Category: Credit

Are you looking to get the overgrown mess you call a backyard in order? While you may look forward to creating a personal outdoor oasis, the landscaping for these projects doesn’t come cheap. 

Thankfully, loans for landscaping are available to get you the funds you need. Let’s look into the best loan types to get you the yard you yearn for.

Average Cost of Landscaping 

According to Angi.com, the average cost of landscaping projects in 2024 is $3,502. However, the typical price range of a landscaping project can vary from $1,261 to $6,023 depending on the scope. The size of your yard, the type of landscaping, the cost of landscaping labor and whether your home is new all play a large role in the price of the landscaping project.^[1] 

How you pay for landscaping can depend on the type of project and the landscaper you’re working with. If landscapers charge by the size of your yard, you could pay anywhere from $4.50 to $12 per square foot. You may also pay based on labor costs, which can be between $50 to $100 per hour. However, not all landscaping projects are equal. If you are working on backyard landscaping or landscaping for a new home, you can expect to pay higher rates. 

With labor and material costs on the rise, many homeowners are using loans for landscaping projects that will increase the value of their home in the long term. Let’s look at some of the most popular options for landscaping loans. 

4 Landscaping Financing Options

Here are the most popular types of loans for landscaping:

Personal loans

Personal loans are typically unsecured loans that get you a lump sum of money. You repay it in monthly intervals at a fixed interest rate. With an unsecured personal loan, you don’t have to put up any collateral. 

• Pros: The main pros of a personal loan are that there are no restrictions on how you use the funds and can pay them back with a fixed interest rate. This gives you the freedom to buy anything you need for your landscaping plans while easily incorporating the payments on the loan into your financial plans.
• Cons: Unsecured personal loans can come with higher interest rates than secured loans and additional fees that you must pay upfront. If you have a less-than-stellar credit history, you may also have trouble qualifying for a personal loan for landscaping.

Home equity loans

Home equity loans are a type of second mortgage that allow you to borrow a lump sum against your home’s equity. You can use this lump sum much like a personal loan: on any landscaping expenses you may need. You also repay the loan the same way as a personal loan with fixed-rate monthly payments over a set period, usually 20 to 30 years.

• Pros: Since you use your home’s equity as collateral for the loan, you are more likely to qualify for the loan and more likely to receive a larger amount of money than a personal loan and enjoy substantially lower interest.
• Cons: Using your home’s equity as collateral makes the transaction much riskier. If you fail to make payments on the loan, you could lose your home to foreclosure.

Home equity lines of credit (HELOCs)

Like home equity loans, HELOCs allow you to utilize your home’s equity. Instead of a lump sum payment, you get access to a line of credit that you can borrow from. This is a great option if you aren’t sure how much your landscaping project will cost. With a HELOC, you only have to repay and make interest payments on the money you withdraw, so you have more control over the size of your loan. Once your withdrawal period is complete, you will have to repay the loan over a period of years with a variable interest rate. 

• Pros: The flexible withdrawal period allows you to take out money from the HELOC as you need it, similar to a credit card. 
• Cons: HELOCs usually have variable interest rates during the repayment period, making them harder to plan for in the long run. 

Financing through your landscaping company

Your landscaping company may offer its own financing on certain projects. While this option may only be available for large, expensive projects, it can make getting the funding more straightforward. When the landscaper knows the details of the project they are undertaking, they will understand the need for each dollar they lend you.

• Pros: Receiving financing from the same source that is completing the project can make the entire process much simpler by only having to interact with one organization.
• Cons: These types of transactions typically come with high interest rates, even for borrowers with good credit.

How to Get a Loan for Landscaping

1. Check your finances: Whether or not you qualify for a landscaping loan depends on certain financial measurements. These include your credit score, debt-to-income (DTI) ratio, income level and employment history. You can check your credit score by looking at your monthly credit card statement to see if your credit card company provides credit scores, talking to a HUD-approved credit counselor or using a credit reporting company that offers free credit scores. Also, if you don’t know your DTI ratio, divide the amount you spend on monthly debt payments by your monthly income.
2. Choose the best loan option: Once you’re familiar with your personal financial situation, you’ll be able to choose the best type of landscaping loan for you. If you have a large project to fund in a home that you’ve lived in for a long time, a HELOC or home equity loan may be right for you. If you have a good credit score and only a small project that you’d like to complete, a personal loan may be the best option.
3. Get multiple quotes: Now that you know what type of landscape financing you want, it’s essential to compare offers from multiple lenders. The most important factor to consider during this stage is the annual percentage rate (APR) that each lender offers. APR represents the interest payments and upfront fees that you pay for the loan, giving you the most accurate representation of what you would pay for the loan in a year.
4. Apply for the loan: The final step is to apply for the landscaping loan that fits your project’s and financial needs. The application process will depend on the type of loan you apply for and the lender, so make sure to follow their specific instructions when applying. 

