Are you in need of small-dollar loans? Wells Fargo loans is one of the best loans out there.. Recently, Wells Fargo has introduced a new type of loan known as flex loan to allow eligible customers to borrow $250 or $500 for a flat fee of $12 or $20, respectively.
Another name for this loan is Wells Fargo’s small dollar loans. It is a type of loan that requires you to make payments for your loan over four monthly installments. There are many more things about this loan you need to know about.
How Do I Use Wells Fargo Flex Loan?
When you apply for Wells Fargo small dollar loan, you get access to a credit line that you can draw on and pay back repeatedly. Interest on the actual amount you borrowed with Flex is the only thing you pay, and you get a minimum payment every month until the loan is completely paid off.
Wells Fargo Flex Loan Requirements
Before applying for a Wells Fargo flex loan, you need to first be familiar with the requirements for the loan. Getting familiar with it gives you a better understanding of what you need to provide or where you need to be to be eligible for the loan.
Unlike other small-dollar loans given by other banks, you do not need to apply for Wells Fargo flex loan. No credit check is necessary for preapproval for any customers who qualify for the flex loan. Because of this, there is no risk of having a high credit score to apply.
To check if you are eligible for a Wells Fargo flex loan, you need to check if you have an offer on the Wells Fargo mobile bank app. Well, this bank does not actually show requirements for flex loans. But your relationship with the bank plays a big role. This just means that before you can get this loan, you need to be a customer, i.e., bank with Wells Fargo.
Having a positive balance in your accounts and making deposits regularly can get you preapproved for Wells Fargo small dollar loan. Once you have taken the flex loan and agreed to the repayment plans, your money will be added to your Wells Fargo account in a few seconds.
Wells Fargo Small Loan Costs
This flex loan carries a fee of either $12 or $20, depending on the amount of money you borrow. This simply means the loan amount, determines the annual percentage rate with the smaller loan charging more interest.
For instance, if you borrow $250, this loan will carry a 22.83% APR, while if you borrow $500, it will carry a 19.05% APR. However, it is much cheaper than a payday loan that has up to 400% APR. Its four-month repayment term is longer than the two-week repayment terms most payday lenders offer.
How Wells Fargo Flex Loan Compares
Even with a $250 amount, this loan doesn’t go above 36%, which is the maximum APR of a loan. This makes loans affordable. Well, other banks may have flexible loan options, but you can only get loans for what you need at the moment, as well as a shorter repayment term of about 3 months.
Also, flex loans from other banks can be cheaper depending on the amount of money you would like to borrow. But you will have to be an existing customer to be eligible for the loan. There are many lenders, but the Wells Fargo small dollar loan is still the best to get.
Who Shouldn’t Apply For Wells Fargo Flex Loan?
Whilst Wells Fargo Flex Loan charges a flat fee and doesn’t exceed the maximum APR [annual percentage rate], it is not suitable for all borrowers. Hence, Wells Fargo small dollar loan isn’t a good idea if
- You want to build credit
- Your bank account is overdrawn
- You can get cash elsewhere
If any of the above is your main aim for getting a loan, you should not consider applying for Wells Fargo small dollar loan.
How Do I Get Approved for Wells Fargo Flex Loan?
Flex your eligibility using different factors. Because you do not need to meet any requirements or have good credit to apply for this loan, flex loans make use of some factors to confirm your eligibility.
Some of these factors include your banking information, credit report information, and some information about your payment history. However, in general, customers who have fair credit, sufficient deposits, and average bank balances will eventually qualify for Flex loans.
