More and more people these days are turning to installment loans for a variety of reasons. They are quick and easy to get, meaning you don’t have to save up for a long time before you can buy what you need. With an installment loan, you pay the money, plus interest, back over set intervals. However, just what can installment loans be used for? Let’s take a look at some real-life scenarios.
Single Mother
Imagine single mother Cathy. She has a job that helps her pay for her and her daughter’s life. They are reasonably comfortable, but cannot afford luxuries. Cathy’s daughter is about to turn 13 and she would like something special. To be able to pay for a fantastic party, Cathy decides to apply for installment loans online. This enabled her to pay for her daughter’s party and she had the loan paid back within three months.
A Poorly Employee
Now imagine Peter. He works in a plant with corrosive fluids and explosive gases. While always being careful himself, there are things that Peter cannot control. During an overtime shift, he works next to some of the gas storage tanks when a slight earthquake happens and causes the pipe joints to leak. This leads to a short circuit while Peter is there and a blast occurs. He is hospitalized because the blast knocked him over, breaking several bones. While covered under workers’ compensation, his employer is slow to payout. To pay for his medical bills, Peter takes out an installment loan. By the time he has it paid off, his workers’ compensation also comes through.
A Work Possibility
Sarah wants to write books, but she is struggling to support herself through some work. She manages to struggle by and write her first novel. She then realizes that having it published will take quite some time. By applying for an installment loan that is spread out over 15 years, she can hire an editor and approaches a local publishing company to help her self-publish. Luckily for Sarah, her book gets noticed and a major publishing house buys the rights for it. Even though she still had several years of payment left on her installment loan, she can pay it off early. While she does have to pay a settlement fee for this, it is much lower than the interest she would have paid had she continued with the loan for many years. She is now a successful author and writing her fifth book.
Installment loans come in many different shapes and forms. Some are secured, others are not. Some are suitable for people with good credit, others will accept those with bad credit. It is important to do your research and find an option that is suitable to your personal needs and abilities. With a little bit of time and effort, you should be able to find the perfect installment loan.
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