The rapid and increasingly sophisticated technological developments make life more practical and effective. So also with the banking world with its loans, now many cash transactions can be done online. if the previous loan process must be done manually by coming to the bank or loan provider company. now began emerging loan company money online. only with internet connection, you can get loan funds online. but wait, is the online loan really safe?
Yep, when viewed from kemudahnya, obviously this online loan is very superior. However, quite a few are concerned about security and are still hesitant to apply for loans here for several reasons:
Quite a lot of online lending sites that apply like loan sharks. Lend money in an easy way and fast work process, but provide very high interest. As a result, instead of this loan to help you, it will make you even more in financial trouble. This is due to the fact that many online lending institutions are not listed in the Financial Services Authority. As a result, they can not be arbitrary because they do not have the boundary attachment to provide loan interest in accordance with the rules set by the central bank.
When you apply for a loan, you will definitely be required to fill in your details in detail. This is what makes the customer feel worried and afraid of the risk of data sales. certainly filling with data that is not detail will make your loan application is not accepted.
Basically online and offline fund loans are just the same, ie providing solutions for those who need funds. However, both have different plus and minus values. Borrowing funds online is different from applying for loans in banks, multifinance institutions, or pawnshops. Online loan lending provides a very fast process and does not require much demand and strict qualifications. If you are still hesitant to borrow money online, you can follow the following tips:
1. Recognize the Institution or Online Loan Provider
You must know the institution that will transact with you. How to find information about the institution. This information can be obtained from other customers’ testimonials or searching through the internet. Then, you must know the interest charged and other costs. Finally, you should be aware of the requirements proposed by the agency. As much as possible choose a trusted bank and credibility
To see if the lending institution is official, it can be checked by looking at:
- Office address
If the “contact us” or “contact” is only provided a phone number, we should be vigilant. The official institution must have a physical office even if it provides services online.
- Secure site
Check the long box at the top of the computer screen or the phone where the site address is written. Safe sites start with “https” instead of “http”. it also avoids theft and hacking of data by hackers
2. Recognize Mechanisms and How Online Loans Work
Just like conventional loans, online loans also have special procedures to where the borrowed money is actually disbursed. Usually the first course of the loan application in the form of filling out the form only.
The next process is deepening, ranging from surveys, explanation of mortgage mechanisms, and interest and various other information activities. Afterwards, the creditor will decide whether to receive the loan or not.
3. The Offered Interest is Low Enough so as Not to Complicate the Customers
It should be noted, interest should not exceed 3% of the loan value. If you are borrowing offline, you are usually charged only 1% interest. But it depends on the value of your loan. If the value is large, then the interest is small. If the long term, then the higher the interest. This is often the case with the application of a quick cash loan. So, you also have to calculate your loan interest and through installment simulation you must pay every month until paid off.
4. Terms of Loan Application
You need to know the requirements of the documents that the online loan company requested. Usually the terms used are personal documents, such as:
- ID card
- Certificate of Employment
- Account notes
- Salary slip
In general, online lenders will require their customers to have an email because of the requirement that your documents be sent via email.
5. The length of funds disbursement process
If you use an online system, it should be a maximum of one week. If the number of customers a lot, then the process will also be long. Therefore, make sure all files have been submitted. Usually the lender will contact you if the file has been received and is or has been processed.
This online loan is indeed very easy and fast. but stay alert always, lest you be lulled to borrow money easily. Be wise in the utilization, let alone you could have to pay installments for years.
Finding an online loan can be a solution for those of you who need quick funds without strict requirements such as bankers. and very effective in terms of time and energy. However, as a debtor candidate, the foresight, patience, and willingness to verify banking institutions or online financial service providers should still be put forward. It aims to not regret or become a victim of fraud in the future. hopefully this article useful