How to Get a Loan from Tower Loan? Your Complete Guide to Getting a Personal Loan from Tower Loan
Facing an unexpected expense, planning a home improvement project, or consolidating high-interest debt? A personal loan can be a practical solution to manage your financial needs. If you’re considering a reputable, long-standing lender, Tower Loan is a name you’ve likely encountered.
But how exactly do you get a loan from Tower Loan? The process can seem daunting if you’re unfamiliar with it. This comprehensive guide will walk you through everything you need to know from eligibility and requirements to the application process and what to expect afterward. Let’s demystify the journey so you can make an informed decision.
Who is Tower Loan?
Before we dive into the “how,” it’s essential to understand the “who.” Tower Loan is a consumer finance company with a history dating back to 1936. They specialize in providing personal installment loans directly to consumers. Unlike some online-only lenders, they have a strong brick-and-mortar presence with numerous branch locations across the Midwest and South.
Their key differentiator is a focus on serving individuals who may have less-than-perfect credit. They often consider factors beyond just a credit score, making them a potential option for those who might not qualify with traditional banks.
Step-by-Step: How to Get a Loan from Tower Loan?
Securing a loan with Tower Loan is a structured process. Follow these steps to navigate it smoothly.
Step 1: Check Your Eligibility and Gather Documents
Preparation is key. Before you apply, ensure you meet the basic criteria and have your documents ready. This will streamline your application and increase your chances of approval.
Basic Eligibility Criteria:
- You must be at least 18 years old (or 19 in some states).
- You must be a U.S. citizen or permanent resident.
- You must have a verifiable source of income.
- You must have an active checking account.
Required Documents & Information:
- Government-Issued ID: A valid driver’s license, state ID, or passport.
- Proof of Income: Recent pay stubs, bank statements, or tax returns. This proves your ability to repay the loan.
- Proof of Residence: A utility bill, lease agreement, or similar document with your current address.
- Social Security Number: Required for the credit check and identity verification.
- References: You will typically need to provide a few personal references.
Step 2: Choose Your Application Method
Tower Loan offers two primary ways to apply:
- Online Application: The most convenient method. You can fill out a secure application on the Tower Loan website from the comfort of your home. This will initiate the process, and a loan representative will typically contact you to discuss the next steps.
- In-Branch Application: If you prefer a face-to-face interaction, you can visit a local Tower Loan branch. A loan officer will sit down with you, help you complete the application, and answer any questions in real-time.
Step 3: The Application and Review Process
Once you submit your application, Tower Loan will begin its review. This involves:
- Credit Check: They will perform a hard inquiry on your credit report to assess your credit history and score.
- Verification: They will verify the information and documents you provided.
- Assessment: A loan officer will review your entire financial picture (income, existing debts, and credit history) to determine your loan eligibility, amount, and interest rate.
Step 4: Receive Your Loan Decision
Tower Loan is known for providing relatively quick decisions. In many cases, you may receive a decision on the same day you apply, especially if you visit a branch.
- If Approved: The loan officer will present you with the loan offer, including the loan amount, annual percentage rate (APR), repayment term (e.g., 12, 24, 36 months), and the amount of your monthly payments. This is a critical step—read everything carefully.
- If Denied: The lender is required to provide you with an adverse action notice explaining the primary reasons for the denial.
Step 5: Sign the Agreement and Receive Your Funds
If you accept the loan terms, you will sign the final loan agreement. After that, you’ll receive your funds. The funding time can vary:
- In-Branch: You may receive a check on the spot.
- Online: Funds are typically deposited into your bank account within one to two business days after approval and acceptance.
Key Benefits and Considerations of a Tower Loan
Benefits:
- Accessible Credit: They work with borrowers with fair or poor credit histories.
- Fixed Payments: Installment loans come with fixed monthly payments, making budgeting easier.
- Local Service: The ability to speak with someone in person can be a significant advantage.
- Fast Funding: Quick decision-making and access to funds.
Considerations:
- Interest Rates: Because they serve higher-risk borrowers, APRs can be higher than those offered by banks or credit unions. It’s crucial to understand the total cost of the loan.
- Loan Amounts: Loan amounts may be smaller compared to some online lenders.
- Geographic Limitation: You must live in a state where they operate (e.g., Missouri, Illinois, Mississippi, Alabama, etc.).
FAQs About Tower Loan
What credit score do I need to qualify for a Tower Loan?
- Tower Loan does not publicly advertise a minimum credit score. They consider your overall financial situation, including income and stability. Borrowers with scores in the “fair” range (580-669) may have a chance, but those with lower scores are still encouraged to apply.
Can I use a Tower Loan for debt consolidation?
- Absolutely. Debt consolidation is a common use for Tower Loan personal loans. By consolidating multiple high-interest debts into one fixed monthly payment, you can simplify your finances and potentially save on interest.
Does applying for a tower loan affect my credit score?
- Yes, submitting a formal application will result in a hard credit inquiry, which may cause a small, temporary dip in your score. However, the impact is usually minimal and fades over time.
What happens if I miss a payment?
- Missing a payment will likely result in a late fee and could negatively impact your credit score. It is crucial to contact Tower Loan immediately if you foresee difficulty making a payment. They may be able to work with you on a solution.
Final Thoughts: Is a Tower Loan Right for You?
Getting a loan from Tower Loan is a straightforward process designed to be accessible. If you have less-than-stellar credit and value the option of in-person service, it’s a lender worth considering.
However, the most critical step is to be a responsible borrower. Before signing any agreement, ensure you fully understand the terms, especially the APR and the total repayment amount. Compare offers if possible, and only borrow what you need and can confidently afford to repay. By doing your homework, you can use a personal loan as a powerful tool to achieve your financial goals.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Loan terms, rates, and eligibility requirements are subject to change by Tower Loan. Please visit the official Tower Loan website or contact a representative for the most current information and to discuss your specific financial situation.