Alternatives to Landscaping Loans

Using a loan isn’t the only option to fund your landscaping needs. Let’s have a look at a few alternatives.

Cash

If you have enough cash saved up, it may be wise to use it instead of taking on debt to fund the project. 

• Pros: Using cash will allow you to avoid taking on debt and paying more in interest, so it could save you money in the long run.
• Cons: Using a large amount of cash could eat into your emergency fund. If a critical system in your home breaks, such as your air conditioning, you may not have enough left to pay for both the critical repairs and the landscaping.

Credit card

Using a credit card is also an option to fund your landscaping projects, but it comes with some risks as well. 

• Pros: You could qualify for a 0% introductory APR credit card that essentially lets you borrow money for free as long as you pay off the balance before the introductory period ends. 
• Cons: If you can’t pay off your credit card balance by the time your 0% introductory period ends, you’ll have to pay high interest rates. If you use a card that doesn’t offer a promotional 0% APR period, you’ll start paying high interest as soon as you start carrying a balance.

Final Thoughts on Landscaping Financing

If you need funds for a beautiful new front yard or a big new pool, there are many options for you to choose from. No matter what kind of landscaping you need, remember to thoroughly research the pros and cons of multiple financing options before choosing what’s best for you.

Lyons Magnus Milk Settlement

The Lyons Magnus food service company agreed to a $3.5 million settlement this week over allegations that it neglected to notify customers about a potential bacterial contamination in some of its drinks, including milk.

The Defendants deny all claims and that they violated any law. Plaintiffs and Defendants agreed to a Settlement to avoid the costs and risks of a trial, and to allow the Settlement Class Members to receive payments from the Settlement. The Plaintiffs and their attorneys think the Settlement is best for all Settlement Class Members.

Check out all the details below and file a claim on or before February 9, 2024.

Who’s Eligible for this Settlement?

Related: See All Settlement Rebates Here

Settlement Payout

The defendants have agreed to pay three million, five hundred thousand dollars ($3,500,000) in cash to the Settlement Fund for payment of the following:

• Valid Claim Forms for cash benefits submitted by Settlement Class Members;
• the notice and other administrative costs actually incurred by the Claims Administrator;
• Attorneys’ Fees and Costs, as may be ordered by the Court, and (iv) any service award to the Class Representative, not to exceed $500.00 per Class Representative, as may be ordered by the Court. In addition, Defendants will contribute an additional $75,000 to be used to pay the first $75,000 of notice and other administrative costs actually incurred by the Claims Administrator.

All members of the Settlement Class who submit a Valid Claim are eligible to receive monetary relief as described below:

• Settlement Class Members who submit a Valid Claim Form with Proof of Purchase of a Covered Product shall receive the full purchase price for each unit of Covered Product listed on the Proof of Purchase, inclusive of all taxes.
• Settlement Class Members who submit a Valid Claim Form without Proof of Purchase of a Covered Product shall receive up to the average retail price for up to two (2) Covered Products claimed per household plus a 10% allowance for sales tax, as such price is determined in good faith by the Defendants and provided to the Claim Administrator.

Filing a Claim

To qualify for a Settlement payment, you must complete and submit a Claim Form by February 9, 2024. You may complete and submit a Claim Form online or mail a completed Claim Form to Lyons Magnus Settlement, c/o Claims Administrator, 1650 Arch St, Ste 2210, Philadelphia, PA 19103. Claim Forms are also available by calling 1-866-865-8202, or by emailing info@specialtydrinksettlement.com.

If you submit a claim by U.S. mail, the completed and signed Claim Form must be postmarked by February 9, 2024. If submitting a Claim Form online, you must do so by February 9, 2024.

