The idea of taking out a loan makes a lot of people uneasy. Loans can be difficult to understand and are a big commitment. For people with a bad credit rating, there’s added stress of not knowing whether you’ll qualify. Rest assured, there are loans for poor credit without a guarantor. You just have to know what to look for. 

Some loans are much easier to get than others. And of course, different loans are used to make different purchases. Basically, the bigger the loan is the more difficult it will be to get. 

Fast Cash Loans

The name says it all. Many fast cash loans are designed to offer relatively small sums of cash very quickly when a person has an emergency expense. Typically, fast cash loans are for $2,000 or less. 

Lenders that offer these loans can usually qualify a borrower the same day as the application. You can even apply online for the quickest service possible. The eligibility requirements are fairly minimal even if you have poor credit. You’ll need to be employed, provide an ID number (such as a Social Security number) and have a checking account. 

Auto Loans

A big purchase many people make at some point in their lives is an automobile. Some people save up for years in order to buy a vehicle outright, but most people cover at least a portion of the cost using an auto loan. These loans are offered by banks and auto dealerships expressly for the purpose of purchasing a vehicle.

In addition to verifying income and credit score, the lender will also sometimes want to know about the vehicle you want to purchase. They will carefully scrutinize the value of the vehicle and make the loan only for what they think the vehicle is worth. Auto dealerships can usually get you qualified the same day you come in to purchase a vehicle. Bank pre-approval for an auto loan can be done in just a few days. 

One reason auto loans are quicker and easier to get compared to other loans is because of built-in collateral. If the borrower fails to make their payments the lender will take the vehicle. 

Personal Loans

A personal loan is a loan that can be used for a variety of purposes. People will use this type of loan to cover the cost of home renovations, medical expenses, and even other outstanding debts.  

A personal loan can take some time to get because the bank will carefully analyze your finances. If the process is handled online it can be completed in about a week. Typically, to get a personal loan you must have some sort of collateral to use to secure the loan. The collateral reduces the risk for the lender since they aren’t entirely sure what the funds are being used for, which they may not be able to repossess like a vehicle. 

Student Loans

Higher education is extremely expensive today, but many professions require a degree. Some students are able to get scholarships and grants to reduce the cost. However, many others use students loans as a solution for covering the expenses. 

The primary requirement for a student loan is enrollment in an accredited institution of higher learning. Lenders understand that during school most students don’t have jobs and therefore don’t have income. What they are banking on is that after earning a college degree the student will become employed and then have the funds to repay the loan. However, as added security, some lenders require that another person cosigns on the student loan. 

In many cases, approval doesn’t take long, but it takes 3-10 weeks to receive the student loan funds. It largely depends on whether funds are first sent to the college for tuition and whether you are using a federal student loan or private student loan. 

Home Mortgage Loans

For the vast majority of people, buying a home is the largest investment they’ll make in their life. It’s also the largest loan they will take out. That’s the main reason it takes so long to get approved for a home mortgage loan and receive the funds. It’s standard for the loan process to take 30-45 days or longer.

The lender will first look over the borrower’s finances in detail. But getting approved for the loan is just the first step. Once you have a contract to purchase a home the lender will then do an appraisal. They want to make sure the home is worth the purchase price. If it’s not appraised for the purchase price or higher the borrower will have to negotiate the price down or make a larger down payment to make up the difference. That means but the borrower and the home itself must meet qualifications for the mortgage loan to go through.