Before you apply for a personal loan at Bank of Old Monroe, it is important to know what you will need to be equipped with. Certain personal and financial information will be required by lenders. While most will be easy to provide, such as your income, other information like the credit score might take a bit more work to process before you embark on the loan application process.
If you are looking to apply for a personal loan, including secured loans, unsecured loans, and installment loans, Bank of Old Monroe has got you covered! Below is what you need to know and what you should expect when applying for a personal loan. BOOM is a trusted bank in Missouri, and we are proud to serve our customers. Contact us today!
How Do Personal Loans Work?
In most banks, personal loans fall under the category of installment loans. This means that you can borrow a fixed amount of money and repay it at a certain interest rate monthly throughout the entire term of your loan. Customers can get personal loans from Bank of Old Monroe without a bank account.
Loan amounts vary from small personal loans to large commercial loans. Your credit health determines qualifying amount and serves as a gauge for creditors as to whether or not you have the financial means to replay the loan.
Once you receive your funds, you have a 30-day window before you start making repayments. If you take out a fixed-rate loan at the Bank of Old Monroe, your monthly installments will remain unchanged over the life of your loan. If you take out a variable-rate loan, your monthly installments and interest rates will fluctuate in response to changes in the market.
After paying off your loan, we close the loan and you will no longer be able to access it. However, you can always apply for a new personal loan.
The Two Types of Personal Loans
You need to decide which type of personal loan suits you best and choose between the two that lenders offer: an unsecured personal loan and a secured personal loan.
Unsecured Personal Loans
Unsecured personal loans are loans that are not protected by collateral. They are riskier to lenders because if borrowers default on the loans, lenders cannot automatically take their properties. The most common types of unsecured loans include personal loans and credit cards.
Secured Personal Loans
Secured personal loans are loans that are protected by a piece of collateral, that is, something valuable such as a home, a car, or a savings account. With secured loans, lenders can withhold the collateral until the loan is fully paid or seize the collateral if the borrower fails to repay the loan as agreed.
Evaluate Credit Score
A good credit score and credit history work to your advantage as they show lenders that you are time-conscious when it comes to paying your credit obligations. When your credit score is high, you have a better chance of securing a loan with favorable terms which can save you money over the term of your loan.
Before you apply for a personal loan, conduct a credit check Credit Check to confirm there are no errors that could lower your credit score. If your credit score is lower than you’d like, work to improve your credit score by getting a handle on bill payments, limit your requests for new credit and consolidate your debt.
Bank of Old Monroe conducts credit checks on those applying for personal loans regardless of whether or not you are a customer in order to better understand financial behavior and make informed credit decisions.
Documents You’ll Need to Apply
During the initial step and the verification process, Bank of Old Monroe’s lenders require individuals to provide documentation such as:
Proof of Identity
We require the following forms of identification:
Government issued photo ID, such as Military ID, Driver’s License or State-issued ID and proof of Social Security Number
Employer and Income Verification
If you are traditionally employed in Missouri, our lenders may ask you to verify employee and income information by providing documentation such as:
- Employer’s Contact Information or Company Information
- Bank Statements
- Tax Returns
- W-2s and 1099s
Proof of Address
If you address doesn’t match the one provided on the proof of identity, you will need documentation such as:
- Home or car insurance
- Voter registration card
- Rental or lease agreement
- Utility bill
Submit and Wait for Approval
Once you submit your personal loan application for our team’s review, if approved, your borrowed funds will be available quickly for you to use.
Contact Bank of Old Monroe Today to Apply for a Personal Loan
Whether you are looking to finance a wedding, pay for an unexpected medical bill, or make a major purchase, Bank of Old Monroe is here to help. A personal loan from us is a convenient and simple borrowing solution that can help you reach your financial goals.