Want to get your podcast sponsored and make more $ from it?
[even if it’s new or has low downloads!] Check out my free course!

Follow Lilach

4 Steps To Getting A Loan

4 Steps To Getting A Loan

Money is a basic need. How easy or hard life becomes is partly dependent upon how financially fit you are. When you have no money to handle whatever issue is at hand, you can always take up a loan. Itโ€™s evident, however, that most people have no clue on how to get a loan and if youโ€™re one of those people, we are here to enlighten you.

Here are the 4 steps to getting a loan:

1. Determine The Type Of Loan You Want

The first step to getting a loan is deciding first which type of loan you want to take up. There are basically two categories of loans and these are standard and non-standard loans. The duration and interest rates of loans differ depending on which category they fall under.

Examples of standard loans include auto loans, mortgage loans, student loans, hassle-free personal loans, home equity loans, and small business loans. Non-standard loans, on the other hand, include vacation loans, home renovation loans, wedding loans, and so on.

Define the loan that you want to take up based on the needs you have at hand. If, say, your need is to purchase a new car, youโ€™ll want to take up an auto loan.

2. Work On Your Credit Score

A credit score is a 3 digit numeric expression that highlights the creditworthiness of a person. In simple terms, it shows how likely you are to repay debt. The second step to getting a loan is to ensure that your credit score is in order. To do this, you can first start by getting your credit report from credit reporting agencies such as Experian, Equifax, or TransUnion.

Review the credit report for any errors and if you find some, have the error deleted. You can get a financial specialist to help you with the process.

Lending institutions will review your credit score before approving or rejecting your loan application. Having a good credit score increases your chances of getting your loan request approved.

3. Review The Different Lenders Available

There are different lenders that you can source your loan from. The first and most common lender is a bank. Other available lenders include online lenders, credit unions, peer-to-peer digital lending platforms, mortgage brokers, and mortgage bankers.

These lenders have different loan terms and conditions. Itโ€™s important that you analyze their interest rates, repayment terms, loan duration, minimum and maximum lending amounts, collateral requirements, and the consequences of failing to repay the loan as per the agreed terms.

Youโ€™ll also want to know how long it will take for each lender to approve your loan request after making an application.

4. Prepare Your Application

Once youโ€™ve decided on the type of loan you need and the suitable lender to source from, the final step is to prepare your application. Itโ€™s more advisable to stick to one lender. Find out the information that the lender needs and provide it.

Such information may include your identification details, source of income, annual revenue, collateral information, details regarding any other loans you may have such as a mortgage, and pretty much any other information they will require from you.

Conclusion: getting a loan

There you have it. Now you know how to get a loan. You can use a loan comparison service to help you compare the different loan packages from different lenders and choose the one that is appropriate for you.

If you are in Finland or Sweden, you can find helpful loan comparisons at https://nordiclenders.com/fi/joustoluotto/.

Follow Lilach

In this post:


Listen to the podcast today!

About Lilach Bullock


Hi, Iโ€™m Lilach, a serial entrepreneur! Iโ€™ve spent the last 2 decades starting, building, running, and selling businesses in a range of niches. Iโ€™ve also used all that knowledge to help hundreds of business owners level up and scale their businesses beyond their beliefs and expectations.

Iโ€™ve written content for authority publications like Forbes, Huffington Post, Inc, Twitter, Social Media Examiner and 100โ€™s other publications and my proudest achievement, won a Global Women Champions Award for outstanding contributions and leadership in business.

My biggest passion is sharing knowledge and actionable information with other business owners. I created this website to share my favorite tools, resources, events, tips, and tricks with entrepreneurs, solopreneurs, small business owners, and startups. Digital marketing knowledge should be accessible to all, so browse through and feel free to get in touch if you canโ€™t find what youโ€™re looking for!

Podcasts:


Popular Articles:


Hope you enjoyed this blog post!

If you want our team to grow your business with digital marketing, book a call.