By signing and submitting a claim form, you swear under penalty of perjury that the information provided is true and correct.

Are you struggling to keep track of multiple debt payments? Managing the balances, due dates and required minimum payments for multiple credit cards, auto loans, personal loans or any other kind of debt can be extremely difficult. 

Thankfully, debt consolidation can turn these confusing payments into one, easy-to-manage payment. But what is debt consolidation? Find out below.

Debt Consolidation Defined

Debt consolidation is when you combine several sources of debt into one loan with a single, easy-to-manage debt payment. This tactic is best if you have several sources of high-interest debt, such as credit card debt, that you can consolidate into a loan with a lower interest rate. 

The type of loan you use to consolidate your debt will depend on the types of debt you have. For example, you can use a personal loan to consolidate several sources of credit card debt. Some loans may require that you only consolidate one type of debt (such as balance transfer credit cards) while others may allow you to consolidate several types, such as credit card debt and auto loan debt.

We’ll get into the different types of debt consolidation loans – and what you can do with them – later on.

How does debt consolidation work? 

Debt consolidation works by using the proceeds from one loan to pay off the balances of several other sources of debt. Ideally, the new loan will have a much lower interest rate than the former sources of debt so that you can pay less each month to pay off the same balance amount. 

For example, let’s say you have the following sources of debt:

• Credit card A with a $5,000 balance with a 22% interest rate
• Credit card B with a $10,000 balance with a 26% interest rate
• Credit card C with a $2,500 balance with a 20% interest rate

Using the formula below, you can calculate the blended interest rate for all of these credit cards combined:

(Balance 1 × Interest Rate 1) + (Balance 2 × Interest Rate 2) + (Balance 3 × Interest Rate 3)

_____________________________________________________________________

Sum of All Balances

For this example, the blended rate of your credit card debt is 24%. Now that you know this number, you can search for a debt consolidation loan with a lower interest rate than 24% and a loan amount large enough to pay off the sum of all of your balances, which is $17,500 in this situation. 

Once you use the debt consolidation loan proceeds to pay off the multiple sources of debt, you have just one debt payment on one loan to worry about. 

The Pros and Cons of Debt Consolidation 

Debt consolidation has many advantages but also some downsides that you should consider before signing up for more debt. 

Pros 

The main pros of debt consolidation are the single source of debt and the lower monthly payments required to reduce outstanding debts. Before debt consolidation, you have to worry about keeping track of debt with different lenders, payment amounts and due dates. This can be extremely stressful and hard to manage. 

After debt consolidation, you just have to focus on paying one debt payment per month. Since that debt payment hopefully has a lower interest rate, you will pay less every month than you did before consolidating your debt.

Cons 

Debt consolidation is not a perfect solution to all of your debt problems. Fees on your debt consolidation loan can add to your financial hardship right off the bat, so you will need to ensure you have the cash available to qualify for the loan. Also, debt consolidation loans often extend the repayment period for your debt. So while you may pay less every month to pay down your debt, you will need to make those payments for a longer period of time – sometimes forcing you to pay more interest overall.

However, the ultimate downside to debt consolidation is that it does not address the primary cause of your debt. If you continue to take on debt by spending more than your income, you will soon have to face overwhelming debt from multiple sources again.

Types of Debt Consolidation Loans 

Below are some of the most popular debt consolidation loans. 

Personal loans

If you use a personal loan to consolidate debt, you can get a lump sum payment at a fixed interest rate to pay down all other sources of your debt. Before applying, it’s important to confirm with your lender how the disbursement of the loan will work. Some personal loans will provide the money directly to you, making you responsible for using the proceeds to pay off your other sources of debt. Other specific debt consolidation loans will make the payments directly to your other sources of debt, leaving you only responsible for paying off the one remaining personal loan. 

One pro of using a personal loan to consolidate debt is that they are typically unsecured loans, meaning that you don’t have to provide any valuable assets as collateral to receive the loans. However, it may be hard to qualify for a personal loan amount large enough to cover all of your debt.

Balance transfer cards

Balance transfer cards offer a unique opportunity to consolidate your credit card debt with another credit card. The name describes how this tactic works. You can transfer the balances of one or several credit cards to a new credit card with a lower interest rate. 

