The Thanksgiving Day and even weeks before it, is seen as a time with a strongly positive vibe. With the spirit of the festival, comes a reason to have a quality time with loved ones and enjoy the traditional customs. Many of these customs and traditions have expenses associated with them. Such expenses, at times can be burdening and to many, borrowing is a solution to an uncompromised thanksgiving.
While borrowing at this time can be useful and valuable to many, to some this choice can end up being a disaster.
To learn how to be safe from getting into a situation that goes sideways, one needs to understand:
- What brings about the increase in demand for loans, that leads to rise in charges and higher activity of fraudsters
- How to reduce the risk of getting a more expensive loan
- How to stay away from fraudulent lenders
Keeping these points in mind, a loan can be much safer and of better value for the borrower. Nonetheless it is also essential to know that it’s always wise only to borrow loans of amounts that you are most likely to repay on time.
That said, let’s discuss the three key points in detail as relevant to this context.
Thanksgiving is a very widely celebrated festival and soon after thanksgiving comes Christmas which goes a step further. From a few weeks prior to this festive season, the trend for loans goes up quite sharply. This trend is not only seen in personal loans, but in almost all sorts of loans that are aimed for individuals, businesses and even conglomerates and governments.
Many entities serving in the lending industry typically aim at more than one of the market sectors and provide a variety of lending services. And just as any other industry, rise in demand leads to rise in the charges (fees, interest rates, etc.) of loans too.
Whether you deal with a bank, a broker or a direct lender, it is very likely that the loan offers around this festive season are more expensive than similar loan offers in other parts of the year, much the way that a lot of other seasonal things are as well.
Reducing the Risk associated with Higher Expenses
One major risk associated with borrowing during peak season like the weeks around the Thanksgiving Day, is that of higher expenses that any loan is likely to attract, due to the higher demand. Here are some ideas using which this risk can be reduced:
- Borrow early – Planning in advance and borrowing the required amount of money earlier, is likely to get you a better loan offer.
- Choose a shorter tenure loan – Loans with shorter tenure are likely to accrue lesser interest. If affordable for you, such loans may help save money.
- Look for loan offers – Some lenders may run special offers during peak seasons, just to gain a better share in the market. However, it is important to make sure that the offer is transparent, legitimate and that you understand the benefits being offered.
- Choose the cheapest reliable loan that’s available to you, comparing all available options properly.
Reducing the Risk Associated with Fraud
With a rise in demand, there’s always a potential for a rise in malpractices and frauds. This is an unavoidable consequence of the capitalism which otherwise has tons of benefits. However, this risk is not too hard to mitigate. The safest way is to only borrow from legitimate lenders from whom you are able to get what you need. Here’s how to be certain of dealing with a legitimate lender:
- Banks are typically the safest lenders of loans. However, if you have a poor credit history or need a loan in a hurry and paying a higher charge for your loan is the only option, a non-bank direct lender loan is what you may need.
- Company salary advances are also a safe option for those working with a company that offers such a loan.
- Some trustworthy mortgage brokers and loan matching services are a useful source to get a direct lender loan from, however their services are likely to add to the cost.
- When a choosing a direct lender, it is important to know their legitimacy, which can be done in these ways:
a. Check for online presence
b. Check for good customer feedback online
c. Avoid lenders making suspiciously good offers
d. Look for signs of recognition like BBB accredited business, OLA association, etc.
e. Look for the “secured” symbol and “https://” before the URL of the lender’s website
f. Look for transparency in any loan offer that you may receive
g. Stay away from lenders that demand a deposit for loans.
Choose a Legitimate Lender of Loans for this Thanksgiving
We at CashAmericaToday are a trusted and legitimate lender of loans serving thousands of satisfied customers each year. During the festive period, weeks before the Thanksgiving Day, we conduct surveys and competition analysis to understand how we could best serve our customers and gain more new customers. We strive to be competent and provide welcoming deals. To get in touch with us, you simply need to leave a query through an online loan application or contact us, and we shall assist you with an offer to suit your needs.