Sms loans or private loans, which suits you best?

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At Astro Finance you will mainly find sms loan, hence our name, but we also have a good selection of small private loans as well as any bank and loan intermediaries that offer ordinary private loans up to USD 350,000.

Therefore, we think it may make sense to give you a small guide to help you choose the right kind of loan.


When you should choose a sms loan

sms loan

  • If you are only in need of a few thousand dollars, sms loans are your only option since the banks usually require you to borrow at least USD 10,000 or 20,000 when you want to take a private loan with them.
  • If you are in need of really fast money, sms loans are also your only choice, because only sms loans are already paid on the same day and in some cases even within 15 – 60 minutes if you have the same bank as the lender.
  • If for some reason you need to pay directly to your bank account on the weekend, you must apply for a sms loan as regular private loans are not paid on weekends.
  • There are no interest free private loans so if you are looking for an interest free or totally free loan you also need to take a sms loan.
  • Sms loans are also a good option for those who do not earn as much, for those who do not have a permanent job and for those who have payment remarks. It is difficult to get a private loan if you have a low salary, lack fixed income and / or have payment remarks.


When to take a private loan

When to take a private loan

  • Private loans are a good choice for those who need to borrow a larger amount of money, maybe around USD 20,000 – 350,000. Most sms lenders do not lend such large sums of money and if they did, your interest expenses would be a little high because the sms concept is based on short loan periods.
  • If you are going to buy a car from a private person or a car that is older than 10 years, the car loan with no collateral applies, which is in practice the same as a private loan.
  • If you are going to buy a home and cannot afford to pay the down payment yourself, you can cover it with a private loan, you can do the same if you take out a car loan with collateral and cannot afford to pay the car down payment .
  • Maybe your current home needs a proper lift. If you do not have a large savings account that you can take money from for the renovation, a private loan is something you should look a little closer at.


Small private loan instead?

Small private loan instead?

Nowadays, there are loans that are smaller than the traditional ones private loans but larger than a sms loan. These loans have a longer repayment period than most sms loans, it can be about 1 – 24 months or 1 – 6 years. So this is a kind of intermediary for sms loans and private loans and such loans can be found here. The nice thing about these small private loans is that:

  • They have a lower interest rate than sms loans.
  • They are well suited for those who want to borrow a little more a little longer but who may not meet the tough requirements the banks’ private loans have.

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