Getting a loan by phone is a convenient way to get the financial help you need right from the palm of your hand. Whether you only have a smartphone or still use a landline, you have the tools to tap into this opportunity today. But before you apply, let’s find out what these loans are. Being informed will help you borrow with intention.
What is a Loan by Phone?
Loans by phone refer to the process of applying for a personal loan using your mobile device or landline. Admittedly, this is a pretty broad definition. What kind of loans are available over the phone? And how, exactly, can you use your phone to get one?
Let’s tackle how to try to get a loan by phone first. A phone offers many different avenues for borrowing money.
Option #1: Call
First, you can call up your preferred lender and ask to apply with a representative during the call. This representative will ask you questions to verify your identity, financial standing, and other personal information as they will be filling out an application on your behalf.
Option #2: Web Browser
Second, you can access any financial institution that offers online loans using your phone’s browser. You can visit the lender’s URL and apply from their homepage. Like the call above, you will have to supply personal information when applying, but you’ll punch in this data using your phone’s keyboard.
Option #3: App
Lastly, you might be able to navigate your next loan over a specialized app. Some lenders have propriety apps that give you direct access to your loan profile once you are approved. All you have to do is download the app and start the official application process over their platform.
Since you have to download this platform to your phone, it’s important you trust the lender. Check out these tips to learn how to spot fake apps.
What Kind of Loans Can You Borrow?
Whether you make a call or visit a webpage, your phone makes it easier than ever to research, apply for, and manage your loan. But let’s move on to the next part of this training. What kinds of loans can you get using a phone?
Generally speaking, the only distinction between phone and non-phone loans is how you apply and manage your account — your device will be the primary way you interact with your account. What sets loans by phone apart is the convenience they offer. Instead of visiting a bank or lender’s office, you can complete the entire process right from the comfort of your own home, or anywhere you have your phone.
Otherwise, these mobile loans share many similarities with other financial products. As for the kinds of financial products available, let’s look at the main two:
You can find installment loans, which provide a fixed amount of money that you must repay within a specific timeframe. You’ll make several predetermined payments (or installments) to pay off what you owe. Lenders will also apply interest rates and finance charges to the payments.
You can also apply for a line of credit, which provides a borrowing limit that you may access on an as-needed basis. Most lenders will only apply interest and finance charges to the amount you use, not your full borrowing limit. If you pay off what you use, you can draw against your limit again and again.
The Takeaway About Loan By Phone
In times of financial difficulty, managing your finances from your phone can prove to be a helpful and easily accessible tool. However, it is important to ensure that you feel comfortable doing so before diving in.