Improve your credit score in 5 ways

Improve your credit score in 5 ways

Your credit score is the pillar of your financial standing and it can either be one of your greatest financial assets or it can prove to be harmful to you and your financial endeavors if not taken care of.

So, let’s say you are just starting to figure out what it means to live financially independent of your parents, buying your first car, finding someplace new to live, etc. Or you did not have good habits when it came to your finances. If you’re reading this then good! That means that you’re aware of the importance of good financial habits and that you’re looking to educate yourself and build better financial habits for your future self!

For you to make these financial changes, you are going to need some finance 101 education to know what a credit score is, how it affects you, and where you can find help to improve it and your financial standing.

Credit score meter

What Exactly is a Credit Score?

Long story short, your credit score is essentially a fancy mathematical number that represents how trustworthy and responsible your payment history is. Your personal credit/payment history largely influences your overall credit score.

The higher your credit score, the more likely you will be able to get approved for car loans, mortgage loans, etc.

Okay, so now that we’ve got a basic understanding of what your credit score is, let’s talk about what you can do to improve your credit score and increase your financial reputation.

 

How Can I Improve My Credit Score?

Improving your credit score might seem impossible, especially if you’re trying to recover from challenging financial scars. Although you don’t need to worry or overthink! If you’re willing to read this article, follow these steps and dedicate some time and discipline, we guarantee your credit score will recover and improve with time

Always pay your bills on time

Debt consolidation is one of the most common uses of instant online cash loans. You can apply for a loan online in Canada and use it to pay off other debts such as credit cards and bank loans. As a result, you’ll be able to clear off your old long-lasting loans all at once. 

Online cash loans come with small installments, so repaying their amount will be relatively easier for you. As a result, if you have taken a loan with high-interest rates, you should choose this option and clear them easily.

Create a monthly budget and stick to it

List out all your monthly income and expenses and create a budget based on where you know your money comes from and where it’s going. This monthly practice will not only help you increase your credit score but will also help you to develop better money habits.

Know where to start with your debts

Make a list of all your debt from the least amount to the greatest amount. Now that you have a budget and you know where your money goes, take any extra money leftover and focus on paying off your smaller debts first then take that extra money and use it to pay off bigger debts one at a time.

Follow the 30% rule

Never use more than 30% of your credit limit. By doing this you can ensure it’s always at a manageable amount and it doesn’t make you look like you are abusing your open lines of credit.

Pay off your credit cards

If it’s within your means to do so, always pay off your credit card every month. This will keep it from getting too high and you don’t end up paying high-interest rates on it. And if you can’t do this, just stick to the Snowball Method mentioned above.

Note that oftentimes, applying for a personal loan can help you spring back into action when it comes to restructuring your financial situation. If you’re looking for a helping hand to guide you through some rough financial times, look no further! You can learn how to apply for an instant online loan with PrestoCash.

Keep in mind that building good financial habits and keeping them on track is the key to freeing yourself from a life of debts.

Online Loans | An Ideal Choice to Cover Sudden Expenses

Online Loans | An Ideal Choice to Cover Sudden Expenses

An instant online cash loan is an unsecured loan that allows borrowers to secure the funds on the same day of application. This loan can be used to cover various unexpected expenses such as a medical emergency, unscheduled travel, or home repairs. Instant online loans are a safe and convenient way to meet short-term monetary needs. So, if you require a short-term loan, don’t hesitate to apply for a loan online in Canada. 

Previously, in the absence of internet platforms, loan applications used to take 7 to 10 working days to be approved. Today, things have changed for the better. Online lenders have made it simple and convenient to secure a loan. Online instant loans are more realistic thanks to the power of technology and innovators. To fulfill all your urgent cash needs, you can easily apply for an online loan and get the funds quickly. 

Person applying for an online loan

What are online loans?

Online loans are a way to borrow money from lenders without even visiting a bank or financial institution. The entire procedure of online loans takes place on the internet, from applying for the loan to paying the payments and closing the loan. 

