What is an Installment Loan?
Installment loans are a form of installment financing. This type of loan is perfect for people who have short-term financial problems and are not in a position to borrow money from traditional sources. The benefit of using an installment loan is that you can pay off the loan in several installments, which will make it easier for you to repay the money. Here are some of the pros and cons of using installment loans:
Pros:
- It is more ideal than payday loans
- You can borrow money even if you have a bad credit
- No collateral needed
Cons:
- Interest rates are high
- Inflexible payment terms
- You’ll be locked with monthly payment obligations
Installment loans work similarly to credit cards, except that you will be charged higher interest rates.
What is a Credit Check?
A credit check is a method used by lenders to verify the credit history of a potential borrower. Lenders can check your credit history through a credit bureau like Equifax, Experian, and TransUnion. Loans with credit checks often come with lower interest rates. The reason behind this is that if you have a good credit history, you are more likely to pay off the loan.
No credit check loans, on the other hand, are designed to be given to people with bad credit. However, the disadvantage of using this type of loan is that you will be charged with higher interest rates because you are considered a high-risk borrower.
Companies That Offer $2000 Installment Loans With No Credit Check in Canada
There are a few companies that offer $2000 installment loans with no credit check in Canada. Here are some of them:
Lending Mate Ca
Lending Mate Ca offers installment loans of up to $10,000 with an APR of 43%. Your loan application can get approved in as fast as 24 hours, and their repayment term varies from 36 months to 60 months, depending on the amount you borrow.
Cash 4 You
With a flat interest rate of 46.93%, Cash 4 You offers installment loans of up to $15,000. Your cash advance request can get approved within 24 hours, and the repayment term is between 12 months and 60 months.
Loan Connect
Loan Connect offers short-term installment loans of up to $2,500, with an interest rate of 32%. You can repay your loan between 3 months to 6 months.
Loan Away
Loan Away is another online lender that offers installment loans of up to $5,000, with an APR ranging from 19.9% to 45.9%. You can repay your loan between 6 months to 3 years, depending on the amount of money you borrow.
Frequently asked questions
How much can I borrow with installment loans?
Are installment loans bad for credit?
What are the downsides of getting installment loans with no credit check?
How do I ensure that the lender is legitimate?
What is considered to be a good credit score?
How can you improve your credit score?
Conclusion
Getting an installment loan is a quick way to cover your short-term financial needs. However, the downside of using this type of loan is that you will be charged with high-interest rates and locked with high monthly payments.
Piggyy
״The secret of happiness, is not found in seeking more, but in developing the capacity to enjoy less״ - Socrates
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