Types of Loans

There are many types of loans that you can apply for. The rates and the loan amount will depend on your current income ability to repay the loan and your financial needs. Here are a few common loans that people use on a day to day basis: Auto Loans, Auto Title Loans, Personal Loans, Mortgage Loans, and Student Loans.

Auto Loans - These are loans that are taking out through a bank or finance company to purchase a vehicle. Depending on the make, model, and year of the car, your income, and credit history will determine how much of a loan you will qualify for.

Auto Title loans- Are loans that you can receive only by using your car as collateral. Some auto title loan agencies require that the car be completely paid for. However, other agencies work with both financed and non financed vehicles.

Personal Loans - Personal loans can be similar to an auto title loan. However, instead of using your car a collateral it is based off of your income. These types of loans can also fall in the category of a Payday Loan. You can apply for a personal loan at your local bank or through a loan agency in your area. The application process can be done online or in person.

Mortgage Loans - Similar to an auto loan, but this loans is used  to finance a house instead of a car. Many have very little or no money at all for a down payment to buy a house, this is where the mortgage loan applies. First you search for the home you like and then apply for a mortgage loan. The mortgage loan will cover the full payment of the house. Every month you make payments on your mortgage to bring down the cost of the Loan. The rates of the mortgage loan will depend on your income, credit history, and how much of a down payment you have put down for the home before hand if any.

Student Loans - Student loans are strictly for people who are attending school. Billions of students apply for student loans every year because the cost of education can be difficult to pay. With student loans you have the option of applying for a subsidized loan or an unsubsidized loan. With a subsidized loan you will not be charge any interest while you are attending school. Interest will begin six months after school has been completed. For Unsubsidized loans interests starts immediately after the loan has been accepted.


Please keep in mind if you choose to take out a loan keep track of due dates and payment amounts. Late fees will apply if they are not paid on time.

Do I Need A Loan?

Every financial situation is different. However, there comes a time when you are stuck in a rut and need extra cash. Loans can be taking out to assist with rent, a car payment, insurance, or just to make ends meet until your next payday. There are many reasons to consider taking out a loan. In order to determine if a loan would be the right decision for you here are a few questions to ask yourself before applying for a loan:

Am I able to repay the loan in a timely manner?
How much of a loan do I need?
Can I afford the loan plus interest that will be applied?
Will this loan help me in the long run?

There are many types of loans out there to choose from and that will also accommodate your financial need. See next page for the "Types of Loans".