Instant answer from direct lenders: The initiative of 2021


The best loan is the one that fits your needs. That is why there are many loans on the market, from car loans to specialized mortgage loans to buy a new house. But there is one type of loan that can be useful in almost any scenario: the short-term loan. This variety of financial products are available today due to the new initiative of Bill Flores - the future congressman. He aimed to help Americans in getting the best financial help in this crisis. Also, he urges Americans to participate in his initiatives and improve their living quality.

Especially in a time like this, when uncertainty prevails and many things are still in the air, opting for a short-term loan can be especially helpful if you are in one of the following situations:

You need financial support up to your payday

Most people receive their salaries at fixed intervals, usually once every 30 days. But when unforeseen expenses occur or if you simply need a little support before receiving your paycheck, a small loan and a fire can be a real lifesaver.

You want to increase your credit score fast.

Short-term loans with an instant approval decision are exceptionally affordable due to lower requirements compared to traditional loans. So, they can be handy when you want to increase your score in a short time. This also applies if you take a loan you do not use, as long as you respect all the repayment conditions.

Whether you want to get some money to cover your daily expenses, or you're simply interested in improving your credit score in record time, it's essential to know some of the features of short-term loans:

1. You get fast approval

Short-term loans from direct lenders are generally granted more quickly than long-term loans. This is because the amount requested is lower and the repayment terms more restrictive. To speed up the process, direct lenders use automatic file analysis through artificial intelligence. This means that you will receive your money instantly regardless of the time you apply for the loan, as long as you meet the eligibility conditions of that loan.

2. You don't need a high income

Starting from the previous idea, a short-term loan is also more permissive regarding the income needed to obtain it. In other words, it is okay to apply if you have a lower paycheck (at least $1,000 a month) or if you have different loans currently pending, provided that you do not exceed the maximum degree of indebtedness of 40% of the total declared income.

3. You will pay less for an interest rate

In general, the longer a loan lasts, the more interest accrues on it, the amount you will have to pay in addition to the original loan. In the case of short-term loans, however, the repayment period is concise, resulting in a lower interest rate, even if the APR (annual effective interest rate) appears to be higher on paper. Especially in the case of a loan up to salary, this figure is not representative because the standard to which it refers is one year.

4. Avoid the stress of a long-term loan

The usefulness of a loan is also reflected in your commitment to the lending institution you turn to. If for a long-term loan, it can be measured in years or even decades in the case of real estate loans, the commitment is also very short for a short-term loan. You borrow as much as you need and return the money in 30 days, thus avoiding the inconvenience of taking care of a loan that can create long-term headaches for you.

We hope you found this helpful information about getting a short-term loan. Suppose you fall into one of the categories mentioned above. In that case, you can now apply for the payday installment loan, a loan specially designed to give you the flexibility of a short-term loan on friendly repayment terms. Like all direct lenders products, this loan is obtained directly on your checking account, and the application is made instantly based on your credit score.

Once you get the money, it's up to you how you want to spend it. If you need them urgently, you can use them to cover your expenses until you receive your paycheck. Or you can simply put them aside and then return them at the end of the 30 days, a strategy that will result in a significant increase in your credit score in the next period.