One of the benefits of personal loans is that borrowers can use the funding for just about anything. Expenses like medical bills, down payments, travel expenses, past due bills, funeral costs, and more can be covered with the help of a personal loan.
Some types of loans, like mortgages, limit borrowers as to what they may use their funding on. But personal loans allow borrowers to pay for whatever expenses they need to be covered.
Some common uses for personal loans are:
- Debt consolidation – If you have past due bills, student loan debt, or accumulating credit card bills, you may consider consolidating your debt with a personal loan. Debt consolidation with a personal loan allows borrowers to reduce multiple monthly payments and interest charges to just one easy installment a month.
- Medical bills – Whether you are recovering from an emergency room visit, surgery, or other procedure, medical bills can get expensive. If your insurance doesn’t cover the costs, you may find yourself in hundreds or thousands of dollars in debt with medical bills. A personal loan can help alleviate the stress of those medical costs hanging over your head.
- Home repairs or improvements – If you have ever been the victim of a natural disaster, flooding, wind damage, or regular home deterioration, you know how expensive home repairs and improvements can get. With a personal loan, you can take care of the costs upfront so you can get your home back in order.
- Down payments – Whether you are buying or renting a home, you will most likely have to offer a down payment before you move in. If you don’t have the cash upfront to cover your down payment, you can rely on a personal installment loan to cover the cost.
Travel expenses or funeral costs – Family tragedies can happen at any time, leaving little to no room for financial planning. Instead of stressing about how you are going to pay for a wake, funeral, and/or travel expenses, let a personal loan cover the expenses so you can focus on yourself and your loved ones.