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Young Adults: Can You Apply For A Personal Loan From A Bank?

13 January 2020

Eva Kennedy

If you're a young adult who recently moved out of your parents' home or graduated college, you may need some financial assistance until you get on your feet. You may consider borrowing funds from your loved ones or obtaining a personal loan from a pawnshop. Although these sources may be good ways to get what you need, you can also apply for a personal loan from a bank. Here's what you may do to apply for your loan.

Look Over Your Credit Reports

Your credit reports show almost everything you obtained financially in life, including school loans and credit cards. If you have discrepancies on your credit reports, such as missing information, the wrong address, or incorrect financial data, it may hurt your chances of securing a personal loan.

The Federal Trade Commission (FTC) states that you can view your credit reports every year. You can generally retrieve free copies of your reports online. Once you have your reports in view, peruse the documents for the inaccuracies mentioned above. If you detect any problems with your reports, correct them. 

You may need to submit some of the corrections by mail. If you have problems correcting or submitting your information, call the credit reporting companies for further assistance.

After you straighten out your credit reports, talk to a banking institution about your financial needs. 

Open a Checking and Savings Account

Banks offer many different solutions to people who need extra funds or assistance with their living expenses, including personal loans. However, you want to establish a good financial relationship with a bank before you apply for a loan. You can achieve your financial goals by opening the right type of accounts with a bank.

The first account you want to have available at your disposal is a personal checking account. Checking allows you to direct deposit your paycheck and other funds you might receive at this time. In addition to opening a personal checking account, you also want to open up a savings account. A savings account allows you to set aside money to pay off your personal loan in the future as well as save funds for other potential expenses you might encounter. 

After you establish the accounts mentioned above, speak to a bank representative about personal loans. A representative can offer you information about their loan products, or they can provide you with the instructions to apply for a loan. A loan servicer may also offer tips on how to maintain and pay off your loan responsibly.

If you need help applying for a loan, contact a bank or loan and financing institution today.

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