Some balance transfer credit cards offer 0% APR for a limited time at the beginning of the term. This allows you to put a pause on your interest payments and gives you a chance to pay off the balance before you have to start paying interest again.

On the downside, balance transfers often come with upfront fees. Typically, these come out to between 2% and 5% of the balance transferred to the card. 

Home equity loans

You may be able to use a home equity loan to consolidate debt if you have a considerable amount of equity built up. A type of second mortgage, home equity loans work by exchanging a portion of the equity you have in your home for a lump sum payment that you pay off with fixed monthly payments over a period of years. 

Since you may have hundreds of thousands of dollars in equity in your home, this can be a great strategy if you need a large loan to pay off all of your existing balances. However, you can’t forget about the ultimate downside to utilizing your home equity: If you fail to make payments on the loan, you risk losing your home to foreclosure. 

Home equity lines of credit (HELOCs)

Home equity lines of credit (HELOCs) are similar to home equity loans in that they are a type of second mortgage that utilizes your home equity. But instead of a lump sum payment, you get access to a line of credit that you can withdraw from up to a credit limit. After your withdrawal period, you enter the repayment period when you must make variable-interest payments on only the money that you decided to withdraw. 

HELOCs can be a great tool to use if you are not sure how much money you need to consolidate your debt and would like flexibility with how much money you borrow. However, they also carry the same risk as home equity loans. If you fail to repay a HELOC, you risk losing your home. 

Cash-Out Refinancing

Using a refinance to consolidate debt is a great option if you’d like to avoid having multiple mortgage payments after getting rid of multiple sources of other types of debt. Instead of taking out a second mortgage like the previous two examples, a cash-out refinance allows you to pay off your current mortgage, exchange a portion of your equity for cash, and then sign a new, larger mortgage loan. This can leave you with a considerable amount of cash to pay off your debt and just one mortgage payment to manage. 

The main downside is that since you took out a larger loan on your home, you will pay more in interest over time and still risk losing your home if you can’t make those extended payments.

Is Debt Consolidation a Good Idea? 

Debt consolidation is not for everyone. Consider the scenarios below to determine whether it is right for your financial situation. 

When should you use a debt consolidation loan?

• When you have high-interest debt: If you have high-interest debt, such as credit card debt, debt consolidation can give you a lower interest rate and lower monthly payments. 
• When you want a single monthly payment: Debt consolidation allows you to reorganize your debt from multiple sources that can be confusing and difficult to keep track of into one, easy-to-manage payment.

When should you not use a debt consolidation loan?

• When you don’t have good credit: Debt consolidation loans generally require a good credit score to qualify. If you have a checkered credit history, focus on chipping away at your debt with on-time payments to build your score to a level that gives you access to a debt consolidation loan. 
• When you haven’t solved the cause of the debt: Remember that a debt consolidation loan is not a universal solution to your debt problems. If you continue spending above your means, not even a debt consolidation loan can help you in the long run. 

Final Thoughts on Debt Consolidation

It is important to remember that debt consolidation does not decrease the amount of debt you have – it increases it by taking out another loan. However, with just one debt payment to focus on at a lower interest rate, your debt is easier to manage both logistically and financially.

Bilt Milestone Rewards

Bilt recently announced changes to its rewards program by making it harder to reach higher Bilt status (Silver, Gold, and Platinum). At the time, it was also announced that members would get some extra benefits such as Milestone Rewards. 

And now we have the details of the first iteration of Milestone Rewards, which is going live in the Bilt app today. The more points you earn, the better the Milestone Reward you can unlock. These will be dynamic, so keep an eye on the different reward offerings as they will be updated periodically. 

Milestone Rewards are available to all Bilt Members with or without the Bilt Mastercard®, but cardholders will have more Milestone Rewards available. Once you hit top tier, you can earn 4X at grocery stores and gas stations for 30 days for example, if you have the card. Check out the details below.

How do Milestone Rewards work?

Before a member hits 25k points earned, the Milestone Rewards section within the Elite Status tab will show all the Milestone Reward options that are not yet unlocked or claimable. Once a member hits 25k points earned, they’ll unlock a set of Milestone Rewards, which they can claim one of. At higher milestones, more Milestone Rewards are unlocked, and at each 25k point increment, members can claim one more Milestone Reward.

