A tax refund can be a lifesaver for many people. It would have made much sense if the tax refund can come at the needed time. Sometimes submitting your tax return early will not even fast track your tax refund from the government.
This is why many people resort to a tax advance application. There are times, however, that you might not qualify for a tax refund loan. In this case, it is essential to know your alternatives.
When you do not qualify for tax advance, you could get some types of loans. Here are distinct loan options that you should consider if you are denied a tax advance loan.
The good news about personal loans is that you do not need to go to your bank. Some lenders can help you get such online with ease. With a good credit score, there will be good loan options available to you.
Unlike tax advance loans, your tax returns do not affect your personal loan eligibility in any way. To qualify, most lenders examine your credit score, your income, and other debts. The loan is usually spread over many years. With this, the amount you pay each month will be low and reasonable. Bear in mind that personal loans many times do not require collateral. As a result, lenders are usually stringent with the requirements.
For personal loans, the maximum amount you can expect could be as high as $35,000. You could qualify for a lower interest rate and better repayment period if you have an impressive credit. You get the loan instantly once you complete the form and supply other essential requirements.
Compared to personal loans, installment loans do not last. There are times your credit score might not be part of the criteria for qualification. This makes it easier to qualify. Although all lenders perform a basic background credit check, many do not go as far as getting info from major credit bureaus. As a result, it will not hurt your credit score.
You can easily plan for installment loans because you will need to spread the payment over the loan terms. You will, however, have to pay both principal and interest every month as agreed. This only changes when you refinance with another loan. Typically, the principal goes down every month, provided you make payment regularly. Also, the payments are made known to the credit bureaus; hence, it is a cool way to build your credit history.
Some lenders will need to know what you need to use the loan for, before borrowing you. For instance, some lenders might disapprove of you using such funds for college tuition fees. Installment loans generally come with relaxed guidelines. It can be pretty helpful in cases of emergencies, or when you have an expense, you need to take care of it. Most installment loans are usually within the range of $1,000 to $10,000.
If you need quick access to cash while expecting your next paycheck, a payday loan is a good option. Your credit history does not determine your eligibility for payday loans. Instead, lenders prefer to verify your income to determine if you qualify. With payday loans, you will write a check dated for your next payday or automate a debit amount equal to the loan to the lender's account.
These are short term loans usually repayable within two weeks. Also, the amount you can borrow is lower, although it often is a factor of your income. While it typically ranges from $100 to $1000, the state, at times, also determines the amount. There is no interest buy payday loan comes with a flat fee since the repayment period is pretty short. For every $100 you borrowed, you might be charged between $15 and $30.
It is important to note that payday loans are not reported to the credit bureaus. As a result, early payment will have no effect on your credit score. Should you, however, refuse to honor the debt and it goes for collection, it could end up on your credit report, and you know the implication!
If you qualify for a tax advance loan or not, there are viable alternatives that could save the day should you need access to cash on time.
Flynn Financial Group Inc