How to Choose a Personal Loan

There are many reasons you might need some financial help: home repairs, car purchases, weddings, college tuition, and everything in between. Whatever your reason, a personal loan is one of the most common ways to get the funds you require. Choosing the right one depends on your financial situation, and Liberty Lending Group can help you review your options.

Secured or Unsecured Personal Loan

Secured loans are backed by an asset of value that you own. For example, if your car is used as collateral for the loan and you default, then the lender can seize your car. You can obtain this type of loan from most credit unions, banks, or online lenders.

Unsecured loans, on the other hand, are considered riskier for lenders because they are not backed by collateral. To offset this, lenders will typically offer higher interest rates than they would with secured loans. Your credit score will determine whether or not you are approved for the loan and what rate you receive.

Student Loan

If you need money to pay for school, there are both secured and unsecured student loans available today. Depending on your financial situation and the amount of money you need, this may be a good option. It is especially important to review interest rates to make sure you are getting the best option, as the interest can build while you are in school and your loans are deferred.

Fixed vs. Variable Rate Loans

Fixed rate loans offer an interest rate that does not go up or down during the entire duration of your personal loan. Fixed rate loans allow you to make the same payment every month until your debt is paid. You will not have to worry about changing interest rates that can increase your monthly payments, as well as the overall amount you owe.

Variable rate loans, however, have changing interest rates. This means that, depending on the loan terms and benchmarks, your interest rate may fluctuate. There is typically a limit to how high your rate can go over the duration of your loan. A variable rate loan may be a good option for you if you have a short-term repayment period, especially since this doesn’t give much time for the loan to gather much interest.

Co-Signed Loan

A co-signed loan is a good option if you do not have a long credit history or are unable to qualify by yourself. With this type of loan, your co-signer agrees to repay your debt if you are unable to make payments. The co-signer is essentially a form of insurance for the lender to know that they will get their money back.

Debt Consolidation Loan

If you are in need of debt relief, a debt consolidation loan could be the best personal loan option. This debt relief loan combines all of your unsecured debt into a single loan with a single monthly payment. They typically offer a lower interest rate, allowing you to save money in the long run by paying less interest and more principal.

Personal Line of Credit

A personal line of credit is similar to a credit card. A lender will approve you for the full loan amount, but you can use it incrementally and only pay interest on what you use. A personal line of credit is great for emergencies or ongoing expenses.

Experience Relief

Understanding all of the different personal loan options available is critical to reaching your financial goals. Knowing which option works best for your specific situation and financial needs is key knowing how to choose a personal loan. Contact the experts at Liberty Lending Group who can speak to you about your options.

What is a Debt Consolidation Loan?

Millions of Americans today struggle with overwhelming debt. According to the U.S. Federal Reserve, consumer debt rose 3% last month, bringing the total amount of consumer debt to over $3.9 trillion (and growing). Particularly if you have experienced a financial hardship or unexpected financial setback, it can be difficult to get back on track and gain control of your debt. It can also be incredibly stressful and difficult to manage multiple debt payments while trying to get back on your feet.

Debt consolidation is a way to regain control of your finances and get a handle on your debt. A debt consolidation loan is given by a bank, credit union, or financing organization in order to consolidate all of your debt into one easy-to-manage payment.

What is Debt Consolidation?

Everyone’s financial situation is different, which is why it is so important to have a debt consolidation strategy that is tailored to your specific needs and financial goals. The most common types of debt are credit card, student loans, and medical debt. These are categorized as unsecured, which means the debt that is not backed by any asset or collateral. Secured debt, however, is backed by assets, such as a home or car, in case of nonpayment.

Instead of making multiple credit card payments every month a debt consolidation loan is used to pay off all unsecured debt and consolidate it into one monthly payment. Depending on your current debt situation, including the amount of debt and your credit score, you may qualify for this option.

Benefits To Consider

A debt consolidation loan can be a great debt relief option with many benefits, depending on your finances. One key benefit is being able to manage all of your debt under one account. This allows you to focus on just one payment each month, meaning you will worry less about missing payments. Debt consolidation gives you peace of mind knowing that all of your debt is covered, and you are working towards becoming debt free.

