A personal loan can improve your financial health and your peace of mind. And the experience of getting one can be much simpler if you do a bit of preparing in advance. 

If you have high-interest credit card debt, you know the stress of unpredictable monthly bills. Even as you make payments, you may find that the balance never seems to get much smaller. 

And if you have larger expenses on the horizon, you may be wondering how best to afford them. If you have a big expense coming up — things like home renovations, medical costs, or car repairs — applying for a personal loan may be the answer. 

So, Where Do You Begin When Applying for a Personal Loan?

To help you navigate the process of getting approved for the loan you need, we wanted to share some valuable steps to take before you apply: 

Check your credit report: 

Lenders will look through your credit report (which includes your credit score and credit history) as they consider your loan application. So it’s helpful for you to look at it in advance to make sure everything is accurate and to see if you can improve anything. 

You can set up free accounts at the three credit reporting companies (Equifax, Experian, and TransUnion). They each offer services with fees, but you don’t have to pay anything to see your credit report. You can download a copy for free. 

Decide how much you want to borrow: 

Loans are customized to the amount you need. One key in deciding how much to borrow is figuring out how much you can afford as a monthly payment. 

Also, consider how long you want the term of the loan to be. Are you hoping to pay it off quickly, or are you comfortable having smaller monthly payments for a longer amount of time? 

Choose a lender that will explain everything: 

It’s important to understand the terms and conditions of any loan you take out. So you’ll want to work with a company that will take the time to answer all of your questions — and even explain things twice, if you want them to do that. 

The “Friendly Franklin Folks” want every customer to feel completely comfortable, so we make time for really getting to know your needs and making sure each step of the process is clear. That can make the whole experience much better. 

Gather your documents before you apply:

Lending companies will ask for proof of your identity (usually a government-issued ID, like a driver’s license), proof of your address (utility bills, rent bills or mortgage statements can take care of this) and also information about the bank account where the money will be deposited once the loan is issued. There could be additional documents needed depending on the loan provider. This helpful link covers the documents you’ll need when applying for a personal loan with 1^st Franklin Financial.

The process will be much easier if you gather these things in advance and have them ready when you apply.

By taking these steps and choosing a lender that will support you along the way, applying for a personal loan can be quite smooth and a solid step toward a bright financial future.