Milestone Rewards can be found within the Elite Status tab and are available for all Bilt Members with or without the Bilt Mastercard® ,but cardholders will have an additional unique set of Milestone Rewards.

• Available to claim after earning 25k points
  • Double points on Bilt Dining for 7 days
  • 1,000 points for the Bilt Collection
  • 2X at grocery stores for 30 days (Bilt Mastercard cardholder exclusive)
  • 2X at gas stations for 30 days (Bilt Mastercard cardholder exclusive)
  • 2X on sports & concert tickets for 30 days (Bilt Mastercard cardholder exclusive)
• Available to claim after earning 75k points
  • All of the Milestone Rewards at prior Milestone
  • 10X on your next 3 Lyft rides
  • 2X on digital wallet purchases for 7 days (Bilt Mastercard cardholder exclusive)
• Available to claim after earning 100k points
  • All of the Milestone Rewards at prior Milestone
  • Get 5,000 points closer to the next status
• Available to claim after earning 150k points
  • All of the Milestone Rewards at prior Milestone
  • $10 towards your next fitness class
• Available to claim after earning 225k points
  • All of the Milestone Rewards at prior Milestone
  • 7,500 points for the Bilt Collection
• Available to claim after earning 250k points
  • All of the Milestone Rewards at prior Milestone
  • 4X at grocery stores for 30 days (Bilt Mastercard cardholder exclusive)
  • 4X at gas stations for 30 days (Bilt Mastercard cardholder exclusive)

Please note the detailed description on each reward before using it.

How to claim a Milestone Reward

Once you’ve reached an additional 25k points, you’ll receive an email and push notification from Bilt letting you know that a reward is available to claim. These communications will take you to the Milestone Rewards page. The rewards will also be located within the Elite Status tab of the Bilt app right above your Status benefits.

If you have a reward to claim, you’ll see the Milestone Rewards button highlighted blue. Clicking this button will take you to a list of all Milestone Rewards. The Milestone Reward options available to claim at your respective Milestone (based on your points earned, in increments of 25k) will be shown. More Milestone Rewards options will become available as you earn more points and reach new Milestones.

Clicking each tile will give you a detailed overview of the reward you’re about to claim, and you can confirm the claim. All active and past rewards will be available for you to review in the history tab. Any rewards unclaimed by EOY will expire. However rewards claimed before the end of the year will run into the new year for however long specified.

If you select a Milestone Rewards during another promotional campaign, the best offer will always be applied, as promotional campaigns and Milestone Rewards do not stack. Also, if two Milestone Rewards are selected that have overlap, only one multiplier will be applied, these are also not stackable. If the competing multipliers are equivalent in value, the more specific multiplier will be applied.

All information about credit cards mentioned in this article has been collected independently by Danny the Deal Guru.

Targeted NLL Offers for Delta Cards

American Express and Delta Air Lines recently launched improved welcome bonuses for their co-branded cards. They also added new benefits and increased the annual fees.

I wrote earlier this week about some different offers that come with 20,000 less miles, but with an additional $400 credit. And now there’s even a chance for those who would normally not be eligible for a welcome bonus on Delta credit cards.

These targeted offers come out from time to time. They do not have the usual lifetime restriction. But double check your own offers to be sure.

Consumer Cards

These are all the offers showing up. They might vary from one account to the other, so check your own offers.

• Amex Delta Gold
  • Earn 70,000 Bonus Miles after you spend $3,000 in purchases on your new Card in your first 6 months.
  • $0 intro annual fee for the first year, then $150.
• Amex Delta Platinum
  • Earn 90,000 Bonus Miles after you spend $4,000 in purchases on your new Card in your first 6 months.
  • $350 annual fee
• Amex Delta Reserve
  • Earn 100,000 Bonus Miles after you spend $6,000 in purchases on your new Card in your first 6 months.
  • $650 annual fee

Business Cards

These are all the offers showing up:

• Amex Delta Gold Business
  • Earn 80,000 Bonus Miles after spending $6,000 in purchases on your new Card in your first 6 months of Card Membership.
  • $0 intro annual fee for the first year, then $150.
• Amex Delta Platinum Business
  • Earn 100,000 Bonus Miles after spending $8,000 in purchases on your new Card in your first 6 months of Card Membership.
  • $350 annual fee
• Amex Delta Reserve Business
  • Earn 110,000 Bonus Miles after spending $12,000 in purchases on your new Card in your first 6 months of Card Membership.
  • $650 annual fee

How To Find These Offers

To see if you are targeted for this offer, you can check the link here and log in with your SkyMiles credentials. If you can’t log in, it means that you are not targeted. You should also check your emails for these offers.

