There are many reasons why a personal loan is an attractive financing option for American consumers. So much so, that it’s the fastest growing consumer lending product in the US, particularly with younger generations.
Whether you classify as a freelancer, a contractor, a consultant, or a budding entrepreneur, those in the self-employed workforce share similar life experiences. Yes, there is the independence of being your own boss, but there is also the responsibility. And often, those responsibilities come with a cost.
For most American consumers, borrowing money can mean a few different things. Technically, anyone using a credit card is borrowing funds that need to be paid back on a monthly basis, to avoid interest charges and other fees. There is also the personal loan, a handy financial tool that allows borrowers to obtain a lump sum and repay the debt in fixed monthly installments.
Compared to an auto loan or mortgage, a personal loan is unique in that it can fulfill a number of uses, beyond just funding a major expense. As a result, personal loans can be an attractive financing option for almost any kind of consumer, thanks to their versatile nature and convenient access. It’s true, the growth of online lending has made it easier than ever for people to get quick access to funds from accredited lenders. Before diving into the personal loan marketplace, however, it’s important to ask yourself some simple questions to better understand what your funding needs are.
It’s fairly certain to say that at some point in life, nearly every person will have borrowed money through one form or another. Technically, everyone who owns and uses a credit card is doing just that. If we’re talking about the more conventional definition of borrowing, however, whether it’s for a college education, car, or home, taking out a loan is basically a financial rite of passage.
For many Americans, personal loans have become a popular new way to finance large expenses — and a way to avoid racking up high-interest credit card debt. The trend has coincided with the rise of digital lenders (aka, fintechs) that can offer consumers personal loans at competitive rates with flexible repayment plans, all through an easy online process.
Running your own medical practice — or trying to get one off the ground — is a costly venture. Especially during times of economic uncertainty, keeping a steady cash flow while accounting for expensive equipment, real estate costs, and other expenditures can be challenging.