At some point in life, we all need a way out of a financial need. Perhaps you want to fund an expense in your business, have a personal emergency, or like to purchase something, but you don’t have the money upfront. Whichever the situation, you will always find a money lender waiting to sort you out as long as you meet their eligibility criteria.
But unlike in the far past, when borrowing used to be everyone’s biggest nightmare, seeking a loan is almost effortless these days. You may not even have to leave the comfort of your home or office when you need to apply for a loan. This is especially the case for cash emergencies and short-term loans.
Over the past few years, online money lending has explosively grown into a highly lucrative and competitive business. A quick search on Google on online money lenders will give you tons of results; you’ll be spoilt for choice. Considering the unending cybersecurity threats and identity theft issues we hear of every day, is taking a loan online really safe?
Well, the answer is YES, but it depends on how you approach it! Here are some tips to ensure safety when taking up an online loan.
1. Choose a Reputable and Experienced Lender
Just like traditional lenders, online lenders are businesspeople. They make a profit and pay their bills through the interest they earn after lending you money. As opposed to dealing with long queues at banks just to get your loan disapproved, the folks from GreenStarCash say that an instant online loan can be a better alternative. An instant loan from an experienced online lender can help you out with a financial fix or cash emergency fast while ensuring that your sensitive information is protected.
Since many of them exist out there, you just need to make sure you work with a reputed lender to avoid cries and lamentation in the future. Some things you can do to ensure you’re dealing with a reputed online lender are:
Seek recommendations from family and friends.
Check out reviews.
Check the consumer protection bureau for financial complaints.
Research more about the company.
2. Borrow Wisely
Desperate times call for desperate measures, and getting a loan is not an issue, but what is it for? Anyway, you may need to foot a bill that summed up higher than you expected but had no money at hand to pay for it. Just because your lender can give up to $100 should not woe you into taking up all that while you only needed $20. You may be financially stable to pay the $100 in the future, but how sure are you that you will have the money when you are required to pay back? Take only what is necessary and what is enough at that moment!
3. Watch Out For Identity Thieves & Prying Eyes
Yes, the internet came to make life easier for everybody, especially in the financial sector. No more long queues to take up urgent loans. With just a touch on your smartphone, your financial crisis is settled. However, how safe is your personal information as you take up that personal loan online?
Pop-ups of money lenders while browsing on the phone is not anything new. Some come with catchy phrases like “get instant loans at no interest” and convincing sales pitches that may trap you into asking for a loan when you do not even need one. The next thing you know is, you are required to fill in sensitive personal information for you to get the loan. Beware that the information you provided can be used to hack your accounts or commit online fraud.
4. Confirm the Lenders Legality
Just like any other business, money lending companies should be appropriately registered and licensed. Every state has a website that citizens can use to validate the information of whatever they want as long as it is in the country. If you do the search and find that the lenders’ name is not on the list, drop it like it’s hot! If it is not registered, it is probably not legit. Some things that should raise a red flag include:
You get too much pressure to accept their terms.
Requested for upfront charges.
Their website URL has no “https.”
You can’t trace their offices physically or online.
With more than just a few lenders online, you have no reason to risk your resources to find yourself in the wrong books in the future. Hopefully, the above pointers will help you decide whether or not to borrow online or offline. The bottom line is that online money loans may or may not be safe
