Do you find yourself seeking a reputable lender for a business loan? Are you ready to secure a loan, but unsure if you are making the right decision?
One of the most difficult decisions you will make is deciding which lender to do business with. This is especially true in today’s day and age, as you have many options to choose from.
If you have concerns about making a poor decision, if you are concerned you may end up borrowing from a loan shark, you are not alone. Fortunately, there are things you can do to avoid trouble.
Here are three ways to spot a loan shark in 2016:
- Lack of paperwork. Loan sharks don’t typically deal with all the paperwork and documentation of a traditional lender. If somebody offers you a loan but doesn’t request much or any information, something is wrong.
- High interest rate. Loan sharks make money by charging a high interest rate on all loans. They may make it easier to secure a loan, but you are definitely going to pay for it in the long run.
- Poor or no online reviews. In today’s day and age, the most reputable lenders have nothing to hide. There are plenty of online reviews detailing what they offer. With a loan shark, it is likely you won’t be able to find any information on them.
If you need a business loan but have concerns about making a sound decision, don’t rush into anything. You should only sign on the dotted line once you are 100 percent sure that the lender has your best interests in mind. This means one thing: you must avoid loan sharks at all costs.