1 / 17

SHORT TERM LOANS

Short term loans are essentially cash advances that are meant to be repaid over a period of less than one year. These types of loans are usually taken out by businesses, especially businesses that rely heavily on production, as they have a constant need of financing their businesses. http://www.trueblueloan.co.uk

jolie1
Download Presentation

SHORT TERM LOANS

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. SHORT TERM LOANS

  2. Short term loans are essentially cash advances that are meant to be repaid over a period of less than one year. These types of loans are usually taken out by businesses, especially businesses that rely heavily on production, as they have a constant need of financing their businesses. There are certain businesses which do not qualify for a line of credit from a bank due to several reasons. This is where short term loans come into the picture where it is relatively easier to finance your working capital needs and requirements.

  3. There are some things we should know about short term loans. Let us discuss some of these features including some of the major advantages that these loans could have in comparison to other short term lines of credit.

  4. You might be an expert in budgeting but there are always these unprecedented financial needs that you will most definitely incur- such as car repairing, a doctor’s visit or in the case of businesses, a delay in funding. These needs can really create a large ripple in your income and create a shortage of money. 

  5. There are some people who swear by credit cards and will not settle for anything other than a credit card, even though credit cards carry a much lower rate of interest than other types of short term loans, there exists a danger in the constant dependence on credit cards in the form of balance carryovers and an ongoing interest charge. So what might seem as a low interest rate eventually converts into a higher interest rate due to balance carry-overs. There are some types of short term loans for students which can be described as follows:

  6. Emergency Loans: Emergency loans are usually used by students who require a loan for either their expenses or other unprecedented expenses that could occur while educating themselves. Living Loans: These loans are also used by students who require a sum of more than 200 pounds for their living expenses but provided they produce a company letterhead detailing their source of income. This amount may extend beyond 200 pounds but it is usually lesser than 350 pounds.

  7. Financial Aid Advance: This is for students whose current quarter funds are usually delayed. This is usually termed as a bridge loan and they are meant to provide a certain portion of the funds required under the method of electronic disbursement. A student can only borrow under or against current quarter disbursements.

  8. There are benefits of short term loans, especially for students which are as follows: They carry 0% interest charge which means that the amount you borrow is the amount you have to pay back, provided you pay back within the stipulated period of time. The terms and conditions of repayment are usually framed considering the needs of students and are usually extremely student-friendly. Where there are many types of short term loans which carry a substantial origination fee, there is absolutely no charge for you to process your loan and printing the cheque.

  9. Since these loans are usually full-proof, there is only very simple information that is required to complete these loan procedures and the application process is considered to be one of the simplest ways of loan transferring. There is a rapid approval process which means that within a few minutes, you can apply for a loan and within a few minutes, you can walk away with the loan cheque in your hand.

  10. However, there are some terms and conditions for even a student to apply for a short term loan which should be discussed further: A student applying for a short term loan should hold no previous record of a default repayment on the short term loan within the past one year of applying for the short term loan. If you have not repaid the borrowed amount by or on the due date, penalties are bound to occur. All the past loans are subject to late fees and other collection costs. While you are in the repayment period, you will need to keep all the contact information up-to-date and it is essential that you respond to all loan correspondence promptly.

  11. There is a certain format which one should know about while applying for a short term loan. This is usually beneficial for people who are applying for a short term loan, for the first time. We will understand this in a few steps. There are certain loan offices which are identified for specifically short term loans. All one needs to do is fill out an application form filling in some basic details like your name, address, your university ID number and telephone number. You will need to mention the kind of loan you are opting for and your university status.

  12. You will need to provide picture identification, a driver’s license, state ID card, passport apart from any additional information that a loan processor might ask for, such as a letter from your employer in the case of a living expense loan. There will be a promissory note that you will have to sign, it is essential that you read it completely and ensure that you have signed it once you have understood it completely. Accept the cheque and ensure that you cash it in the banking institution of your choice and most importantly, ensure that you use it for the purpose that it was intended for. The last step is repaying the loan amount by the 20th of the next month to remain in good standing and this will make you eligible for another short term loan. Your due date will be printed on the promissory note that you should have read and signed.

  13. For more information click here: www.trueblueloan.co.uk

  14. Thank You

More Related