Options to Securing the Best Personal Loans |

Credit Unions and national banking institutes are influencing consumer intrigue by offering the best personal loans and flexible repayment options. Loans are gaining become more available and gaining in popularity, as consumers in the US have taken out an additional $5 billion in credit from December 2010 to January of this year.  Banks are providing lower fixed interest rates, repayment alternatives and incentive programs to encourage utilization of available funds.

Incentive Programs

Many banks offering the best personal loan rates also offer additional incredible incentives to current banking members. Members are able to take advantage of interest rate plans, bonus points or vacation options provided exclusively by the issuing banking institute.  CitiBank is one such example of a financial institute that gives you rewards along with your personal loan.  Should you be approved for a loan from them you may also establish a checking account with them.  This checking account can be enrolled in their current “ThankYou Rewards” program which gives you points for every dollar you spend.  Typically, these rewards programs offer as much as 1% cash back.  Other banks, such as Chase, also often offer cash for opening a new checking account with them.  In March of 2011 they were offering $125.  While this may not seem like a lot, something is better than nothing!

In addition to rewards, some companies, such as Discount Advances are even offering referral programs, where you can get paid for referring your friends and family to their services.

Large banks or credit unions often offer fixed interest rate options to current members as an incentive to secure a loan.  You should visit with a knowledg eable bank re pres entative to determine the current interest rate and find out about any available incentives or rewards programs to secure the best personal loan.

Repayment Options

Issuing bank institutes offering the best personal loan rates to their members often provide alternative repayment options. Some loans now offer an option for direct debit, sometimes refereed to as automatic loan repayment.  You may be accustomed to receiving your paycheck via a direct deposit.  Some loans now offer an option for direct debit.  This is where the back will automatically deduct your monthly payment from your account on the date that you specify.  This is something your bank prefers, as they are ensured to receive their payment in a timely manner.  You should enjoy it as well, as it eliminates the fees associated with a late or missing payment should you forget to send that check.  Just be sure that you have enough funds in the account!  It might be wise to schedule the direct debit on the same day of your direct deposit to insure maximum funds are available.

In addition to automatic loan repayment, your credit union or bank might also offer the option to report the timely payments to the credit bureaus to enhance the member’s credit score.