FROM OUR BLOG
Same day loans are often promoted by a number of online lenders. They state that you can receive your loan on the very same day that you applied for it. However is it actually possible to find a direct lender, apply for a loan and then actually receive it all on the same day?
What checks does a direct lender carry out?
When you apply for a loan there are a number of checks that need to be carried out, from identity checks, monthly earning and outgoings and even a credit check. The credit check is the most important check out of the whole loan process. It is during this check where the lender will learn many things about you, such as your credit score, your bank accounts, your monthly bills and even any previous loans that you have taken out with different lenders.
It’s fair to say that there are quite a few checks that are carried out by different lenders when you apply for a loan. This may sound like a long process but the reality is that all of these checks are automatically completed within a few seconds of applying.
Can you apply online?
Nearly all loan applications are carried out online with direct lenders such as lucky loans, it is very rare that you would go into your bank to apply for a loan these days.
The majority of lenders operate online, whether it is through their own individual websites on on money comparison websites such as money supermarket. This is hugely beneficial to the individual that is applying for the loan as it means that a face to face appointment with your bank manager is no longer needed, which was the old school way.
When will i receive my money?
Just how long does it take to apply for a loan? Once you have followed the loan application process you should receive your money within 15 minutes.
- I started by completing an online questionnaire which took approximately 5 minutes
- I submitted the application, luckily on this occasion I was accepted for a loan
- Within minutes i was sent my loan agreement form which included the small print and terms and conditions of my loan (I could still decline my loan offer at this point).
- Although i didn’t accept my loan agreement form, (as i don’t need a loan) from the start of my application to to receiving my loan agreement form, it took just 7 minutes.
Not only is it clear that same day loans are actually a thing, but 15 minute loans may also be a thing as the whole process was that quick!
Where possible you should always try to avoid taking out a loan. Read out other blog post on how basic financial accounting knowledge can help you stay on top of your finances and help prevent you form needing to take out a loan.
Finances are a crucial part of life, as you need money to do a few essential things. This is what drives people to talk about the importance and value of terms such as ‘money’ and ‘finance’ regularly. They are concepts in life which teach you a lesson or two about survival and existence. But there is nothing which cannot be achieved using your own skills and ability. So here are a few ways through which you can become your personal financial expert.
There is no other individual in the world who knows you better than yourself. Only you can predict and establish your behaviour, which also includes your spending habits. Such actions can be controlled or managed by yourself as you don’t need another person to do the same. When you stare at mouth-watering stuff near a shop, you very well know what the next move is going to be. Since you are aware of this behaviour, you are the expert in this scenario. So, keep control of yourself.
There are many basics or fundamentals associated with financial planning, which you need to be aware of before you can go ahead with the plan. These fundamentals and principles are books containing a set of rules which can provide you with help when it comes to matters relating to finance. They also talk about the paths which you need to take in order to expand your finance, like various securities and investment strategies. Hence read the right book in this regard.
After you have drafted a plan of action, you need to ensure the validity of the project through proper evaluation. This can be attained by going through the project, time and again. Once you’re done, you must be confident about the plan and convince yourself that you are going to achieve it. This confidence will be the main factor which motivates you through times where you tend to doubt yourself. Hence understand, evaluate and drive yourself towards the end goal.
Financial accounting is a process of keeping track of company records and reporting all the financial data of inbound and outbound business operations. So basically to keep track of financial transactions, the accounting data is recorded as statements including balance sheet, income statement, and cash flow statement. There are a series of accounting principles that a company follows to make better decisions in the future to whether to take up projects and buy new equipment and machines for the business. Here are the three main areas where financial accounting can help in better decision making for businesses.
It provides the investors to decide better on the financial health of the corporations with better comparisons with efficient analysis. It also helps the creditors assess the solvency, liquidity, and creditworthiness of the business.
The fundamental analysis depends on the company’s balance sheet, which records the statements of cash flow and income statements. All of the financial statements of a business are created and reported according to the financial accounting standards by the Financial Accounting Standard Board.
