There are numerous different types of loan, and it’s incredibly important that you have a good understanding of as many as possible before you commit to one.
An instalment loan is a loan that is repaid through a set number of payments, rather than just one single payment. Generally, at least two scheduled payments are made towards the loan. An instalment loan helps to spread the repayments out, which can make the process more manageable. The term of an instalment loan can range from a couple of months to several decades. A mortgage is probably the most common example of this type of loan.
The main benefit of taking out an instalment loan rather than a short-term loan is the amount of time you will be given to repay. If you know that you cannot pay the full loan amount back in a short period of time, it is likely that an instalment loan is for you.
However, be aware that an instalment loan could be a part of your life for significantly longer than other loans. If you are able to repay in a short period, you might decide that a short-term loan is a better option.
As a responsible lender, MYJAR is transparent with its customers about the loan arrangements it offers. The process we use to take repayment from your debit card is called a Continuous Payment Authority. This means that you agree in advance that we will take money from your card when it is due. We will automatically take the full amount, unless you have a specific agreement with us that we will take smaller amounts.
If you need some assistance to meet an urgent financial requirement on either a short or long term basis, APPLY NOW for one of our loans.
Warning: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk