3 Ways to Beat the Bank if You’re Looking for Loans

No matter how organized your life is, money problems are often just around the corner. A portion of your house might break down. A family member (God forbid) may encounter an emergency situation.

You’re suddenly laid off from work. These are just basic situations that can possibly happen to anyone. Whenever these things happen, you mustn’t lose hope – loans can definitely give you a helping hand. As debt instruments, loans have been helping people for hundreds of years.


Today, banks are the premier providers of most types of loans. It’s easy to reach metrobankdirect and ask about their latest loan packages. The difficult matter is the loan application process. Not all banks follow the same process. Some have easier processes, while others are a bit difficult. But if you’re planning to get a loan and beat the rates of banks, here are some basic strategies that you can apply:


Look for Credit Unions

Credit unions and cooperatives are almost the same. They have similar principles, business procedures, advantages, and disadvantages. In some ways, credit unions are better than banks because they have manageable interest rates. They are also more lenient in payments collection and credit investigation. Most credit unions are non-profit, so you don’t have to worry about transaction fees and other hidden costs.

But credit unions are not just apples and peaches – there are still some risks involved. For example, a credit union may have limited availability and funds. They are accredited with few ATMs, and this can be a problem if you need money right away. Also, only few credit unions operate in urban areas. Credit unions also offer fewer singapore personal loan packages than banks.


Join Peer-to-Peer Lending Groups

Peer-to-peer (P2P) lending groups gained a lot of popularity in the past years. P2P is an emerging trend that has a greater room for improvement. There are also tons of P2P communities that you can enter. One main advantage of P2P lending group is the absence of a central authority. Here, every transaction is maintained by members, site admins, and facilitators. This means that you can enjoy competitive rates, faster transaction process, and continuous referrals. You can also join as an investor or lender. No need for a website or office. Your lending business can start almost immediately after you’re approved. Before joining a P2P lending group, make sure that you’ve fully understood its terms and service scope. You should also check out lending group reviews to find the right P2P communities.


Transact with Independent Lenders

Independent lenders are those who operate within smaller vicinity. These lenders are more common in rural areas and often transact in small amounts. Since most independent lenders run their businesses from their homes, you can take advantage of smaller interest and variable payment terms. The lender will also trust you more once you’ve settled any outstanding debts.


Even though it’s good to beat the bank every now and then, it’s still undeniable that the bank can help you out. Banks are strict because they have to manage risks properly and provide you with exceptional services. Check out the nearest bank in your area to see if their payday loan offers are acceptable.

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