No two lenders online have similar fee structure for grant of fast cash. In addition, such fee structure will also depend on the type of advance given, its extent, repayment period, and above all; on the financial status and repayment capabilities of the borrower.
Typical fee structure for any of cash loans are as follows.
- Usually the rate of interest charged comes to 2% of the loan amount.
- Some users charge as high as 3% of interest on the loan amount.
- The interest rates will vary depending on the credit profile of the borrower.
- If borrower thinks that he can benefit by paying the loan at a date earlier than the one fixed, he or she would be wrong. In such cases the lender will charge a pre-closure penalty of 4% over and above the payable amounts towards fast cash repayment.
Borrower should compare and contrast the quotes from different financier.
Interest rates can be –
- Reducing interest rates.
- Flat interest rates.
Since the time span is too short in most cash loans, the rate of interests are invariably flat interest rates. Variable or reducing interest rates are normal features for regular and traditional loans. Processing fees charged by the lender would also vary according to the type of loans and interest rates attached to it.
Comparing loans and interest rates can bring up the best deals. However, the best way of comparison of the fast cash deals would be verifying the total cost of personal loans. That would be the combination of loan amount, total interest charged for the loan, and fees and taxes related to it.
Also if the borrower requires the loan quickly, it would be good comparing the average time taken by the lender and consumer satisfaction they have been able to generate.