Amex Lifetime Rule

American Express restricts you to just one sign up bonus per credit card product. That’s once per lifetime, although American Express usually looks just at the previous 5-7 years. Even if you previously had the card and didn’t receive a bonus (maybe during your pre-churning days), you won’t be eligible for a bonus on the same card.

On top of that, American Express has been introducing family rules for welcome bonuses. That means that if you receive a bonus on one card, you might become ineligible for a bonus from another card in the same family. Personal Delta credit cards have a family rule, while business credit cards do not.

However these offers does not seem to have that language so that means that you are able to get the bonus even if you have had the card in the past. Just make sure to check your own offer thoroughly to see if this restriction is included.

Guru’s Wrap-Up

These are some great bonuses for all Delta cards, and the same as the current public offer. However, we have seen better offers in the past.

If you are eligible for a bonus on these cards, then you can just apply through the public links or referrals. But these offers listed here are a good opportunity for those who might have had these cards in the past, or are limited due to the Delta cards family rule. These chances to get a second bonus on the same Amex card don’t come around often, so if you value Delta miles and are targeted for these offers, it’s a good idea to apply.

Let me know in the comments if you are targeted for these Delta Cards NLL offers!

Is it hard to get a personal loan? The answer depends on what you mean. 

Applying for a personal loan is relatively fast and easy, especially online. However, individual borrowers may have difficulty qualifying for a personal loan if they don’t meet a lender’s minimum credit score or other requirements. 

Let’s look deeper into the easy and hard parts of the personal loan application process and how you can improve your shot at getting some extra cash in your pocket.

How Hard Is It To Apply for a Personal Loan?

While researching lenders and organizing paperwork may take some time, applying for a personal loan can be a simple process. You also don’t have to worry about how long it takes to get a personal loan – applications are usually approved or denied within a few business days. Some may even be approved on the same day.

Here are the most important steps in the process:

Choosing a lender

The length of this step depends on how thoroughly you’d like to search for and compare lenders. While you may be tempted to apply with the first lender you find, it’s always wise to dive deeper to find the best deals. 

The first decision is whether you’d like to apply online vs. in person. Some people like the brick-and-mortar feeling, but applying online gives you a wider range of options to choose from quickly. 

No matter how you choose, compare each lender’s loan offerings using the loan’s annual percentage rate (APR). APR measures what your lender charges you to borrow every year, including the interest rate and any additional fees they may charge. This gives you more insight into the actual cost of the personal loan than you would have with just the interest rate.

Gathering paperwork

Gathering paperwork isn’t the most fun part of the process, but supplying the correct information the first time you apply will make the process much faster. 

The paperwork you need includes the lender’s application form, two forms of official identification, proof of income and proof of address. This step can be quick and easy if you have all of this information filed away where it is easy to find.

Filling out the application

Once you have the paperwork organized, completing the loan application is a piece of cake. The application form will typically ask for personal information such as your name, date of birth and Social Security number. It may also ask for some information on the paperwork you collected. 

With all your paperwork in hand, you should be able to fill out the application in a few minutes.

Receiving funds

Your application will typically be approved or denied within 2 – 3 business days. And you may be surprised how quickly you receive funds if you’re approved. 

If you need money even faster, some lenders specialize in same-day application approval and funding. Once approved, you could receive funds within a single business day.

How Hard Is It To Qualify for a Personal Loan?

While applying is relatively easy, qualifying for a personal loan can be difficult if you don’t meet the lender’s specific requirements. These include all of the following (and sometimes more):

Credit score

Your credit score is essential to your personal loan application. Personal loan lenders typically require borrowers to have a credit score of roughly 640 or higher, but each lender’s requirement may differ. 

There are lenders that focus on giving personal loans to borrowers with bad credit or even no credit history at all. However, these types of personal loans will come with much higher interest rates.

