Social Lending

3 Steps to Getting the Most Out of the Social Lending Experience as a Borrower

If you’ve been looking at ways to borrow money in our super connected, technological society, you might have already stumbled across social lending. It’s a great way to really make sure that you will be able to get the money that you need without really having to worry about too much of anything. However, just because it’s a great method doesn’t mean that you don’t have some tough choices that you will need to make in the long run. There’s a specific set of steps that you will need to do in order to get the most out of the social lending experience as a borrower.

First and foremost, you will need to make sure that you have a good idea of where everything is on the social lending site that you’re most interested in. it’s not enough to just stumble through the site until you find where people are borrowing money. Ultimately, you will need to make sure that you’re part of the community that you’re trying to borrow money from. This will help you actually get your loan request filled.

From there, you will need to think about what type of loan that you’re trying to apply for. You will need to think about trying to go for the smallest amount that will meet your needs. Interest rates in social lending can be a little higher but the terms are often more flexible. Social lenders will look past credit problems if you can assure t hem that you now have the ability to repay your debts.

By the same token, you will also need to make sure that you attach the right information to the social lending site in the first place. Getting a social lending loan can take some time, because you will have to wait for the loan to be actually funded. In the meantime before that, you will need to attach proof of income, proof of homeownership (if you have a house) and even proof of employment. Stability is the key here. Again, you have to let everyone know that there’s no way that you’re going to default on your loan.

This is where you might be tempted to submit false documents, or otherwise make your situation look better than what it is. You need to make sure that you don’t give into temptation at all. It will only make it harder to get the loan that you need, and it will also ruin your reputation.

Finally, you will need to get some other people that are well trusted on the site to go to bat for you. When you’re a newcomer, this can be hard, but it doesn’t have to be that way. Take the time to introduce yourself, and actually socialize with people before you jump right into a loan. If you feel comfortable, you might want to actually share part of your life with the people in question. Once they see that you share a lot of things in common with them, they will be very likely to help you on your journey.

These tips are just designed to give you a plan that you can run with. Follow the tips in this guide, and you’ll be one step closer to the social loan you want!