Best 
Payday loans 
Quick 
Online 
Installment 
Unsecured 
Cash loans 
Secured 
Personal 
For bad credit 
Сonsolidation 
No credit check 
Line of credit 
Same-day 
Peer-to-peer 
Signature 
Tribal 
Cash Advance 
Small 
Lawsuit 
Medical 
Starter 
Pawnshop 
Life Insurance 
Collateral 
Revolving 
Military 
Hard Money 
Show 
What is a loan in Arkansas?
Arkansas loans can be used to cover different types of expenses. You can fund your home, car, medical bills, vacation, wedding, or university. The loans are money you take from the lender and pay back over some time. Arkansas residents use loans for debt consolidation, car purchases, or small purchase financing.
Various loan options are available, and many banks, credit unions, and private lenders operate in the state. It can be quite challenging to get financing on favorable terms, so you need to learn a few facts.
Pros and cons of loans in Arkansas
Pros
Your application can be processed quickly, within one day.
You may spend money on anything you need, depending on the type of loan you take.
In case you want to apply at a local branch, there might be many close to your home.
Cons
The APRs can reach triple digits.
The interest rate depends on your credit and can be unregulated by the law.
Lenders charge hidden fees, especially with payday loans.
Terms and conditions for loans in Arkansas
Loan terms and amounts depend on your financial situation and vary according to the lender and the loan type.
Personal loans in Arkansas have a maximum amount of $35,000. The minimum loan amount is $1,000, and the longest you can take the loan is 90 days. The minimum APR will be 5%.
Installment loans have amounts of up to $5,000, and you generally can apply for them both online and in-store. The loan is unsecured, and the repayment term is from 2 to 36 months. The minimum APR here will be 6.6%.
Title loans have an average loan amount ranging from $100 to $5,500. In some cases, you can get up to $10,000.
The mortgage has the highest amount of $700,000, and you can get no down payment on FHA and VA loans.
Car loans allow you to get up to 100% financing, including fees and taxes.
Main requirements for obtaining a loan in Arkansas
The requirements you should meet to qualify for an Arkansas loan are different, but the most common of them are:
You should have a credit score of 690+
Provide a bank account info
State a proof of income within 30 days, usually of $1,000 per month
Have a valid driver’s license or state ID, Social Security Number
Have an Arkansas residence
State a phone number and e-mail address.
Keep in mind that if you submit an application for a home loan, you will need your property documents for car loans - VIN and insurance - and business loan - your business documents.
Ways to get a loan in Arkansas
You can get an Arkansas loan from different financial institutions. While banks allow you to borrow at favorable rates if you have a good credit score and financial situation, credit unions can lend you on lower requirements. The leading credit union in Arkansas is Arkansas Credit Union. It has interest rates starting at 7.24% APR for up to 36 months. The maximum you can borrow on small loans is $25,000.
Most lenders allow you to apply 24/7 online. To enable an application procedure, you need to:
Start an application form on the website or app;
Once you fill in the form and submit an application, the request will be verified by the lender;
If you receive approval, the money can be deposited into your bank account, or you can take it in cash.
Consider applying for several lenders in a short period to make it a single pull in your credit report. Otherwise, you may lose many scores by applying.
How to repay a loan debt in Arkansas
To pay your debt successfully, make a repayment plan that suits your situation.
You can make fixed payments of minimum monthly amounts for an entire loan term. You will be able to contribute lower payments but pay more interest.
Extended payments offer you an option to pay back longer. This way, your payments will be even lower.
Make additional payments on your loan. If your lenders permit additional payments, it would be good for you to save money on interest and pay your loan a bit faster.
Repay your loan early if you can afford it. You may save a considerable amount on interest but check for the prepayment penalty first.
If you can’t pay back, there is also debt consolidation. You merge all your debts into one and make payments on a single loan.
Legal regulations of the loan market in Arkansas
Arkansas is the only state having usury limits stated in the constitution. Here, consumer loans can go up to 17% APR or 5% higher than the Federal Discount Rate. The APR is determined by the lowest one.
The financial institutions in Arkansas should obtain a license to operate in the state. The Banking Act (Chapter 45 of Title 23) requires institutions operating in the state as a bank to be registered with the state. Registration is done by the State Banking Board and Bank Commissioner.
The Loan Officers as well get licensed by Nationwide Multistate Licensing System & Registry and must complete education.