Debt-to-income (DTI) ratio

Your debt-to-income (DTI) ratio measures how much of your monthly income you spend on monthly debt payments. Lenders use this information to decide whether your existing debt makes it too difficult for you to take on more debt. Generally, lenders want you to have a DTI of no more than 36%, though some may allow higher.

Income and employment history

Having a steady income and consistent employment history makes qualifying for a personal loan much easier because lenders can see you have the cash flow to repay the loan. However, it is still possible to get a personal loan without a job. You may have to pay a higher interest rate, but certain lenders don’t have a minimum income requirement for a personal loan.

Self-employed people may also have to provide more information about their income in their application since they are viewed as riskier than borrowers with a steady full-time paycheck. 

Loan amount

The bigger the loan amount you request, the harder it is to qualify for a personal loan. Lending a large amount of money is naturally risky for the lender, so they generally keep personal loans to smaller amounts.

Secured vs. unsecured loan options

Deciding whether to apply for a secured or unsecured personal loan will make a big difference in how hard it is to qualify and what rate you’ll qualify for. 

Personal loans are usually unsecured, meaning you don’t have to offer collateral to receive the funds. This makes it riskier for the lender and, therefore, harder to qualify for. 

A secured loan comes with lower interest rates and is easier to qualify for because you provide a valuable asset as collateral. This means that if you fail to make payments on the loan, the lender could seize your collateral to recoup their losses.

How To Improve Your Chances of Getting a Personal Loan

If your personal loan applications have been denied in the past, you can improve your chances with these strategies:

Improve your credit score

Improving your credit score is a solid long-term strategy to increase your chances of getting approved for a personal loan. 

Reporting errors in your credit report is one way to improve your credit relatively quickly, but significantly increasing your credit score may take some time. If you focus on paying down high-interest debt and building a consistent history of on-time payments, you can bring your credit score to an acceptable level for more lenders.

Add a co-signer

A faster way to improve your chances of getting a personal loan is to get a co-signer with excellent credit. This is a risk for the co-signer since they will have to make the payments on the loan if you cannot. However, if you have a trusted partner who is ready to cosign, you can significantly improve the quality of your application. 

Apply for a smaller loan amount

As the saying goes, you can’t always get what you want. If a lender denies you for a personal loan, try applying for a smaller loan. With less money at risk, a lender may be able to qualify you for your loan. 

Final Thoughts on Whether It’s Difficult To Get a Personal Loan

Applying for a personal loan is fast, simple and straightforward. Whether or not you get approved for that loan may be more complicated, but don’t let that discourage you. You can get a personal loan even if you have a lower credit score and low income. 

Before you apply, make sure to carefully organize and analyze your finances so you can make the right decision on whether a personal loan is right for you.

Same-day loans can help you if you need money quickly for an emergency purchase. However, they can also haunt you down the road as some types force you to pay extremely high interest rates and fees. Follow along as we dive into how same-day loans work and whether they’re right for you.

What Is a Same-Day Loan?

Same-day loans are pretty much exactly how they sound. They are loans that allow you to apply, qualify and receive funds on the same day. 

While several types of loans can be same-day loans, they are often collectively referred to as emergency loans because they’re usually used as a last resort when you’re in a pinch. That’s because they sometimes come with fees and interest rates so high that you’ll want to consider almost every other option before applying. 

However, if you find yourself in a tough spot and need money by the end of the day, a same-day loan might be your only real option. 

How Do Same-Day Loans Work?

You can receive a same-day loan from several sources, from traditional ones such as banks, credit unions and online lenders, to alternative sources such as pawnshops. Below are some of the most common same-day loan options. 

Same-day personal loans

A same-day personal loan is one of the best options if you need cash quickly. Personal loans are generally unsecured, meaning you don’t need to provide collateral to receive the loan, which saves lots of time on the approval process. The main information the lender (usually a bank, credit union or online lender) will need is your credit score, debt-to-income (DTI) ratio, employment history and income level. The specific financial information required will depend on the lender. 

Same-day loans typically allow you to borrow between $2,000 to $45,000, but don’t forget that you will most likely have to pay higher interest rates and fees on this money. Personal loan interest rates start around 11%, but can be higher if you have bad credit. 

