Eligibility Criteria for applying for a 3 month loan

Eligibility Criteria for applying for a 3 month loan

Do you have heavy unexpected bills piled up that needs to be paid and you cannot wait till the next payday to make the payments and neither do you have enough savings to cover up the expenses? There is no need for you to live in a financial stress when you can take a 3 month loan and solving all your short-term cash flow problems. You need not even be worried if you have a bad credit history or if you were bankrupt in the past.

As the name suggests, 3 month loan is a loan taken over a 3 month period. The loan typically has equal repayments for each month. Though the last payment might be slightly higher than the first two months payment.

3 month loans are a preferred option when you need a loan https://paydayloansohio.net/cities/miamisburg/ but not with a high cost of borrowing. Any loan taken for less than 3 months seem to be a short period to repay the loan. When a borrower takes a 3 months loan he has just about enough time to repay the loan amount and not be burdened with a heavy cost of borrowing.

The loan amount depends on your repaying capabilities. Anybody above the age of 18 years and working and who has a bank account can avail the 3 month loan. There is no restrictions on how the amount is being used. The banks usually do not bother with the borrower’s credit history. The 3 month loan is an unsecured loan.

In UK, a borrower can borrow up to ?1500, but the lender will take into consideration your repaying capability and will ensure that you can comfortably return the money. Once the application is approved, the borrower gets the money credited to his account within 24 hours.

3 Month Loans

Typically a 3 month loan is taken in case of emergencies. If you have incurred an expense like a broken down car, repairing your washing machine, paying a plumber or fixing your roof etc.

  • The borrower must the resident of the country offering the loan. UK and US are known to offer 3 months loans.
  • The borrower must have a bank account and a debit card.
  • The borrower must be of the age 18 years and above and must be working.
  • Different lenders have a different earning cut-off for the borrowers. Base on how much money the borrower is earning a certain loan amount will be sanctioned. The lenders will make sure that you can afford to pay back the loan amount in 3 months period.

Why a 3 month loan is better than a Payday loan?

At certain times, there is no way you can avoid an expense it could arise from emergency or it could be unplanned and you don’t have a rainy day that could cover the expenses arising out of such situations. If you do have to take a loan make sure you aren’t falling prey to loan sharks and to the payday loans. Never take a loan just because you want to buy an item or upgrade your lifestyle. What you need is something worth not going in debt for.

  • Payday loans rely on you having a payroll and being employed. It is a short term unsecured loan. But not really worth the interest amount that you will be shelling out on the amount you borrowed. The lender is actually taking advantage of the vulnerable people. It is a difficult mess to get out of. You have to make the repayment and you won’t be allowed to take another loan to cover the repayment of the payday loan. The lenders prey and capitalize on the financially poor people.

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