Unexpected expenses crop up for various reasons, and we aren’t always equipped to deal with them. These rainy-day expenses have the potential to blow right through your monthly budget, leaving you short on the essentials. In these situations, a short-term loan benefits you in several ways, helping you keep your head above water and your finances in check.
What is a Short-Term Loan?
Short-term loans are simply fast personal loans that are paid out quickly and, in return, paid back quickly. When you need a fast cash injection and don’t want the hassles of a tower of forms to fill out, short-term loans can help.
Key Benefits of Short-Term Loans
Fast Approval, Fast Money
Given the relative simplicity of the terms and lower borrowing amount, short-term loans come with the added benefit of fast access. Our same-day loans in NZ can be approved in a matter of minutes, and your much-needed cash will be in your account shortly after. With no need for collateral, these loans are assessed and approved faster than any other option, meaning you get the cash you need when you need it.
Pay Less Interest
A significant benefit of short-term loans is that you will pay far less interest than a traditional loan. By paying back the loan in such a short period, the interest will have less time to accumulate, meaning you’ll ultimately pay less overall than you might have with a longer payment term.
Paying your loan back promptly will also benefit your credit score. A higher credit score may lead to lower interest rates and better borrowing terms, so a short-term loan can positively impact your future interest rates.
Short-term loans with quick approval times, simple and flexible terms, and short repayment schedules keep the blood pressure down. One of the biggest benefits of a short-term loan is that it is predictable, easy to manage, and won’t add stress to an already difficult time. Long-term loans can feel like you’re waiting for the axe to fall. Short-term loans eliminate financial uncertainty and reduce stress.
Opportunity for Those with Bad Credit
For those with limited or bad credit scores, a short-term loan is the best option for you. Lenders will not emphasise credit scores; they will look for proof of employment and a steady income. A short-term loan is also an opportunity to improve or build on your credit score. As you pay it back on time, your credit score will improve.
Get Your Short-Term Loans with Why Not Finance
When it comes to fast, easy, affordable loans, the benefits of short-term loans can’t be beaten! If you’re looking for a quick cash injection to get you out of a financial pickle, Why Not Finance can help. We offer loans that are easy to acquire and even easier to pay off. Get in touch with our team and regain your financial freedom today!