If you're behind on your bills, and creditors are starting to harass you, it might be time to consider a peer-to-peer, or P2P, loan. If the idea of a loan bothers you because you don't want to deal with big banks, don't worry. With P2P loans, you'll never deal with banks. Here are four reasons why a P2P loan is a great way to get the money you need to get out of debt.
Easy Application Process
Banks often require a lengthy application process. Once you apply for the loan, your credit is run, which puts a ding on your credit rating. If your credit is already on a decline due to late payments, that additional ding can take you out of the running for a bank loan. With P2P loans, the application is simple. You'll need to provide basic information such as your address, employment history, and banking information. You can inquire about your eligibility for loans without taking a hit on your credit score.
Lenders Never Contact You
If you've applied for loans before only to have lenders light up your phone with solicitations, don't worry. You won't have to worry about that when you apply for a P2P loan because no lenders will ever contact you. Once you apply for the loan, consultants will shop for lenders for you. Your entire loan will be processed without any lenders contacting you.
No Collateral Needed
One of the problems with other types of loans is that they often require collateral before funding. That means you'll have to provide some type of asset before you can qualify for a loan. Unfortunately, if you don't own anything, you won't have the collateral, which means you won't get the loan. With P2P loans, you'll never need to provide collateral.
Additional Funds Available
You never know when you're going to need additional funds. With P2P loans, you'll always have access to the money you need as long as you make your payments on time. That means that the next time you're in need of some extra cash, you can apply for another P2P loan and get what you need.
If a family emergency has put you behind in your payments, don't risk ruining your credit by falling further behind. Apply for a peer-to-peer loan with a company such as Crossroads Investment Lending. With a small peer-to-peer loan, you'll be able to get the cash you need to get yourself out of debt.
