People have been borrowing money since money existed, but recently, the way they do it has undergone a digital transformation. With 65 percent of all loans coming from FinTech (or online lenders), you’re more likely to head online than visit the bank for financial help.
When you do, make sure you do it safely. Keep your personal info safe by following this simple guide below.
Be As Specific As You Can Be
A big misconception about online loans is that they’re available to anyone who can access the lender’s website. But the truth is, online direct lenders must follow state lending laws that regulate their loans.
Your eligibility hinges on living in the state where they’re licensed to lend. So, if you’re trying to apply for a loan coming out of California, but you live in Wisconsin, you may be denied purely because of where you call home.
If you live in Wisconsin, for example, you should try this query in your search engine: online loans Wisconsin. This forces Google to collect only lines of credit and installment loans in Wisconsin, so you’ll find safe loans that follow the letter of the law.
Know What Is and Isn’t Necessary
A great rule of cybersecurity thumb is to only share your personal information when it’s necessary.
In the beginning stages, you’re going to be shopping around for rates and terms. At no point should you have to input your name or financial details to find out how much an installment loan costs. The only exception to this rule is if you’re using a third-party site that works as a broker to find loans on your behalf.
When it comes to online direct lenders, these financial institutions will only ask for your info in their applications. They use these financial details to determine if you’re eligible for funding.
Before you apply, check to see how you compare to their eligibility requirements to see what you need.
Your credit score plays a big role in which products you can qualify for, but don’t let a bad score let you believe direct payday loans are the only thing available. You may find an alternative to payday loans in Wisconsin by searching out installment loans for bad credit.
Assess the Lender’s Website
Before you apply for an installment loan, you’ll want to double-check the lender has two essential security details on their website.
First, check that they have valid site certificates. This is as easy as confirming their URL starts with HTTPS and has a closed padlock next to it.
Next, read up on their privacy policy, which is usually something you can find at the bottom of their homepage. This tells you how they intend to collect and use your personal information. If it’s missing, consider it a red flag!
Select a Strong Password
Once approved, you’ll receive an account with your lender. Here, you’ll be able to check-in on important details, like your remaining balance and due dates.
When creating your log-in, you’ll want to choose a unique password that contains the following:
- 8 characters
- Upper and lowercase letters
- Numbers and symbols
Bottom Line
Borrowing money is secure — just follow these tips to find a lender that follows the rules to keep your data safe.
