what is an unsecured loan

What Is An Unsecured Loan?

If you’ve never had to think about loan types before, encountering terms such as unsecured and secured can be baffling. In reality, these terms have very simple meanings. Let’s go over their definitions and explain how you can get unsecured cash loans in SC.

What Are Secured And Unsecured Loans?

A secured loan simply refers to a loan that is secured by some type of collateral. Having collateral means that the lender’s assets would be protected, which in some cases may allow the lender to be laxer with loan requirements related to income sources.

On the other hand, an unsecured loan is a type of loan where you don’t need to provide the lender with a guarantor or collateral to get approved.

The lender has certain qualifying requirements, and they’ll decide if you qualify for the loan based on how well you satisfy them. You won’t need to put up an asset to qualify. A payday loan is a popular example of a short-term fast unsecured loan.

What Do I Need To Qualify For An Unsecured Payday Loan?

To qualify for payday loans at Carolina Payday Loans, Inc. you must be over 18 (and provide a valid identifying document proving your legal age), and able to provide proof of your ability to pay the loan off.

For example, to qualify for a loan at Carolina Payday Loans, Inc. you’d need:

  1. A government-issued photo ID or driver’s license.
  2. Your most recent pay stub as proof of income.
  3. A blank check from an active checking account in your name.

how much time it takes to get an unsecured loan

Does The Application Process For An Unsecured Loan Take Longer?

No, not really.

Generally, when it comes to short-term fast loans, the application process for both a secured and unsecured loan is approximately the same – between 30 and 60 minutes.

In fact, an unsecured loan can sometimes take less time, since the approval process for the secured loan may require asset assessment.

The overall length of your individual case will depend on your documents, how long it’ll take the loan representative to assess them and determine the terms of your loan, and the time you take to go through the final paperwork.

Qualifying For An Unsecured Loan

When a bank is considering you for a traditional loan, things like your credit score and your income are usually major deciding factors. But how does this compare to online payday loans from a private lender such as Carolina Payday Loans, Inc.?

Is Credit Important For An Unsecured Loan?

No! Carolina Payday Loan welcomes burrowers of all credit situations.

Your chances of getting approved for a payday loan depend on the required items you provide satisfying the lender’s standards. If they do, you can get approved regardless of what your credit looks like – be it great, bad, or outright nonexistent.

Can I Qualify For An Unsecured Loan If My Income Isn’t Stable Or If I’m Unemployed?

Since a payday loan is an unsecured loan and no collateral is protecting the lender’s assets, you’ll need to prove that you have the means to pay the loan off.

Typically, you’d do that by using your most recent pay stub as proof of income.

However, you can get approved for a loan at Carolina Payday Loans, Inc. even if you don’t have stable employment, meaning that you don’t know when your next payday will be, or if you’re unemployed altogether – as long as you provide proof of alternative payoff means.

This can be any type of benefit or compensation you’re getting, pension, or even savings.

effect of unsecured loans on credit score

Will My Credit Score Get Lower If I Get A Payday Loan?

No, your credit score won’t be affected in any way.

Carolina Payday Loans, Inc. never reports its loan information to any credit agencies, and without being reported the loan cannot influence your credit score or go onto any credit reports.

When getting a loan at Carolina Payday Loans, Inc. you can rest assured that your information will be kept fully private.

How To Get An Unsecured Loan Today

To start the process for a payday loan, all you need is to fill out and submit a quick cash online form on Carolina Payday Loans, Inc. The form will send your information to your nearest store, and as soon as it gets processed a loan representative will give you a call.

The loan representative will double-check your information, explain the loan process, and answer any questions you might have.

They’ll also schedule an appointment for you so that you can bring in your required items (a government-issued ID/driver’s license, proof of income, a blank check from an active checking account in your name) for an assessment.

At the appointment, the loan representative will go over the documents to determine if you qualify for the loan and how much cash you qualify for.

If they decide to approve you, they’ll walk you through the final steps of the procedure, and you’ll get your loan the very same day. This entire process can be done in as little as just 30 minutes.

Get An Unsecured Loan Through Our Streamlined Process

An unsecured loan is designed to be simple, and at Carolina Payday Loans, Inc., we streamlined the process of acquiring one so you can get your payday loan on the same day you submit your online form. Fill out the form on our website and get your process started today

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.

Emma Frost

Emma Frost is a lifestyle and finance blogger with a talent for communication and a passion for financial literacy. She uses her writing talents to explore topics that help her readers gain financial stability and growth.