According to a recent 2017 survey by Discover Personal Loans, 68 percent of those who have taken out a personal loan said it helped them accomplish their financial goals. Additionally, 70 percent of people said that taking out a personal loan made them feel financially responsible. When asked, the two most important benefits of a personal loan were lower interest rates and quick distribution of funds. Twenty-two percent selected lower interest rates compared to other borrowing options and 21 percent said the quick turnaround of funds. Other benefits included no collateral required, fixed interest rates and fixed monthly payments. Ways to Use a Personal Loan More than one-third, 38 percent, of people surveyed have taken out a personal loan in the past. Out of all respondents, 26 percent cited a major medical expense as the most popular potential use for a personal loan, followed by 22 percent saying debt consolidation, and 13 percent using it to fund a small business. “Personal loans can be used in a number of different ways to help people save money and reach their financial goals. For example, more than half the people surveyed have less than $ 5,000 in savings to cover unexpected or emergency expenses,” said Dan Matysik, vice president of Discover Personal Loans. “A personal loan can be a smart financial tool to cover those costs.” Interest Rates Are Top-of-Mind People consider several factors when deciding on a personal loan. According to the survey, 43 percent of respondents said learning their interest rate would be most helpful before applying for a personal loan, followed by 16 percent saying repayment terms and 15 percent interested in knowing the monthly repayment amount. Among those who have already taken out a personal loan in the past, knowing the interest rate was the most important factor when they picked their personal loan lender, which was consistent across all age groups.
personalloan – BingNews