Personal loans are considered as some of the most convenient borrowing options that one can obtain in Massachusetts.
The state is home to hundreds of banks and credit unions where you could get a range of personal lending solutions for a number of needs.
If you have good to excellent credit score and a regular source of income, you can easily get a personal loan having fixed competitive rates and flexible repayment terms.
People with bad credit may also obtain affordable rate loans if they are ready to offer more information regarding income and employment.
Some reliable banks in Massachusetts that offer a variety of personal loans at affordable rates are:
- East Boston Savings Bank
- Charles River Bank
- Bank of Easton
- Cambridge Savings Bank
- Berkshire Bank
- Belmont Savings Bank.
Usage of Personal Loans in Massachusetts
There is a whole lot of things that you can do with your personal loan amount. Some people may obtain it to meet some unexpected expenses or to fulfill their financial goals.
The following are some of the most common usage of personal loans:
- Home renovation or repair
- Pay child???s education expenses
- Consolidate high-interest debts
- Purchase a used or new vehicle
- Plan a family vacation
- Pay medical bills
- Finance a major purchase
Secured and Unsecured Personal Loans
Based on your needs, you can obtain a variety of personal loans from different lenders in Massachusetts.
Generally, there are two types of personal loans – secured and unsecured personal loans.
Secured loans are those where the lender require you to offer some collateral against the loan amount.
Your collateral can be either your home, vehicle, savings account, deposit account, or Certificate of Deposits. Secured loans usually come with fixed competitive interest rates, flexible repayment terms and no closing costs.
On the other hand, the lender does not require you to provide any collateral to offer you an unsecured personal loan.
The only drawback of an unsecured loan is that the lender may charge you higher interest rate due to the fact that there is no collateral involved.
However, you will be able to receive a competitive rate and affordable repayment terms when you have a good credit score and a reliable income source.
Your loan amount will mostly depend on your income condition and the ability to repay on time.
Home Equity Loans and Lines of Credit
Home equity loan allows you to use the equity in your home to obtain a fixed dollar amount that you could use for a major purchase or life events.
You will get the loan amount upfront and most lenders offer fixed interest rate and fixed repayment terms with home equity loans. Loan amount will mostly depend on the equity value in your home.
Home equity line of credit is another lending option that you can get against your home???s equity.
You will get instant access to funds when you need it and you are free to use the cash the way you want. As you continue making your repayment, funds get available for you to borrow again from your credit line.