Phone Loans, Future or Fad?

The modern-day is a truly fantastic place for convenience, especially concerning the mobile phones that we all carry in our pockets. These devices are nothing less than super computers by the standards engineers used to create the first computers. So, if you’re thinking like one of those engineers, you should be tempted to use your phone similarly to a modern computer. Computers are wonderful, but are they the perfect tool for use in acquiring a loan?

Applying for loans involves careful planning and the sharing of a lot of information that can lead directly to identity theft. So, how effective is a phone for financial applications? Is it safe, and more importantly, will you receive an equal chance as you do for non-mobile loan applications?

The Ins and Outs

Since the pandemic of 2020, a lot of normal everyday things have had to move online. For instance, opening a new bank account used to be something you had to talk to a banker about. But, using a phone call and an app many banks allow you to do this same exact process from anywhere. Similar to this, loans are a process that used to require dressing up, talking to a banker, and signing a million paper forms that each had important things to say about your future prospects.

Nowadays, a huge financial apparatus has moved online. This has strengths and weaknesses for both parties, though the biggest weakness for both may be that convenience can be a double-edged sword. You can apply for loans in bed, but a hacker can acquire your details from seemingly innocuous sources.

Though, most websites that provide such services have an option for resetting based on security problems. Should you be robbed, digitally or physically, the worst of the worst should be avoided.

What to Prepare

There are certain things you should always prepare for when going into financial situations. Your social security number is something you should, ideally, never disclose unless absolutely necessary and secure. For banking and loans, this is one such measure of identification that is necessary. But, you should make sure your connection is secured (https connection) before inputting this.

Secondly, you should know your credit score so that you ideally can make an informed decision regarding which loans to take. If you’re applying from a phone, there are numerous websites that let you do this, free and reliable or otherwise. Use caution for anything like this. You should visit this website to see other possible numbers and values you should prepare. Going into the app, it’s always best as well to know what specifically you want.

Tips for Shopping Around

As with any product, you should shop around to maximize the chances of you getting a favorable deal. From a consumer perspective, loans like this are one-in-a-million and can make or break someone’s weekly budget. A loan of an extra 5 or 10 years may not sound too bad when you’re in your 20s, but immerse yourself in those years and you’ll find them moving along at a snail’s pace. Don’t be afraid to kick the can down the road, but also keep in mind that should you not do the work now your future maybe just a little bleaker.

In general, you are looking for the lowest possible interest rate on a loan. On your phone, this may be difficult to find from the information that is normally conveyed on a mobile device. But, the pages that contain this info often have redirects that can greatly aid anyone attempting a lone application from the phone. Modern people are usually more adept with a phone than with a pencil, but never forget that even the best phones have screens smaller than the average document, leaving room for you to miss something.

As a final tip during your shopping search, reading reviews can give you a general outlook on what a particular agency is up to. Don’t give them too much weight, since we are talking about something involving debt, but giving them a read-through can prepare you for specifics that might otherwise be missed.

Don’t Be Casual

The phone gives everything involving it an air of casualness as if the ability to do this on your couch makes it any less impactful. In fact, this may be one reason banks preferred to do it in person before as it makes everyone take it a bit more seriously. The banker has to wear a suit, and you have to look like you have the potential and means to pay off whatever it is in due time.

Your appearance was important then, but now it is a lot less common to have any business other than an initial account setup done in person. That being said, don’t take a loan application any less seriously than you always have. You are making a financial commitment, be prepared to talk on the phone should something go wrong. Customer service can help a lot of the time, navigating you through a labyrinth of links to find the one page you needed the whole time.

Professional appearance aside, this also means you should be willing to ask for help. Call your parents or friends if you need help with terminology. Do research, and if you’re living in Norway here’s a great place to start: https://www.forbrukslån.no/sms-lån/ for anyone. A surprising amount of people are invested in money, and given its importance, it’s no wonder. Use your resources!

Are You Ready For a Loan?

Though specific preparation steps are important, it’s also equally pressing to ask a simple question: are you actually capable of paying this off? Should the loan payments begin right now, would you be able to properly pay them off in a timely and efficient manner? If not, and excluding stuff like student loans where you’re hoping to get a job out of college, you may wish to reconsider even applying.

Would you get married if you weren’t sure you could stay with a partner? Would you buy a car without being able to drive? The issue is, that financial loans follow a similar mindset. Your credit score can be immaculate, but should you be short on the minimum payment you will regret ever taking out the loan in the first place.

Mobile phones often make light of this, making some things out to be necessities while others are complete wastes. There was a time without internet and you can theoretically return to it, just as there was a time when you could save up to buy a house outright. That time is long gone though, but the implications of existing past that time are still quite real. Take this seriously, and be safe. Only start giving out information once you’re sure it is the organization you want to go with in the end. Regardless of the information’s importance, anything can be sold to organizations that specialize in gathering consumer info.

Remember always that the road to proper finances begins at step 1. Step 1 should not be the loan, but it is one of them. Be proud of any independence you have, savor it, and then take that step forward when you are ready.