What is installment loan?

There are many types of loan like mortgage loan, personal loan, credit card, auto loan etc. They all comes in either installment loan or revolves line of credit. With installment loan, you borrow money from an https://installmentloanscompany.com and agree to pay it back with interest in installment form of series monthly.

With this loan, you agree to pay fixes monthly payment every month till the loan term. Like, if you borrow money of $10000 for an interest of 6% for 5 years, you have to $193.33 every month for total 60 months in installment. This amount comprise of principal amount and interest on it.

installment loan

How to get it

In order to find the interest rate for you or you qualify for this installment loan depends on your credit score. The potential https://installmentloanscompany.com will check your credit score, annual income and ratio of debt to income. The lender company will check this ratio to know how much you can afford to borrow in installment loan. They might ask you lot of questions including about your current employment, employer and number of experience, how you normally manage to pay all other monthly payments.

Another thing is your credit score which plays a crucial part in whole loan application process. For all major type of loan credit score plays a wide important role. So it keep a close tab on the credit score for some months before apply for installment loan. Take your credit report and consult a credit advice expert to know whether your credit score are goo or not. If not you can ask for some steps you have to take for getting the credit score good before approaching a installment loan company. Also the https://installmentloanscompany.com will check your ratio of debt to income too so pay down any credit card balance remaining.

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