More and more consumers are opting for online loan applications over traditional lenders since online lenders provide faster loans with less documentation. Unsecured loans such as personal loans, fast e-transfer loans, and credit card facilities are the most common types of loans applied online. 

Person explaining what online loans are

What are the procedures for online loans?

Know your requirements, such as what you need the loan for, how much you need to borrow, and your ability to repay the loan before applying for one. These are important since they are the factors that a lender will look at when considering your loan application. Here are some actions to take when applying for a loan online:

  • Do some basic research to identify a lender that is a good fit for your loan needs and offers the best interest rates.
  • To apply for the loan, go to their website and click the “Apply Now” option.
  • Fill in your personal information as well as any additional information relevant to your financing needs.
  • Depending on the type of loan, upload your salary details, bank account details, and other personal documents. 
  • The lender’s team will assess your application to understand your creditworthiness, repayment capabilities, and identification verification.
  • After evaluating it, the application can be accepted or rejected based on the lender’s terms. 
  • The loan amount will be credited to your bank account immediately or within 2 to 4 hours if your loan is accepted.

 

How to use online loans effectively

The type of loan you apply for is entirely dependent on your financial situation. If you need money but don’t want to put up any security, an unsecured personal loan is a way to go. This form of personal loan can be used for a variety of purposes, such as:

Use to consolidate debt 

Debt consolidation is one of the most common uses of instant online cash loans. You can apply for a loan online in Canada and use it to pay off other debts such as credit cards and bank loans. As a result, you’ll be able to clear off your old long-lasting loans all at once. 

Online cash loans come with small installments, so repaying their amount will be relatively easier for you. As a result, if you have taken a loan with high-interest rates, you should choose this option and clear them easily. 

Improve your credit score 

The loans you take affect your credit score significantly. Suppose you take a loan and fail to repay its installments on time, this will lower your credit score, and you’ll face problems when applying for a loan in the future. However, many reputable online lenders offer non-credit check online loans in which they don’t ask you to deposit a credit check. 

Instead, your income source and personal information are evaluated to understand your creditworthiness. When you secure an online non-credit check loan with easy installments, it can help you improve your credit score effectively. 

Making a big purchase 

Online cash loans are ideal for people who intend to make a big purchase such as a car, digital device, or house improvement. Additionally, if you are considering medical treatment and are unable to locate other loans, you can consider this. 

Once you buy the item with an online loan, you can pay the installments with your regular monthly income. However, no matter which loan you secure, consider using it wisely.

 

Person using their online loans effectively

Features and benefits of online loans

Instant online cash loans, often known as personal loans, have many features and advantages. For example, these loans are typically quick to secure when the application process is completed and accepted. 

In an emergency, applying for a loan from a bank is not recommended because the process takes longer than 24 hours. On the other hand, online lenders verify the application digitally, saving a significant amount of time. Its other benefits are:

 

Easy online process 

Unlike bank loans, applicants can use their digital devices and apply for the loan at any time and from any location. The online loan process takes no more than 2 to 4 hours. The application gets completed in just five minutes, and lenders start evaluating the application the moment they get it. This way, you can secure the funds by sitting on your couch. 

 

Simple documentation 

Gathering all necessary paperwork and managing them until the loan process is done is a time-consuming operation. When you apply for a loan online, the documentation is paperless, and the verification is done in real-time. It’s the most hassle-free method of applying for a loan online in Canada. 

 

Easy and simple repayment methods

Unlike payday loans, our process involves not making our customers stressed about getting a loan by simply asking them to pay a small amount of the loan amount based on their payroll. Payday lenders have the reputation of making you pay the full amount plus fees right after you get your first payday. We’ve written an article on payday loans if ever you’d like to learn more.

 

We lower the interest rate based on your payment history with us

We always offer our customers a higher loan once they’ve gone through their first loan with us. Our customers benefit a lot from this simply because the amount they get increases while the interest rate does not increase. This makes our customers pay less interest in the long run.

 

Bottom line 

Instant online cash loans are making people’s lives easier in many ways. These hassle-free loans are a perfect solution in times of emergencies. So, if you’re also looking for funds, don’t forget to apply for a loan online in Canada.