Online loans in the Philippines

How to Get the Best Online Loan in the Philippines

Gone are the days when people had to walk into a lender’s premises or wait until they open for the day to access a loan. Nowadays, right in the comfort of your office or house, you can start the loan application process, fill in all the required information, and in some cases provide any documents that are required without moving an inch. And some are even coming with relaxed requirements, the majority of people who had been previously locked out of borrowing either due to lack of bank accounts, poor credit score, or other reasons can now access loans courtesy of non-bank online lenders. This is the beauty of online loans. The online loan Philippines space has been relaxed and now if you cannot meet your emergency needs due to lack of money, you can only have yourself to blame as you have failed to identify legit loan online platforms, entities that can give loan money online easily and conveniently. In this article, we will be exploring Online loans Philippines where we will attempt to explain what they are, look at the different types of personal online loans in the Philippines and also describe the application process, and the requirements as well as answer a few frequently asked questions about the online loans.

What are online loans?

When people refer to online loans, it is any type of loan that is processed online. This means that every part of the process is done out of the lender’s premises. Some refer to this type of credit as non-traditional, where an individual is supposed to present him or herself in a brick and mortar office to complete the application process, provide all the necessary documents, and sometimes be interviewed to ascertain eligibility. However, with technological advancement, a substantial part of banking operations has moved online. Bank and non-bank lenders are making it easier for the customers to access their services including loans. A customer can apply for a loan online right in the comfort of the house where the whole process is done remotely. There are several benefits that come with instant loans in the Philippines, they include:

• It makes the process of accessing a loan easier as one does not even have to move an inch to get the money. The process is initiated online, all the details are provided through the phone or computer and if approved the money will be sent through the phone.
• It is helping those who do not qualify for bank online loans access credit since it comes with non-stringent requirements such as possession of a bank account, security, and credit history among other requirements that govern the issuance of traditional loans.
  
• It is available around the clock making it easy for borrowers to get money at any time of the day. You no longer need to wait for lenders to open their businesses to access a loan. You can get your money even in the middle of the night.
  
• You can get online loans in minutes since the processing period is short. If you provide all the required details, your money will be on your phone a few minutes after the application. It is not referred to as an instant loan in the Philippines for anything else; it is due to the time it takes to be processed.

Requirements for online loans

To be eligible for an online loan, a borrower will need the following:

• An active registered mobile phone number
• Have a national identification card as proof of residence and age. To be eligible for an online loan in the Philippines, the borrower should be on top of being a citizen and also has to have attained 18 years old
  
• Demonstrate that you can repay the loan either through employment or business
  

The requirements for an online may vary from one lender to another. Some online lending companies as well as banks may require their customers to provide more than this. So be sure to read and understand the terms and conditions that your lender of choice has presented.

How to apply for an online loan

Now that we have an understanding of what online loans are as well as the requirements and the benefits that come with this type of credit now let’s embark on the application process. The whole process is done online. The first step to getting same-day online loans is to identify a lender. There are several companies both bank and non-banking entities that offer legit loans online. In the Philippines companies such as DiGiDo, MoneyCat, Online Loans Pilipinas, Kviku, and UnaCash among others are some of the online lenders that have been providing their customers with cash loan instantly. Once you have identified the lender of choice, visit its website or mobile app. Most of the lenders have mobile apps and USSD numbers allowing the customers to access loans easily through their mobile phones. If you do not have a mobile app for the lender of your choice, it is advisable to first install it on your gadget to make the application process easy.

The application process involves filing some details; therefore it is important to start by familiarizing yourself with what information is required. With such, it will be easy to fill out the form. Provide all the required details. Most online lenders start with the identification process, where you are supposed to provide your name, phone number, email, or any other contact information. You will be required to provide details on the source of income, level of education, and family status. This information helps the lender to understand the customers as well as make a decision on whether to lend and the amount that should be approved. In some instances, the lender may want to know the borrower better, so additional information may be required such as copies of identification documents, proof of age, residence, and employment status. Borrowers should furnish these details as they allow the lender to classify the customer in terms of eligibility, the amount, and also risks involved. The information given should be as truthful as possible as providing false details will lead to automatic rejection of the loan application.

