
When you apply for a job, the employer may request an interview. It’s a chance for them to ask you questions — but it’s also a critical opportunity for you to learn more about the company and decide if it’s a fit for you. Applying for a loan is similar. Although lenders will analyze your information to determine whether or not they see you as a suitable borrower, you should also take the time to review them before signing any dotted lines. Because lending and borrowing is a relationship, and you should feel good about who you’re working with.
What to Look for in a Lender
Whether you’re financing a home improvement project, fertility care, or unexpected dental work, it’s a good idea to shop around with a few different lenders when taking out a personal loan so you can get the best interest rate. But as the borrowing landscape continues to rapidly shift toward digital-first lenders, low rates are just one of several factors you should consider.
Fixed APR
Scoring a low interest rate is a win, but it’s important to know whether that annual percentage rate (APR) might adjust during the life of your loan. Variable APRs are subject to change, meaning you could begin with a low rate only to have it later skyrocket — increasing the interest on your monthly payments. A fixed rate APR, which Ally Lending offers, gives you peace of mind knowing your rate will not change and neither will your payment amount.
Online Account Management
Your lender should reflect the increasingly digital world we live in, and that means providing you the option to fully manage your account online. With digital access to your loan details, you can easily review your loan terms, payment options, and outstanding balance at any point (no digging through desk drawers or filing cabinets required). And if you have more than one loan from the same lender, you can stay on top of both in the same place.
Online Payment Options
Maybe you like to keep it old school and stick with paper checks and snail mail when it comes to paying your bills. But still, it’s smart to find a lender that provides a secure and convenient way to make your payments online (you know, for those times your checkbook is nowhere to be found). Plus, having this option typically means you can enroll in automatic payments, so you won’t have to worry about missing a due date and potential late charges.
Speaking of fees …
Low to No Fees
Always be on the lookout for sneaky fees and hidden expenses when comparing lenders. Some charge a flat fee (typically $25 to $50) simply for applying for a loan, regardless if you’re approved. Another charge to look for is an origination fee, which usually ranges from 1% to 6% of the loan amount. Finally, make sure you are aware of any prepayment penalties, teaser rates, annual membership and/or maintenance fees, as well as late charges.
Note: With Ally Lending, you’ll never have to worry about any hidden fees or prepayment penalties.
Dedicated Customer Support
Whether your payment won’t go through, you’re having trouble accessing your online account, or you just have a question about your loan, you should feel confident your lender has your back. Look for loan providers that offer dedicated customer support (and won’t leave you listening to elevator music on hold for hours on end).
Tips for Researching Lenders
When you’ve decided a personal loan makes sense for your financial situation, it’s time to find a lender that does, too. With banks, online lenders, and credit unions to choose from, you have a lot of options. Luckily, now you know what to look for.
One way to compare different lenders is to start with online searches based on different criteria. For example, a search for “Personal loan lenders with low to no origination fee” will help you easily identify lenders you may or may not want to work with. You can also browse credible online sources that compare different lenders’ fees, interest rates and more.
Take a look at a lender’s website (Is it easy to navigate? Does it have the information you’re looking for?), but also take the time to read reviews and learn about other people’s experiences with that institution. You might also reach out directly to someone you know who has borrowed from a lender for another perspective. Remember, when it comes to your money, you can never ask too many questions.
Be a confident borrower
Borrowing and lending go hand-in-hand, so it’s important that you do a background check on your lender just like they will for you. Knowing who you’re working with — and if they offer the services, accessibility and options you want and need — will help ensure you have a smooth loan experience that gets the job done.
How Ally Lending Works
Ally partners with your provider so you can afford what matters to you. Check to see if your health care provider, home improvement contractor, or auto dealer offers Ally Lending as a financing option — and if they don’t, you can ask if they can apply for enrollment. Learn more about how your provider can enroll.
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Comments
CYNTHIA W. on July 12, 2021 at 7:59pm
Very helpful
Jimmy B. on July 29, 2021 at 5:11pm
great post!
Christie A. on August 26, 2021 at 8:58am
I need a loan to pay medical bills
Ally on August 26, 2021 at 8:59am
Hi, you can find details on loans for medical treatments and procedures here: https://www.ally.com/personal-loans/medical-loans/. If you have additional questions, please give us a call at 1-888-568-0186, and a team member would be happy to help.
Amanda P. on August 31, 2021 at 3:18pm
Good information ,very helpful
Terrence S. on September 21, 2021 at 8:13am
Hello, I am looking for a information about personal loans to consolidate my credit cards and student loan. Thank you.
Ally on September 21, 2021 at 8:14am
Thanks for reaching out, Terrencce. Please give us a call at 1-888-568-0186, so we can assist further.
Sherry L. on October 10, 2021 at 11:44am
Hi I need to ask for a personal loan of 10,000 I'm wanting to get my credit fixed and do some small home repairs. I understand that my credit is not great but would appreciate the opportunity to improve that this is a temporary hitch Im struggling making my car note with the covid virus effecting me and as my husband having a stroke that has effected his income With the loan I can pay off my credit cards and loans to make it possible to pay for this loan and my auto loan I appreciate the way that yall have helped me in the past Sherry Gheen
Ally on October 10, 2021 at 11:45am
Hi Sherry, our team would be happy to discuss this further with you if you’ll give us a call at 1-888-568-0186.
Eric C. on December 1, 2021 at 1:41pm
I would like some one from ally to call me about a personal matter. For last four years I was leasing a 2018 Dodge Ram 1500. On December 15 I returning the Dodge. Please Call me. 717-799-1570
Ally on December 1, 2021 at 1:42pm
Hi Eric, please give us a call at 1-888-925-2559 or chat with us online at ally.com, so we can assist further.
ANDRE F. on January 6, 2022 at 7:11pm
I need a personal loan of 3000.00 with installments payments for 18 months, to increase my credit rating, I have 3000,00 in ally savings account as collateral. does ally do this for their customers?
Ally on January 6, 2022 at 7:12pm
Hi, our team would be happy to discuss this further with you if you’ll give us a call at 1-800-427-9184.
Martha P. on January 18, 2022 at 12:10pm
I was wondering how could I get a personal loan of 14,000? I need this money for attorney fees? I had a loan with Ally with my vehicle, I paid it off. I just need to be able to get assistance I was a customer of Ally,
Ally on January 18, 2022 at 12:11pm
Hi, please give us a call at 1-800-427-9184, so we can discuss this further with you.
TRACEY on February 26, 2022 at 9:03pm
INFORMATIVE
TRACEY on February 26, 2022 at 9:09pm
I am searching for a personal loan to payoff credit cards and a unsecure loan at 7.5%.
Ally on February 26, 2022 at 9:10pm
Hi Tracey, please give us a call at 1-800-427-9184, so we can assist further.
Edwin e. on March 9, 2022 at 5:39pm
I want to pay my dougther car balance do you consider as car or personal loan
Ally on March 9, 2022 at 5:40pm
Hi Edwin, thanks for reaching out. Please give us a call at 1-888-925-2559, so we can assist further.