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January 12, 2021 6:23 AM Kiah Treece - Forbes Advisor
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January 14, 2021 3:45 AM
A personal loan is financing extended by an online or traditional lender that you can use for a range of personal purposes. If you’re facing travel expenses, home or auto repair costs or other unexpected expenses, a personal loan can help you access the money you need sometimes in as little as 24 hours. We’ll walk you through how personal loans work, how to apply for one, and common alternatives so you can be sure you’re making the right decision.
How Do Personal Loans Work
Personal loans are issued by a range of institutions, including online and peer-to-peer lenders, traditional banks and credit unions. Loan proceeds are dispersed as a lump sum, and interest begins to accrue on the entire loan amount as soon as the loan is issued. Interest rates and repayment terms vary based on the lender and the borrower’s needs and qualifications. Origination fees also v