In the financial and banking world, the term loan is used quite frequently and commonly. Even in our day to day lives, we come across loans of various types that are applied for and availed of by different people for different reasons. Most of the loans are made available to the borrowers by the concerned lenders only after the fulfilment of certain formalities. Also, the borrowers need to accept the terms and conditions laid down by the lenders to get the loan approved. However, in some situations, the borrowers need to get access to the loan amount quite quickly and immediately. They are not in a condition to wait so long to get the loan approved and then have access to the cash. Here cash loans prove to be greatly helpful for such borrowers. Many people wonder what cash loans are. Some important facts related to cash loans are discussed below.
Direct Access To Cash
A cash loan refers to a loan that is offered by the lenders to the borrowers in cash. It means the borrowers get direct access to cash instead of a cheque or other forms of loan. It means you may apply for cash loans today and get the same granted in the form of a cash amount. This feature makes this loan quite distinct and also popular amongst borrowers that need loans for a short length of time.
Offered To Individuals As Well As Businesses
It is worth noting that cash loans are offered by the lenders to the private individuals as well as the businesses. For individuals, such loans are available in the form of personal loans. On the other hand, businesses may get access to cash loans in the form of small business loans. Generally, startups or small businesses prefer applying for such loans.
Eligibility Criteria Is Simple
The eligibility criterion for cash loans is quite simple. You just need to have some regular source of income so that the loan may be repaid completely. The need for a good credit score is ruled out in the case of cash loans.
Lower Interest Rates
To make it easier for the borrowers, the lenders charge quite low-interest rates over such loans. The interest rate may be different among various lenders.
Flexibility In Loan Tenure
As far as the loan tenure for cash loans is concerned, it may extend up to months and even beyond a year. You can pay back the cash loans today within a few months.
This was all about the cash loans that prove to be of great help during emergencies for the individuals as well as the businesses. Anyone may qualify for and get such loans quickly.