Loans Online Instant Approval: A Helping Hand In Emergencies

Nerry asked us the following question:

“I’ve heard much about loans online instant approval and that it’s easy to get one even with a bad credit. To be honest, I love it that there are lenders that will talk to people with bad credit like me. But I’m just being extra careful why they will do this. So, why indeed?  Are they any good?”

– Nerry, 40 from Ohio

They go by myriad names but for simplicity, let’s call them loans online instant approval and they’re also popular in the UK and Canada. Yes, they are real, as real as your friends. But like friends, some are fair and honest and some are scrupulous.

Lenders have found a niche in their industry—many people with bad credit are victims of circumstances and they don’t run away from debts given the chance to pay back. You’re probably one of these people who would have paid on time if, say, you didn’t lose the job or lose a business during the recession. Lenders of loans online instant approval also know that these people are likely to recover their finances, too, over time as the economy improves. And it is improving.

Seeing opportunity in a crisis, lenders of online online instant approval have already calculated that a certain percentage of people with bad credit can pay back, and this margin of return is what drives them to offer loans online instant approval like water to a thirsty man. Like in insurance, they work on volume return, a statistically probable game of ROIs.

The continued improvement in U.S. employment rate based on the Bureau of Labor Statistics has encouraged more lenders to offer loans to people with bad credit. As long as borrowers can prove they now have the means to pay the loan, the lenders will not mind the borrowers’ credit history. For instance, a professional consultant who failed to meet his financial obligation during the recession will have more than enough income today to pay the loan as the U.S. economy regains more ground.

Should you be worried of scrupulous lenders? Yes, but the market is moving towards more competition. A analysis says this bodes well for you because competition will drive bad lenders out of the game.

Many lenders today are following the footsteps of banks on how to attract more clients: by leveraging customer service. They are outperforming each other with how they treat their clients with better terms and fair conditions now that many of their prospects can afford to choose the best terms. In fact, the introduction of lending referral sites–online portals that collate the best lending agencies in your area–is one factor that pushes online lenders today to put their best foot forward when it comes to lending policies.

We hope that clears the nagging doubt in your head about the rationale behind loans online instant approval.


You need to know more about their nature. The processing is simple; often, you’re asked to submit basic personal and financial background. With just a click, the lender receives your application by email. In most cases, lenders of loans online instant approval will approve your application; the only assessment involved is how much you want to borrow and what are the terms. THE LOWER YOUR CREDIT SCORE THE HIGHER THE RATES AND PENALTIES ARE LIKELY TO BE PRESENT IN YOUR TERMS. Many lenders will even transfer the cash on the same day.


Loans online instant approval are meant to address an emergency in case your paycheck cannot cover a bill or an expense now. They are approved fast, but the caveat is that they have above-the-board interest rates and the penalties can accrue to stratospheric levels if you’re not careful.

A lender of loans online instant approval may give you neat terms and outright transfer, but it doesn’t mean you should apply for one (see for more details in this no credit check loans article). Ask yourself first, do you really need loans online instant approval or are you just lured by the spectre of having extra cash on hand? That extra cash can spell disaster if you waste it on an unnecessary item and you fail to pay for the loan. A $1,000 loan can easily turn into a $10,000 nightmare. A New York Times analysis shows how this type of loans can turn into a long-term trap if you’re careless.

Likewise, keep in mind that lenders may not require a credit check to offer loans online instant approval. But just the same, your application will be recorded in your Teletrack and failing to pay for it will further ruin your score. So think three, four or even five times before getting loans online instant approval to protect your future credit stream.

Corollary to your question if lenders of loans online instant approval are any good, ask yourself, too, and be honest, if you’re any good to get this loan. The more honest you are the better for you and your financial future will be.

Advantages of payday loans

If you need money fast, and do not have a great credit score, try to get a payday loan. This type of credit offers many advantages. But make sure you understand all the conditions and terms of a payday loan before you obtain one, to remain on the safe side.

Jenny Chang

By Jenny Chang

Jenny Chang is a senior writer specializing in SaaS and B2B software solutions. Her decision to focus on these two industries was spurred by their explosive growth in the last decade, much of it she attributes to the emergence of disruptive technologies and the quick adoption by businesses that were quick to recognize their values to their organizations. She has covered all the major developments in SaaS and B2B software solutions, from the introduction of massive ERPs to small business platforms to help startups on their way to success.

Felix Drubbard says:

Is it true that interest rates can go as high as 300% for these loans? I think it’s outrageous when you have to pay 3x of the principal. How can you justify this is fair especially when you offer the loan to people who are in a vulnerable state for lack of funds?

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Alex says:

Hi, Felix. The 300% and higher interest rates that you’ve read are likely expressed as an annual percentage rate. That means the total interest you have to pay if you extend the loan for one year. The confusion here is online loans are designed to be paid in two to four weeks (2 paydays), where the interest ranges from 20% to 30%, a small price if it means fixing a section of the house or the care while waiting for the next paycheck. With many middle class families now living paycheck to paycheck, these loans are really helpful. Beyond that, I agree, it becomes unreasonable to even consider taking out a fast loan if you’re paying it for a year.

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james d. says:

When I searched online loans, how come I read a lot of negative write-ups about them? I’m not talking about small blog posts, but federal sites and news organizations that paint a bleak image of these loans. Reading these articles and the post above can be confusing. Am I missing something here?

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Alex says:

No you’re not missing anything. The government’s efforts to weed out bad lenders is commendable. This protects borrowers from loan sharks. However, in the process, good lenders are affected, too, when the press simply lumped all online lenders in one category. That’s the reason why you’re seeing more negative remarks in your search because news sites often rank higher in search results. The post above offers a different perspective, that’s why you need to dig deeper in your research on which lenders are legitimate and which aren’t.

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Micky says:

If your credit score is bad, you will find it difficult to get even a credit card. Go online and read articles that inform how to quickly improve your credit score, and follow the tips to boost your financial health.

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Morleyqueen says:

Payday loans and online personal loans are the last resorts of those in financial trouble. Lenders know this fact, and price these loans cleverly to make hay while possible. Make sure you understand all facts about these types of credit to make a smart financial decision.

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Alaine says:

Honestly, asking yourself if you need a loan or not when you’re short of cash is like asking a barber if you need a haircut. It’s always tempting to get cash quickly, never mind how to pay it back. My only advice to fellow borrowers (I did take out a payday loan) is to go ahead and take out a loan, but not after having a clear plan how to pay it back in two or three paychecks.

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Rebel88 says:

Volume return? I like how you put the lending business model that way. Some borrowers are sure to default, but more are likely to be able to pay back. Despite the media backlash against payday loans, I believe borrowers still have much control whether they want to be on the positive or negative side of this “volume return.”

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