- What is a mobile loan application?
- Is it safe to submit a loan application from my smartphone?
- Is a mobile loan right for me?
What is really a mobile loan application?
Many banks and online lenders allow you to obtain a loan through your desktop internet browser. Mobile loan requests take it one step further for people who don't wish to fire up a pc to deal with their loan applications.
When we refer to mobile loan requests, we broadly mean any loan you are able to apply for using a mobile app or the mobile internet browser on your smartphone or tablet.
With a mobile loan, the entire process from beginning to end is handled digitally. Are applying for the loan, the company reviews your application and, if your application qualifies, the loan money is disbursed without a visit to the bank.
You can use your mobile phone to try to get several kinds of loans:
- Personal loans really are a kind of installment loan will purchase major purchases for example wedding expenses, home improvements or debt consolidation.
- Auto loans provide financing for a new or used car. Some lenders may let you apply to refinance your loan on your mobile device.
- Payday loans are short-term loans for a small amount of money designed to bridge a spot until the next paycheck. Keep in mind that even though you can apply quickly using your phone, pay day loans should be a last resort because the interest rates are extremely high.
- Car title loans allow you to take out a short-term loan and use the title to your car as collateral in exchange for money. But just like pay day loans, these should be a final resort.
Is it safe to submit financing application from my smartphone?
Mobile loans are convenient, but there are risks associated with applying for a loan through your smartphone that you may not face in a brick-and-mortar bank or credit union.
Before applying for financing, be sure you know how the app or mobile site works and what safety measures the company has in place to safeguard your data. Here are some tips on what to look for when downloading and using an app.
- Install apps only from trusted sources: Before installing an app or applying for financing in your phone, ensure that the clients are a legitimate lender. Investigate the lender and/or its parent company on the Bbb website, look at testimonials of the app, and download the app from a recognised app store, like Apple's App Store or even the Google Play store.
- Understand app permissions before accepting them: Before installing the app, be sure you browse the privacy settings and therefore are comfortable moving forward. Before granting access permissions to an app, make sure you understand what information the app wants access to. If unsure, limit permissions and appearance the privacy settings for the app.
- Accept operating system updates: Make regular updates to the operating-system, as updates frequently have security patches to avoid exposure to cyberthreats.
- Don't use public Wi-Fi: When making use of your mobile loan site or app, disconnect from public Wi-Fi networks. Use a password-protected network instead.
Is a mobile loan right for me?
If you're looking to gain access to money, applying for a loan with your mobile device may be a sensible choice for you personally. However, think about these pros and cons before you apply for a loan.
Pro: You are able to apply for a loan around the go
With a mobile loan, you can apply for a loan wherever you can use your cell phone – in your house, on the train or even in a supermarket. When you need money quickly, having that accessibility could be invaluable.
Con: It helps to be confident with technology
To apply for a mobile loan, you'll need a certain level of comfort with a smartphone. If you struggle with basic phone functions, for example texting or capturing, a mobile loan may not be right for you.
Pro: You can compare rates
With a mobile loan, there's no need to visit individual bank branches to get loan quotes. You can compare offers from multiple lenders from your phone. Comparison shopping may help you snag a lower rate of interest on the loan that most closely fits your requirements.
Con: Some apps could put your personal information at risk
As mentioned above, there is some cyberthreat risk if you use an app or mobile site to apply for financing. Ensure the app is run by a reputable company before submitting the application.
Pro: Loans might be processed quickly
With mobile sites, your loan application could be processed quickly. You could get a decision inside a few hours. If approved, you may be capable of getting your hard earned money within one working day.
Con: There's no face-to-face customer service
In most cases, mobile loans are carried out entirely digitally. For those who have a question concerning the process or trouble with a certain area of the application, you don't necessarily have the choice of in-person assistance if you aren't applying having a bank that has a local branch. You may have to write to customer care via an online form or create a phone call.
Bottom line
Mobile loans permit you to apply for the cash you need quickly on the go – so long as you have your smartphone handy and reliable internet service. For steps to safeguard your individual information, mobile loans can be a secure and convenient choice. But before you submit the application, make sure you compare offers from multiple lenders to help obtain the best rates and terms for you personally.
You'll also want to make sure you have private information such as your income, employment info and Ssn available since you'll typically need that information to try to get financing.