The investors make use of the information from the financial statements to make future decisions about the credit worth of a company and its value in the market. Without the financial statements, the investors will have a blurred idea about the company’s financial health.
Financial accounting is also beneficial for lenders to make decisions on finding out their real creditworthiness. Because the financial statements outline all its assets and bank details, the lenders can make good choices in lending and taking credits to other parties. Although the process of applying for business finance has many differences when compared to an individual applying for personal finance, there are still some aspects of the application process that are similar. For example credit checks can still be performed on the individual directors of a company to confirm their creditworthiness and also ensure that there has been no history of Bankruptcy or any outstanding debts that may affect the individual/businesses ability to repay the full loan. These same checks are also carried out by many consumer finance companies such as Payday Pixie to ensure accurate lending decisions and to confirm an individuals creditworthiness and affordability.
The accounting ratios,debt-to-equity ratios and times interest earned ratios are derived from a company’s financial status. Even for small private businesses which do not follow the guidelines of FASB, no lending institution provides large business loans without critical information from financial sheets. The lender wants to know how much risk is involved in lending money from the company’s deposit, which can be determined by financial accounting. With proper financial accounting, the lender can accurately decide the amount their company and lend and at what interest rates.
A well organised financial accounting also serves the corporate themselves. With lenders and investors, reliable accounting benefits the firm too. The general benefit which an organisation gets from their financial accounting is meeting the legal and regulatory obligations outlined for similar company lines. The companies must be honest about their financial activities and must publish the data as accurately as possible on a regular basis.
Apart from these three major reasons, financial accounting also benefits in managing budgets, understanding public perception, tracking the efficiency of the company, analysing the product performance, and develop short term or long term strategies.
People hesitate to put their money in small business because they feel they need a lot of money to do so. Which is not the case, as you can start investing with a minimum share from your salary. Investing is a good habit which can later benefit you by providing a stronger financial position after a few years. Here are five ways you can start investing a small amount of money for a wealthier future.
Try the cookie jar approach
Saving money in a piggy bank or investing it in business is almost the same thing. The only difference is that investing can give you more profitable returns. Big banks can offer higher interest rates on your investment without the need for monthly maintenance and minimum deposit. Even if you start investing your money with just 10$ per week, by the end of the year you will have over 500$. Get yourself a habit of saving money in a separate account which can be cashed out anytime. Start with small amounts of money, and as you get comfortable, start putting in more savings.
Enrol in your employer’s retirement plan
If you have a tight budget and cannot make up much for the near future, consider employer-sponsored retirement plan with insignificant amounts. You can start investing in your employer plan with as minimum as 1 percent of your family. Such low investments will not noticeably affect your expenditure. Slowly you can increase your investments each year as you start to get used to investing. Later in the years with increment in your salary, the share for your investment will also increase.
Put your money in low-initial- investment mutual funds
Mutual funds allow you to put your money in the market, in portfolio stocks and bonds with a single transaction. The only barrier is many mutual fund companies require initial minimum investments that might cost you more compared to other options. But some mutual fund companies will agree to reduce the monthly investments if you have a stable earning. An automatic investing arrangement is particularly convenient for spending time every month to work on your deposits.
Play it safe with treasury securities
Government security funds cannot make you huge profits, but they will provide a safe place and some amount of interest on your deposits. You can opt for higher risk and higher profits as you get to understand their policies properly, but before you do, so it is suggested that you have a clear idea of where you are putting your money.
Invest with worthy bonds
You can plan on investing in the worthy bonds with fixed interest rates. The bonds are termed for 36 months period, but the good part is that you can take out the interest at monthly basis without penalty. You can buy as many 10$ bonds as you like and get the profits sitting at home. The simple idea is that Worthy is going to take the money from you and invest it into companies. If they benefit from it, then you will as well get some reward which will be equivalent to 5%.