The Difference Between Short Term Loans & Instalment Loans

The Difference Between Short Term Loans & Instalment Loans

When you’re searching for short term finance, it can be difficult to know exactly what you’re looking for. Payday, instalment and short term loans can be used interchangeably on the market. In fact, they are very different types of loans. We can provide you with all of the information that you may need when it comes to borrowing money. Here, we’ve put together a quick guide in order to help you when it comes to finding the right short-term finance for you.

Instalment Loans

If you’re looking for monetary help when you’re facing an issue that you were not financially prepared for. Then a short-term or instalment loan can help. However, with instalment loans, you can pay your debt back within a certain number of repayments, so you can balance out your monthly repayments with how much you can afford – rather than trying to pay it back in full.

Why Instalment Loans?

Perfect For:

If you’re in a position where you can’t pay the loan back in full. Many people live paycheck to paycheck, and because of this, you may not have enough savings to cover an incident or issue. In some cases, instalment loans can be used by those who have bad credit rating, but this depends on the loan provider.

Benefits:

• These can be used for long-term purposes.
• Repayments are made over a series of months, which you can afford.
• In some cases, you may be able to get an instalment loan if you have bad credit.

If you know that you have bad credit, or you cannot afford to pay off a short term loan in full, along with the interest, then you may want to consider an instalment loan. These loans can be set over a certain period of time, ranging from a few months to even over a year. With this, you can follow a comfortable repayment schedule to fit your budget.

Short Term Loans

These types of loans are intended for short term use only, and because of this, they are generally required to be paid back in full on the due date specified when you take out the loan. Life is often unpredictable, and because of this, you may find that you’re in need of financial aid because your savings aren’t quite enough to cover it. This is where short term loans from online lenders or brokers such as LoanPig come in.

Why Short Term Loans?

Perfect For:

Short term loans are available quickly and easily here at LoanPig, and with a simple repayment process, they can be extremely helpful when you need them.

Benefits:

• No need to worry about long-term repayments, with added interest.
• Highly convenient.
• Simple, online process.

Short term loans are a simple, and convenient way to get help when it comes to a financial issue. This financial issue may have cropped up that your savings or remaining pay couldn’t quite cover. Applications are quick, you can gain help from one of the most reputable and responsible lenders on the market.