Do you ever find yourself overwhelmed by unfamiliar terms on lending websites? If you’re going to apply for a personal loan, it is absolutely crucial that you understand the various terms and conditions. So today we’re going to answer a question that may arise as you browse installment loans: what are prorated fees? As prorated fees are often advertised as a valuable benefit of a loan, let’s explore how beneficial these sorts of fees truly are when compared to typical fees.
What Are Prorated Fees?
So what are prorated fees? To “prorate” is to “allocate, distribute, or assess pro rata.” Let me guess: you’re now wondering what “pro rata” means. Isn’t it funny when the definition of a confusing term only sparks more questions? Luckily, “pro rata” is a simple adjective and adverb that means “proportional” or “proportionally.” And just in case you’ve forgotten the exact definition of proportional, it means “corresponding in size or amount to something else.”
When lending fees are pro rata, they typically correspond to the borrower’s payments. So instead of having fixed fees, your fees will fluctuate proportionally based on your payment actions. This is very beneficial if you choose to pay off your loan early, because you will only pay the fees that accrue during the time you have the loan.
Clearly prorated fees are a benefit worth seeking out when shopping for an installment loan. So what else should you look for? As you browse potential lenders and loans, seek out these additional advantages:
- Direct lending
- No hidden fees
- Flexible payment schedules
- An intuitive, secure, helpful, and easy-to-use website
- Ability to apply for your loan online
- Easy application process
- No credit check required
- Quick approval/response time
- Instant funding
- Funds sent directly to your bank account
- Partial payments allowed
- Low fees and interest rates
- Electronically debited payments
- Ability to cancel your loan (within a short timeframe, typically)
- Lender approved by the Community Financial Services Association of America (CFSA)
- Extensions and late payments possible if you contact the lender beforehand
- Friendly and accommodating customer service representatives
Finally, remember to check that your chosen lender is qualified to offer loans to residents of your state. Rules and regulations regarding installment loans vary from state to state, so it is a good idea to check that your preferred loan is legal before proceeding with the application.
When you need money quickly, a personal loan can supply the perfect solution to your woes, providing you with some extra cash before your next paycheck arrives. If you would like to apply for a personal loan, check out Advance Paycheck Online. We are direct lenders offering short-term advances and online installment loans to the residents of three states: Illinois, Utah and Wisconsin. Our flexible payment schedules will help you pay off your loan as soon as possible, and we prorate the fees involved so that if you pay off the loan early, you will have very few fees to pay. To get started, please contact us online or give us a call at 1-815-436-4242. We would be happy to help!