximize their profits at the lowest risk exposure. With the uncertainty looming over the financial industry, many’s main priority is actually ensuring they can get back their loan money. That means high risk borrowers will not find it easy to get any loans approved at all. Even if you have just a tiny possibility of defaulting on loan payments, they will reject you straight away.
The best way to get 1500 dollar loans is to improve your credit rating. Start by aiming for a reduced debt-to-income (DTI) ratio, which means paying off your existing loans until less than 30% of your monthly income is used. Always pay your debts on time, so that your lenders will not file a complaint against you at the credit agencies. By doing these, you can get accepted for the lowest unsecured loan rates.
Credit Score Needed for $1500 Loans
Many people do not understand how the credit rating system , so they do not know how to improve their credit scores. Banks offer personal loans for individuals with excellent credit history. However, it is also true that a simple credit score do not tell the complete information regarding your finances. For example, your credit report may contain wrong entries stating you did not complete payments in full when you have always paid off your loans on time. That credit report error may cost you a lot more loan interest rates or worse, getting rejected by lenders due to bad credit errors.
So, get a free copy of your statutory credit report from the major credit agencies such as TransUnion, Equifax, and Experian. Check for wrong information on your reports and call up the agencies to correct any mistakes you have found.
Where to Find Low Rate Installment Loans
You can get lower rate bank loans provided you have a good relationship with your bank. Many big banks will approve existing customers, because they have a deeper understanding of your personal finances due to years of banking experience and holding all your financial transactions.
For example, we took a lowest APR $10,000 loans offered to long term bank customers, at a very competitive rate if 6.5%. This is actually cheaper compared to short term loans because the bank can earn more interest over long term installment loans. However, to borrow $1500 unsecured from online lenders for 2 weeks, you may need to pay an APR of 200%.
When you do not have a long term good relationship with any banks, you can use online loan rate comparison services to easily find out which banks or lenders offer low interest rates. However, that does not mean you can qualify especially if you are not approved. You just have to test your lucky with each lender.