- Application
- Verification
- Decision
- Agreement
- Funding
- Repayment
1. Application
You provide personal details and choose an amount or product. A legitimate provider should clearly identify the legal company and explain how your information will be used.
2. Identity and income verification
The app may request government identification, address details, employment or income records, bank statements, or permission to connect to a bank account. Request only what you understand and consider necessary.
3. Underwriting and decision
The lender assesses whether to approve the application and on what terms. This process may use credit bureau data, cash-flow information, stated income, employment information or automated risk models.
4. Review the agreement
Before accepting, identify the principal, interest rate, APR where applicable, mandatory fees, payment dates, total repayment, late-payment terms and cancellation rights.
5. Funding
Funds may arrive by bank deposit, debit card or another payment method. “Instant” funding may involve a separate fee.
6. Repayment
Payments may be scheduled by pre-authorized debit or another agreed method. Keep enough money available and understand how to revoke or dispute an unauthorized debit under local rules.