4 Common Types of Finance Loans

Loans are a normal part of our lives. Most people resort to take out loans to finance for a house, car, insurance, business or for personal use.

There are many types of loans that you can apply for including personal loans, car loans, business loans and debt consolidation loans. It is essential to consider your situation and needs before taking out any loan.

For loans in Perth, check out Argent Finance!

There are also a few things that you should consider before applying for a loan such as interest, repayments and loan policies. Be informed about the loan details to avoid confusion and misunderstanding.

Here are the four common types of loans that you should consider:

  1. Car Loans

A car loan is a sort of personal loan that you can apply for if you want to get a car that you can’t buy outright.

The loan company will lend you the money to purchase the vehicle; in return, you will repay the amount, including the interest.

It is essential to be aware of all the terms and conditions of the loans before agreeing to it.

Also, consider paying a higher down payment to shorten repayment times and to avoid paying higher car loan interest.

  • Personal Loans

Personal loans are one of the better types of loans we all love!

It is usually classified as a non-collateral loan and is easier to process.

A personal can be used to pay for daily expenses such as bills and groceries or use the money to finance a holiday or dream wedding.

The approved amount for a personal loan will depend on your income and credit rating.

  • Business Loans

A business loan comes handy if you want to purchase some equipment for your business.

Business loans are typically used to finance your business and to ensure that it has a constant cash flow.

Constant cash flow can help run the business efficiently and will allow your company to achieve an improved productivity level.

Moreover, business loans provide financial assistance to your business in case of unexpected expenses.

  • Debt Consolidation Loans

If you have multiple loans on your list, debt consolidation loans can help you pay it off in one go.

A debt consolidation loan is a separate loan that you can take to pay off outstanding debts.

You can apply for a debt consolidation loan through your bank, credit union or lending company.

It is essential to maintain a good relationship with the bank as it can help you get approval.

There are different types of loans for your needs. Choosing the right one will depend on your needs or situation.

You may not need the loan now, who knows in the future?

Consider taking out loans to improve your financial situation. Do not take out loans if you cannot afford to pay it.

Paying off the loan will take a toll on your financial situation if it is unplanned. Be sure to have a stable income before deciding to take any credit.

It would also help if you consult an expert before applying for a loan. They can help you decide on the best repayment scheme for your situation.

So, do you want to take out a loan? Which type of loan?

Check out Argent Finance for loan options!…

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5 Factors to Consider When Weighing up Options for Business Finance

Whether you’re an established business in the market or you’ve just launched a start-up, you’ll most likely need financing to expand into new markets or develop a new product. There are many reasons a business may require financing. As a business owner, it’s important that you understand what’s important to investors and lenders so you can succeed when it comes to obtaining financing for your business. Note that financing can either be an investment in exchange for a stake or a business loan. Here’s what you should consider when weighing up options for business loans or finance options. 


Both investors and lenders will consider the income your business generates before deciding whether or not to give you the money you need. If your business doesn’t have any history of profitability and income, lending institutions may shy away from giving you a business loan. However, if your company has a high potential for growth and profitability in the future, investors may give you the finance you need for an ownership stake. 


Does your business have any assets or collateral? Lenders will want to know if your company has any assets as they can serve as a safety backup in case you can’t pay the loan back. Investors may not consider your company’s assets. They are most likely to be interested in any intellectual or proprietary property if you’re a tech company. 

Cost of Financing

No one is going to give you thousands of dollars simply because you asked for it. As a business owner, you must be honest and realistic with yourself. If your company might have a hard time making interest payments, a business loan won’t be a good option. Understand that loan come with original fees, interest rates, and brokers’ fees. And you must repay the loan. Financing through investment may not necessarily have interest expense but you may have to give up an ownership stake of the business. Consider business finance that your business is comfortable with and can service easily. 

Amount of Financing

Whether you’re looking for finance to invest in growth or launch a new product, you must determine the amount of money you need. A loan may be a good option if you’re looking for a small amount of financing, say $50,000. However, if you need a very high amount of financing the investment option might be the best. Take time to compare the borrowing options available to you so you can make an informed decision. 


The financing method you choose will certainly affect the level of control and independence you have in operating the business. Getting financing from a lender might not affect your independence since the lending institution is only concerned with on-time repayment. However, taking on an investor in exchange for an ownership stake in the business will mean relinquishing some level of control over the operations of your business. Some investors may need to be part of the advisory board so they can have a voice in how the business grows. 

Financing through investment may bring on board expertise and input that may contribute to the growth and profitability of the business. Borrowing from a lender leaves you to enjoy the rewards yourself if the business takes off and becomes successful. Be sure to take your time and select the right financing partner. No matter your business needs there are finance brokers that can help you make the right call and formulate a financial strategy for your overall growth.

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