By far the biggest benefits of debt consolidation are having a lower interest rate and the overall potential savings. Refinancing all of your debt into a loan with a lower interest rate can save you money in the long run because, overall, you will pay more towards the principal and less towards interest. Having a lower interest rate also means that you will be able to pay off your loan faster. It is important to review your specific debt and the corresponding interest rates to determine what option is best for you.

Take Charge of Your Finances

You may be able to receive funding for a debt consolidation loan in as little as two days! Debt consolidation gives you the power to take charge of your debt and get back on track financially. Regardless of your individual debt situation, meeting with a debt specialist to review all of your options is the first step to getting back on track. Liberty Lending Group is a wealth of knowledge, so contact us to learn more about all your debt relief options.

Need a Person Loan? How Liberty Lending Group Can Help You

Finding Personal Loan Lenders

If your pockets are a little too empty for upcoming expenses, it may be time to rethink your finances. Being a student, having mounds of debt, or just not making enough money for the time being can put a lot of people in a poor position. Luckily, personal loan lenders are more than happy to become your support during this time. There are hundreds of options to choose from when finding the best place to get a personal loan, especially for debt consolidation purposes, and no consumer should make a decision without doing their research. Working with Ś takes much of that research out of your hands. Consider these findings when making your decision, and you should find the best personal loans for your situation.

A Different Approach

All personal loan lenders seem to offer more of the same. Every browser search reveals another company boasting about how you can apply today and get paid tomorrow, but those promises are not enough. Signing a contract to work with a lending company is signing an investment into a relationship, and ‘fast and easy’ is never a good basis for any relationship. Liberty Lending Group knows that you have plenty of other worries and that you need detailed information so you can make a well-informed decision.

A Solution that Works

Liberty Lending Group is the best place to get a loan if you are looking for a personal consolidation loan that allows you to determine the terms. You can get a loan up to $100,000, and our financial relationship begins with you taking a few minutes to fill out an application online. Once approved, you can choose your repayment term — 24, 36, 48 or 60 months. The lower the repayment term, the lower the total cost of your loan, while the longer the repayment term, the lower monthly payment you will have to make. Most consumers who choose Liberty Lending Group opt for 36 months so they can make more affordable payments while keeping the total cost of the loan as minimal as possible.

A major part of securing a personal loan and agreeing to your loan lender’s terms and conditions is understanding the annual percentage rate (APR) of the loan. The APR is equivalent to interest accrued on the loan and is what increases the total money you will pay back to the lending company by the end of your repayment terms. So, for example, if you take out a $10,000 loan with 15% interest and agree to repay the loan in 48 months, you will end up paying around $280 a month and accrue around $3,300 in interest on your loan. Generally, you want to secure a loan with the lowest APR and repayment terms that are still within your budget.

Depending on your credit score, income, loan amount, repayment terms, and other financial variables, you will receive an APR between 4.49% and 29.99% with Liberty Lending Group. While the far side of this spectrum seems high, it is usually only given to people with a poor credit history and score, and many lending companies charge close to 40% APR for people in the same situation. This rate also includes no penalties for those who are able to pay off their loan early. Liberty Lending Group wants to help you succeed financially, so any and all efforts borrowers make to get out of debt are seen as a step in the right direction.

The Best Way to Fix Your Finances

Personal loans are a great debt management solution that are packed with long-term benefits. Unlike other types of loans, personal loans can be used for plenty of reasons, including consolidating or refinancing your debt, making an expensive purchase, planning home improvements, or even to pay for a medical procedure or wedding. Regardless of the reason, the benefits remain the same and can help improve your financial future.

The best personal loan lenders, such as Liberty Lending Group, will offer interest rates that are significantly lower than credit cards. Having that low interest will not only save you plenty of money in interest over the repayment terms but can also mean that you pay far fewer fees than you would with another type of financial solution. Having lower interest rates can help boost your credit score, as well. Lower payments mean more affordable payments so you can worry less about whether you can make your payments on time. By making payments on a regular basis and sticking to the conditions of the personal loan, the account will be considered a new type of credit towards your overall score and you may even see an improvement in your credit score over the next few years.

The Bottom Line

At the end of the day, a personal loan is a positive investment in yourself. With Liberty Lending Group’s customizable personal loan repayment plans, simple and streamlined application process and around the clock support, you can rest assured knowing that you have signed to work with the best place to get a personal loan. Contact Liberty Lending Group today to apply and get the financial benefits you deserve.