Avoid Short Term Loans

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A loan is a thing borrowed or a sum of money borrowed to be paid back on a specific time and date. When people hear about loans their mind quickly concludes is all about money borrowed, but the loan is not just money alone, physical objects or items and also be loaned to anybody interested in getting the object or item. Even football players are loaned out by their clubs to other clubs and there is a specific period for the loan deal once that time is up the players are to return to their original club.

There are two different types of loans which are short-term loans and long-term loans. Short-term loans are loans that last for a small amount of time and mostly attract low-interest rates and sometimes high-interest rates. Short-term loans can last for one week and a maximum of a year before they expire. Long-term loans can last up to five years and a maximum of 25 years to complete payment of any kind. This particular loan has a very high interest rate but is still considered one of the best possible ways to obtain a loan and has a better monthly plan for debtors to pay back.

In my opinion, long-term loans are the best and I won't advise anyone to take a short-term loan because it is more risky and could put a lot of pressure on your mind just to pay back. There is a friend of mine who showed me a specific loan app that deals with short-term loans, not sure if he told me the truth but he was credited the sum of 50,000 naira/ 66 USD without requesting the loan and was to pay back 65,000 naira/86 USD in one week that is approximately 15,000 naira/ 20 USD interest include to pay within a week.

Once the loan exceeds one week and he fails to pay, immediately interest will be added every day until he successfully pays up the loan. The funny thing about these loan apps here is that once you download their app and permit them to access your contacts and files on your phone they can easily get access to your information and could use that as collateral to have leverage on the individual, that's why it's very important to check any apps and make sure they safe before permitting them to access your devices.

Lenders can sometimes take the opportunity to oppress loan defaulters by increasing the interest rate or treating to publish the names of the defaulters to the general public. This particular set of lenders doesn't have a license, because under the law they are not allowed to share images or personal data with the general public for any reason, but most people don't know this information which is why they get oppressed, that is why it is best to make a research before applying for their loans.

Short-term loans can be tricky at times which is why it is advisable to stay away from them to avoid issues in the future. So guys that will be all for now. Thanks for stopping by and have a good day.



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