Whether you’re consolidating debt or financing a home renovation, personal loans can be a handy tool for receiving money quickly. However, there are a variety of factors that can determine how fast your loan application will be approved. In this article, we will take a look at how long it takes to get a personal loan and the methods you can use to make the process faster.
How long does it take to get a loan?
Application time will depend significantly on who you are borrowing money from. Online lenders, such as Koyo, provide loans to a variety of borrowers, with varying APRs depending on your financial situation. However, unlike traditional lenders, such as banks, online lenders offer loans quicker. For instance, Koyo Loans can approve an application within one working day and send the loan amount to the borrower within the first 48 hours. 27.9% APR Representative. If you’re in need of a lump sum quickly, online personal loans are the way to go.
How to get your application approved faster
While you are not in full control of how long a lender will approve and disperse a personal loan, there are a few extra steps you can take to speed things up. If you want some tips on how to get a quick loan, here are some simple ways to make the whole process that bit quicker.
Double-check your credit score beforehand
It doesn’t matter where you send a loan application – your credit score will be an important factor in its success. When coming to a verdict, lenders will evaluate your credit score and make a decision on whether you are reliable enough to make your repayments. A good credit score will lead to quick loan approval, while a bad one could result in you being declined a loan altogether.
Taking a look at your credit score before you apply for a loan will give you a better idea of which online lender is suitable for your situation, saving time in the long run and avoiding loan rejections. In fact, we suggest running an eligibility calculator, in order to properly assess which loans are right for you.
Even so, while your credit score has a part to play in all loan applications, many online lenders, such as Koyo, use the information provided by a third party (in Koyo’s case, TrueLayer) to fairly and quickly assess an applicant’s financial data. This is called Open Banking and means you are judged on your real financial situation, as opposed to what somebody else has said about you.
Keep your credit accessible
If you have a credit freeze or a credit lock in place when applying for a loan, this could potentially stop a lender from checking your credit and inevitably slow the credit approval process. Always lift any freezes before your loan application is submitted, in order to keep the process quick. Remember – you can always reactivate your credit freeze when your loan has been received.
Use an online lender
As previously mentioned, online lenders tend to be quicker when it comes to loan approvals, especially when compared with traditional lenders. If you’re in need of fast approval, the Koyo application process only takes three minutes, with approval and money in your account within 48 hours. Koyo also has a personal loan calculator available, so you can quickly find out the representative rate you could be paying for your loan. 27% APR Representative.
Use the correct information
This one might be simple, but it still holds up a lot of loan applications unnecessarily. Making sure all your information is entered correctly and is an accurate reflection of your income and expenditure is essential if you want to receive your loan quickly. At Koyo, we ask for your:
- Title and name
- Email address and phone number
- Date of birth
- Marital and residential status
- Current address
- Employment status, employer, job title and industry
- Gross annual income and monthly rent or mortgage payment
- The reason for your loan application
If all this information is entered correctly, your application won’t get held up by any avoidable mistakes. We suggest having a quick look over the information you’ve entered, just to be sure that everything is correct.
To summarise, online lenders are the best choice when you’re looking for fast loan approval. In order to make things as smooth as possible, it’s always best to check your credit rating beforehand, keep your credit accessible and ensure all your personal information is correct. The result? Fast and fuss-free personal loans.
Looking for a flexible personal loan? With loan amounts of £1,500-12,000, you can use our loan calculator to determine your representative rate. Submit an application at www.koyoloans.com. 27.9% APR Representative.