Installment loans are everywhere online now, since many online stores offer installment plans. But paying in installments does not mean you are poor, instead you may save more money.
According to Passfeed, due to poor financial management, most youngsters are broke. In this regards, more and more people are going for installment loans online.
People who are in debt want to overcome their financial management. Fortunately installment loans online and modern payment method like Paylater offer them a chance.
Although payment of installment loans is so comment now, there are still many misconceptions about installment loans online. Some users do not choose use installment loans as payment options, because they always hear the misconceptions online.
Top Installment Loans Online Myths Busted
1. Only poor people use installment online loans
In fact, paying in installments online is not new. But many people still think only poor guys or low-income people will go for installment loans online.
The truth is that many eCommerce platforms and online stores have already been using this payment option for a long time. For example, Paylater by Passfeed is a modern payment solution of ‘Buy Now Pay Later‘. You can use Paylater to buy what you want at Passfeed online store first, and pay your bills off in 4 installments. As you can see, it could be seen as a small installments plan of loans online.
Relevant Reading: Buy Now Pay Later: Everything You Need to Know
Even people with average income, they still prefer they could have a option to pay in installments.
As you can see, Passfeed, the leading eCommerce platform in the US, offers you a modern payment solution to shop online. Even you are in debt at present, you can still buy what you want, and pay all the bills in an installment plan.
All you need to do is pay your bills after 30 days, once you pay the bills on time, then you do not need to pay any interest fees.
2. Installment loans will cause a bad credit score
Installment plans is nothing new, you are not the first one to go for it. If you pay back on time, everything will be fine with your credit score.
Sure credit score will be related to your ability for paying back your bills on time. But it does not mean installment loans will cause a bad credit score.
3. You need to pay a high interest fee
Most installment loans online do have a high interest fee, since they are doing your business. The company is taking the risk, so they need to ask some fees to avoid the risk.
But not all installment loans online require interest fees. Like Paylater, you need not pay any interest if you finish paying later process. It is interest-free, so you can pay your fees off in 4 installments over 30 days.
4. Installment loans online always have extra fees
Once we mention installment loans online, we always think they will cost you extra fees. Actually it is a commend misconception.
Although some unreliable lenders will harass the market, you reliable lenders will not have hidden fees.
While you go for installment plans, no wonder you should check the rules carefully. Most online stores who offer ‘Buy Now Pay Later’ option will tell you how you can pay your products as installment loans later. Also you will know how your total amounts are split, and when you should pay the bills.
Besides the website will have the condition if you are late on your payment, everything will be lucid without hidden fees.
5. Bad credit can not apply installment loans
Some lenders will do a credit check or some will not. If your credit is poor, you can still apply installment loans. Some lenders may lend you a small amount, then after you pay back on time, you may have another choice to borrow more.
6. Installment loans borrowers will be in debt
This is another commend myth, once you are in debt, you should not think you will be in debt forever.
Even you pay later your payment at Passfeed, while you are in debt. You will not remain in debt if you pay your fees on time.
7. Installment loans will cost you more online
Some people believe they will spend more or easier to be in debt again if they go for installment loans.
The truth is they can use the installment periods to earn other fees. An installment plan will offer you an interest-free option. As you may know, time is another type of cost too. Why not use this period?
8. Need a long time to get approved
Most people do not go for installment plans because they think the application is difficult. They think they need a long time to get approved with many paper work.
The truth is installment loans online is faster than traditional financial institution.
Final Thought on Installment Loans Online
Compared with traditional installment loans, Paylater is a new concept of installment plans.
With Paylater, you can enjoy all what you want to buy at Passfeed first, and pay your bills later in installment plans over 30 days.
Installment loans is aim to help people get more flexibility. Some people prefer pay their bills later, some may need it because of urgent situation.
Today customers’ behavior has changed, these short term loans can help you solve different issues. To avoid extra fees, you need to make sure you can pay your bills back on time.
Different from installment loans online, Paylater is an innovative payment method with installment plans. If you do not want to suffer the stress of loans, then why not try Paylater first?
The brand new ‘Shop Now Pay Later’ option gives you more flexibility to go for installment plans with a better shopping experience.
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