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Once we’ve found you a loan, then you can apply with the lender directly. They may require some additional information and documentation.

This two-step process is the quickest way to find out if you are eligible and it ensures that you get the loan you want. When you first fill out that application form on our page, we ask you what kind of loan you are hoping to get.

We want to know a few specifics about the loan so that we can connect you to the best lenders for your situation. Not all of our lenders offer the same loans, so it’s important to filter through them to find the most appropriate choice.
Now, let’s answer a few quick questions you may have about the lending process and how it works here.

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Installment Loans

Credit like mortgages, personal loans, car loans, credit cards, short-term loans, and student loans all fall into two categories. Loans or any form of credit can be either installment loans or a revolving line of credit. With installment loans, you borrow a specific amount of money from a lender and you agree to repay the loan, which includes the interest and some fees, in a series of monthly payments.

Installment loans can be quick and very convenient for those in need of financial assistance. They offer access to small or large amount of money immediately. Loan terms of installment loans are longer and more flexible than the repayment periods of other loan arrangements such as that of cash advances or payday loans. With installment loans, borrowers can decide just how much money to borrow and how long they want to pay that loan back.

How do Installment Loans work?

Installment loans work just like any other type of loan. You, as the borrower will be given a specified amount of funds to borrow by the lender, and you will have to pay back the money you owed over a certain period. You will be paying back the principal, which is the sum of money you borrowed, the interest, and another fess, if any. The quicker you pay off the loan, the less interest you will have to pay for the total loan cost.

Installment loans are settled in regular, scheduled payments. It is paid in equal monthly payments that include the interest, fees if any, and a portion of principal throughout the duration of the loan term. It is a preferred and most common method of consumer financing for huge purchases such as vehicles and appliances.

why choose installment loans

Majority of loans are installment loans, including mortgages and car loans, but credit card is not one of them. Even though it may require a monthly minimum payment, credit cards are not considered installment loans. A credit card is an example of a revolving line of credit, where borrowers have a set limit that they can pay back and re-use over time.

The amount of the monthly installment depends on the loan amount, interest rate charged, down payment, loan term, and the credit status of the borrower. If you have a good credit history, you will most likely get a cheaper loan cost.

Taking out Installment Loans

Obviously, installment loans are called “installment”, because they are settled in equal installments at fixed intervals such as monthly repayments. Although most payment schedules are bi-weekly or monthly payments, your lender may offer other options that will be suitable for your personal circumstances.

Moreover, installment loans vary in length of the repayment period. Installment loans offer larger loan amounts and longer loan terms than cash advances. This is why borrowers who need a large and flexible loan usually opt for installment loans.

The lender will check your credit score, your annual income, and your debt-to-income ratio to determine whether you qualify for installment loans or not. Lenders will look into these personal details to see your ability to pay, and check how much you can afford to borrow in an installment loan.

The lender may ask you a few other requirements including your employment history, your current employer, and the number of years you have worked with your employer. All these information will help them determine how well you are likely to manage the monthly repayments of an installment loan.

Your credit score is such a crucial part of the loan application process because it will determined the interest rate for your loan. That is why, it is important to maintain your credit score in the months before you apply for installment loans. Make sure your credit reports are accurate and not erroneous before getting a loan. If you want to know your credit score, you can request a free credit report once a year from major credit reporting agencies.

Instant Installment Loans

If you need extra money on your hands the soonest, it’s not a problem. You’ll find many online lenders offering installment loans with attractive rates and terms, and with loan processing and cash out done within the day.

Because of online banking and technology, these lenders can provide installment loans almost instantly. You’ll just have to fill out an application form in the lenders website, submit it, and get a feedback within minutes. Once your application is approved, the money will be transferred to your bank account in no time.

These loans are rapidly becoming popular because they’re very accessible and easy to get. No need to wait for days or wait in long queues to process your loan. No need to fill out lengthy forms and submit loads of personal and banking documents.

Installment Loans in the UK

A good place to begin your search for installment loans in the UK is with your local bank or credit union. This is where you already have an established relationship with the loan provider. If you are approved for an installment loan from your local bank or credit union, where you already have existing accounts such as checking or savings accounts, you may qualify for discounts on the interest rate and other added benefits.

You’ll also find many nonbank lenders offering installment loans. However, it’s important to check first any lender you are considering before applying for a loan. Not all companies are legally operating or authorised to operate. It is also a good idea to make a comparison between lenders in order to be sure you’re getting the best deal.

Read the details of each potential loan carefully, so that you are aware of all the costs associated with it, the consequences in case you default, and whether there are any penalties or other fees if you pay it off early.

Take Away

Installment loans are credit in which the borrowed funds is repaid over a pre-determined period with a fix amount of scheduled payments. The length of the loan term varies according to several factors. There are installment loan terms over a few short weeks, and there are those that could reach for up to several decades.

A perfect credit score or a down payment is not necessary for you to qualify for an installment loan. All that is required from you is proof of a regular income and a bank account. Other basic requirements may apply. These loans are available in all sorts of credit rating, whether good, poor, bad or no credit at all.

Installment loans are more preferred by most people because they are flexible in the amount you can borrow and on the loan term as well. You can take out installment loans either from your bank, your credit union, from a nonbank lender or online lenders

why choose installment loans

5 most recent personal loan reviews

Review of Oakam

There are no other companies who can finance you as easy as Oakam loans, fast, courteous, reliable, no penalties and no hidden fees - real people for working class. Be honest find a friend to back you and you're done. Over 3 months I got £10,000, thank you Oakam you were there for me when all banks said NO.

Review posted by Daniel Fisher, Grantham

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Review of Cashflex

Cashflex was very considerate and understanding in giving a loan to a person with a limited credit history in the UK. Although I am in a well paying job, the fact that I moved recently to the UK makes people like me with a limited credit history look totally untouchable for high street banks. Cashflex opened a door and some breathing space for me, whose only other option would be payday loans. Thank you very much Cashflex!

Review posted by Manu Balewa, Plymouth

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Review of Flexy Finance

After almost giving up on all my wedding plans due to the fact my grandfather had recently been diagnosed with lung cancer, taking months off work to look after him and attend his treatments, this took a massive impact and couldn't afford to pay our venue. Our wedding is in June and the pressure was getting to much! Not to mention the worry and feeling anxious that my grandad won't be here to give me away, it's basically now or never. So knowing my credit isn't the best I just hit a wall and thought this was the end! Until I came across Flexy Finance loans! After having a chat with my sister who wanted the wedding to go ahead as much as me she very kindly agreed to stand my guarantor! I only applied Saturday evening Tuesday £4000 cleared into my account! So a massive massive thank you! You've not only helped my dreams come true but given my family hope and something very good to look forward to! Would recommend to anyone.

Review posted by Anita Moir, Downham

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Representative Example:
305.9% APR. £400 borrowed for 90 days.
Total amount repayable is £561.92 in 3 monthly instalments of £187.31.
Interest charged is £161.92, interest rate 161.9% (variable)

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