Personal loans are fixed-rate loans with relatively short-term lengths compared to other loans like mortgage loans. In general, you can expect to make equal monthly payments for between 1 to 5 years to pay off the loan. 

Payday loans

As the name suggests, payday loans are designed to get you just enough money to last until your next payday, meaning you typically have to repay the loan within 2 to 4 weeks.

The loan amounts are usually $500 or less but come with huge interest rates that force you to pay a hefty price to get a relatively small amount of money. Payday loans typically cost between $10 to $30 for every $100 borrowed, an astronomical amount of interest compared to other types of loans. For example, if you pay $20 per $100 for a payday loan due in 2 weeks, your annual percentage rate (APR) would be over 500%. 

Pawnshop loans

Pawnshop loans are secured loans, meaning you must provide collateral to receive the loan. While you may have to risk losing a valuable asset, pawnshop loans come with much fewer requirements than other loan types. Pawnshops will not check your credit, income or employment status; the loan is based solely on the collateral you provide. This simple loan process makes it much easier to complete in a single day. 

You pay for these lenient loan requirements with interest rates as high as 20% to 30% and APRs around 200%. While pawnshop loan amounts typically average around $180, fees this large can still add up. Pawnshops also typically only offer 25% to 60% of the collateral’s resale value, so you will not receive nearly as much as the item is worth. 

Title loans

Title loans are also known as auto title loans because they require you to use your car as collateral for a same-day loan. Your car is only eligible if you own it outright. 

This loan will allow you to borrow up to 50% of your car’s appraised value, but you typically have to repay the loan with interest within 30 days. With interest rates around 25%, repayment can be challenging. But if you don’t repay the loan, the lender may repossess your car. 

Cash advances

A credit card cash advance is essentially a loan from your credit card company. Instead of using your credit card to make a purchase, you use the same line of credit to withdraw cash. This withdrawal comes at a much higher cost than a traditional credit card purchase and is subject to much lower limits than your credit limit, so it’s wise to use this option sparingly. 

Unlike your credit card that gives you a 30-day grace period before charging you interest, cash advances can charge around 5% of the amount of the advance immediately and can compound daily.

Pros and Cons of Same-Day Loans

Let’s look at the potential benefits and downsides of same-day loans.

How To Get a Same-Day Loan

The typical steps to get a same-day loan include:

1. Organizing your finances to determine how much money you need
2. Researching and comparing lenders, with a focus on the APR they charge
3. Filling out a loan application
4. Receiving the funds on the same day you applied
5. Paying back the loan within a relatively short period of time, ranging from days to several years

These steps will differ depending on the type of loan and whether you are applying for an online same-day loan or are applying in person. Make sure you have the necessary financial information that lenders may need for your application, including your credit score, income, proof of employment and proof of identity. 

Getting a same-day loan with bad credit 

It is possible to qualify for same-day loans with bad credit. If your credit history includes some missed payments or even bankruptcies, your best option may be a same-day loan that doesn’t require a credit check, such as a pawnshop loan. 

You may even be able to get a personal loan with bad credit if you provide collateral to secure the loan or get a co-signer on the loan alongside you. 

Alternatives to Same-Day Loans

• Home equity loans: If you have built up equity in your home (the difference between your home’s value and how much you owe on the home), you can exchange it to receive a much larger loan than a same-day loan – at a much lower interest rate and APR. However, the application process takes much longer and typically has stricter requirements than same-day loans.
• 0% APR credit card: This type of credit card gives you an introductory period between 6 to 24 months when the lender won’t charge you interest. If you pay off the balance before this period ends, you can fund a large purchase without additional charges. However, these cards also typically take longer to qualify for and have stricter requirements than same-day loans.
• Emergency savings: If you’ve responsibly contributed to an emergency fund, it might be wise to use it before applying for a same-day loan. While you may be hesitant to dip into your emergency savings, the high interest rates and fees for same-day loans may deplete it anyway, so it’s best to avoid them if you can.

Final Thoughts on Getting a Same-Day Loan

If you’re in a tricky financial situation and your last remaining option is a same-day loan, a same-day personal loan may be your best option. If your situation has not quite reached the level of an emergency, it is best to avoid potentially predatory loans such as payday and title loans.

No matter what loan you choose to apply for, make sure to carefully consider your financial situation and research all options before applying for a loan.