Once the details are submitted the online lender will take the following steps:

• Review the application
• The lender may ask for additional information if necessary to allow reach a final decision
  
• If the customer is eligible, the application will be approved
  
• Customer will be provided with options regarding the amount to borrow, the duration, and monthly installments
  
• The money will be sent to the mobile phone within a short time
  
• The borrower is supposed to repay the amount with the required interest within the stipulated duration
  

Legit online loans in the Philippines

There has been a proliferation of online lending companies in the Philippines some of which are predatory while others are not legit. As a borrower, you need to identify the legit online loans Philippines have to offer to avoid falling victims to scams. Here are some of the things you can look for to ensure that you are dealing with a loan lender who is legitimate:

• Check whether the online lender is registered with the relevant authority, under SEC and DTI.
• Establish the authenticity of a lender by checking their reviews online. Genuine platforms will be rated highly while scams will be reviewed negatively.
  
• Look at their website; does it have all the features that give confidence regarding the security of your privacy? If not, know that you are likely to fall victim to cyber crimes.
  
• Read the terms and conditions and be on the lookout for red flags such as unrealistic interest rates or being asked to provide unnecessary details among others.
  
• When you are asked to pay for the loan application to be processed, know that you are dealing with a scam.
  
• Beware of unprofessional conduct.
  
• Look out for poor-quality websites.
  
• Check whether there are any unusual payment practices.
  
• When it is too good to be true, know that you are about to fall a victim to the con game.
  

While the list of things to look out for in establishing a legitimate online loan may not be exhaustive, when you pay key attention to the above, you are highly likely to be safe as far as borrowing online is concerned.

Where to borrow online loans

We now have a clear understanding of a number of issues regarding online loans such as the requirements, types of loans, the application process, and also how we can identify legit loans. Now let us get to know where you can borrow money from.

Borrowers are spoilt for a choice as far as where to borrow money online is concerned. There are bank and non-bank online money lending entities that offer online loans. Banks are offering personal loans to meet their financial needs where the whole process is done online. Likewise, these financial institutions have products where even non-customers can access loans through their mobile devices. There are also several online lenders using the same model; they are registered and authorized to operate in the country, providing customers with alternative sources of loans. Some of the online lenders in the Philippines include:

1. DiGiDo, is a lending platform in the Philippines offering easy non-collateral cash lending services to assist its customers to meet their urgent needs.
2. Money Cat is an online lending company that is described on its website as safe, fast, and simple. It charges an interest rate of 0.54 percent per day and its credit is available for a period of 90 to 180 days.
   
3. Online Loan Pilipinas is rated by users as one of the best online loans with a credit period ranging from 7 to 30 days.
   
4. Kviku advances its customers between PHP 1000 and 25,000 for a period between 60 to 180 days at 0.16 percent per day.
   
5. UnaCash is listed among the best online loans in the Philippines as a platform where borrowers can get up to PHP 30,000 at an interest between 3 to 10 percent depending on the credit score.
   

There are many other online lending platforms offering online loans in the country including Loanagad, 123 Lending, Quick Cash123, PondoPeso, Tala, OneClickMoney, CashMe, and Loan Champ among others. A search through the internet will yield tens of results. What borrowers need to do is read through and identify which online lender offers products that meet their needs.

FREQUENTLY ASKED QUESTIONS

1. How much can I borrow from an online loan platform?

The amount you can borrow will depend on the online lender, your capacity to repay, and in some cases the credit score, however, most lenders offer between PHP 1,000 and 30,000.

2. What online loans are safe?

Although there are many online loan platforms, not all are safe. As a borrower, you need to identify safe loans. A safe online loan only collects necessary details, ensures customer security and privacy is guaranteed, the customer is not asked to pay for the loan to be processed, disburses the loan immediately, and charges reasonable interest and fees.

3. How do I pay online loans in the Philippines?

Online loans are paid through the phone, where you deposit money into your bank or mobile money account. From here you can transfer the funds to the online lender. The process can be initiated from the loan app or paid directly using your mobile money account or bank card. You should be guided by safety and the convenience of payment methods when making a decision on what option to use in paying for your online loan.

4. What Are The Best Online Loans For Bad Credit?

Some online loans do not ask for credit history, making them ideal for customers who may have a poor credit score. However, it is important to note that credit score may be used to limit the amount that can be advanced as well as the interest charges that will be applied on your loan. DiGiDo, MoneyCat, Online Loans Pilipinas, Kviku, and UnaCash among others are some of the online lenders where a borrower can obtain online loans even with a poor credit score. Read their terms and conditions to know whether you qualify for a loan when you have bad credit.

5. How can I get a loan online on the same day?

It is possible to get credit such as payday loans online. All you need to do is identify the online lender of choice, fill in the application form and provide all the necessary documents. If approved, you will get the online loans in minutes.