Submitting an application with Personal Loan Pro won’t hurt your credit because only a soft credit check is necessary for it to provide its service. … You can also raise your credit score by paying your loan on time and developing a positive payment history.
Secondly, are Online Loans Safe?
The short answer is yes, online loans are safe. That’s because legitimate lenders must meet the same strict lending rules as brick-and-mortar banks. There are big names like Discover and Marcus by Goldman Sachs and proven leaders in the industry like SoFi, Avant, Upstart, and Payoff.
Considering this, can I trust online loan?
While you should always be wary of sharing your information online, many online lenders are trustworthy companies that operate in a regulated industry. Unlike big banks, online lenders tend to specialize in a specific type of funding, such as personal loans, and work with customers that traditional banks may pass over.
Can you go to jail for not paying online loan?
You can’t be arrested for debt just because you’re behind on payments. No creditor of consumer debt — including credit cards, medical debt, a payday loan, mortgage or student loans — can force you to be arrested, jailed or put in any kind of court-ordered community service.
Real lenders never guarantee a loan in advance. They will check your credit score and other documents before providing an interest rate and/or loan amount and will not ask you to pay an upfront fee.
Yes, a mortgage lender will look at any depository accounts on your bank statements — including checking and savings — as well as any open lines of credit.
How to spot a legitimate loan company
- Check for contact information. A lender’s phone number, email address and physical address should be readily available on the website, even if it’s an online-only lender.
- Investigate online reviews. …
- Look at the Better Business Bureau. …
- Make sure it’s registered.
Is Upstart Reputable? The Better Business Bureau gives Upstart an A rating, but the company also receives a score of 1.63 out of 5 stars based on 41 customer reviews. Upstart has earned an Excellent rating of 4.9 out of 5 stars on Trustpilot based on more than 7,600 reviews.
If you’ve been the victim of a loan scam or personal loan fraud, contact your local law enforcement as soon as possible. Notify, also, your state attorney general and the FBI (if the company was from another state or country). The Federal Trade Commission and Better Business Bureau also will be helpful allies.
The single biggest risk to taking out a personal loan is not being able to afford to keep your commitment to your lender. If your monthly loan payment is too high for you to make and you default on your loan, you could find yourself dealing with serious financial consequences.