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Loans by Phone

Loans by Phone: How They Work, Types, and Benefits

Updated on February 14, 2023


Nobody enjoys dealing with unexpected costs, especially when money is tight and you don't have a rainy day fund. And when we talk about emergencies, they might occur anytime and anywhere. Suppose you find yourself in urgent need of funds; applying for a loan by phone may get you money faster.

Requesting a loan over the phone is one of the fastest ways to acquire cash during urgent financial situations. Based on surveys of U.S. adults conducted in 2011-2021 by the Pew Research Center, 97% of Americans have a cellphone of some type, and around 85% of Americans are smartphone owners. So, applying over the phone makes loans accessible to more people.

If you'd like to learn and explore more about loans by phone, you'll find out how they work, the benefits of using this process to get funds, and more in this article.

What are Loans By Phone?

As the name suggests, you can apply for a personal loan over the phone from the convenience of your own home. You can also save time by not driving to your lender's store.

How Do I Use My Phone to Get A Loan?

Depending on the lender, you could follow a couple of different paths. However, these loans begin with borrowers calling the lender. Here are some general steps to get a loan using your phone:

1. Call And Apply

First, you call the financial institution to talk with a representative. They will collect personal information, including your name, date of birth, address, social security number, income, and bank account details. The representative then fills out the loan application on your behalf using the information gathered.

2. Discuss And Agree On Terms

Once your loan application is filled out and submitted, the lender will decide whether to approve or decline your loan application. You will be informed about the lending decision. You can sign your loan agreement to accept the terms if approved. 

3. Receive Your Funds

After signing the loan agreement, you get your money. Depending on the financial institution, you can choose a direct deposit or a check to receive your funds.

In other situations, a loan by phone could also refer to applying for an installment or title loan through the lender's website or app on your phone. For instance, if you want to apply for a loan over the phone with CASH 1, you can visit our website and fill out an application from your smartphone in a few minutes.

Why Should I Apply?

Suppose you need help getting to a physical location. In that case, you may find it more convenient to apply for a loan by calling or using a financial institution's website on your phone.

In addition, you can expect to get loan approval more quickly because no paperwork or waiting in line is required. Upon approval of your application, the lender will send you the terms and conditions, which you can accept. You can get the funds in your bank account on the same day or, at the latest, on the next day.

Can People with Bad Credit Apply For Phone Loans?

When you apply for a loan, most lenders check your credit score to determine what type of borrower you are. Thus, your credit score could play a significant role in helping many lenders determine whether or not you get approved for a loan. It can also affect the rates and terms of your loan.

Luckily, some lenders provide bad credit loans over the phone for those having bad to no credit. These lenders consider factors other than your credit score to know your creditworthiness. They'll consider factors like your employment status, income, and other aspects. You could still obtain personal loans over the phone if you have low credit and need money to handle an emergency.

Different Types of Loans Offered Over the Phone by CASH 1

Different Types of Loans Offered by Cash 1

Now that you know if you can get a loan by phone, you should learn about the different types of loans available for application over the phone. Here are a few borrowing options at CASH 1 that could be useful if you have an unexpected bill:

Personal Loans

Simply put, a personal loan helps you take out a set sum of money and repay it over time. You can use these loans for any and every purpose. Generally, there are two types of personal loans: secured and unsecured. Notably, the most common type is the unsecured one. An unsecured personal loan is simply one which is not secured by any asset. On the other hand, a secured loan is usually more affordable because it is backed by collateral.

Installment Loans

Installment loans are a type of personal loan that helps you borrow a lump sum and allows you to repay in regular, equal installments over time. You can use the funds to pay for various expenses, including necessary home and auto maintenance and unexpected medical costs. If all the loan requirements are fulfilled on time, you can receive your money the same business day. The term of your loan can be flexible depending on the type of installment loan you choose and a few other variables.

Line Of Credit

A line of credit is one form of revolving credit. Unlike installment loans, they allow you to borrow funds multiple times instead of once. When you apply for a line of credit loan, you get approved for a credit limit. You can withdraw money when needed as long as you have available credit and your account is in good standing. The best part is that you only pay interest on the amount you borrow, not your entire credit limit.

Payday Loans

Payday loans are often small, short-term loans that you must repay in full by the date of your next paycheck. These loans are easy to get, and you can use them for unforeseen costs like unplanned car repairs or urgent medical needs. Remember that payday loans are not a long-term financial solution. They are designed to fulfill any immediate and short-term cash requirements. 

Title Loans

A title loan is a type of secured loan that allows you to use the title of your vehicle, such as a car, truck, RV, or motorcycle, as collateral. When you borrow a title loan, you must temporarily surrender the copy of your vehicle title in return for a loan amount, making the lender the lienholder. The lien is released upon loan repayment, and you receive the vehicle title back. Doing this allows you to keep driving your car while getting the required money.

Cash Advances

You can use a cash advance to meet your short-term financial needs, even with bad credit or no credit. You can apply for a cash advance loan using your income or car title as collateral. They are perfect if you need fast money to pay for unforeseen costs like auto repairs, medical expenses, or home maintenance. CASH 1 offers various cash advance loans to match your varying personal finance requirements.

Benefits Of Applying For Loans By Phone

Many loan options are available if you have a cell phone, whether it has internet access or not. Here are some of the benefits that you can expect when you choose to apply by phone:

Simple Application

When you opt for loans over the phone, completing the online application takes a few minutes. Since you can apply from anywhere, it's a quick and convenient borrowing for people in emergencies. At CASH 1, you begin your application process by calling or going online with your phone.

Fast And Easy Approval

You get connected to a loan representative with your call. They can take a few minutes to verify your personal information and approve your loan application. CASH 1 loan representatives are friendly and help you with your loan application to speed up the borrowing process.

Quick Funds For Emergencies

Once your application gets approved, you can receive your funds even without visiting a store location. If given the option, the lender deposits your borrowed amount straight into your bank, usually on the same day. That helps you to get the money quickly during any financial emergency.

What You Need To Apply for a Loan Over the Phone

What do You need to Apply for a Loan over the Phone?

Anyone who needs cash urgently can apply for a personal loan over the phone. However, different lenders can have other loan eligibility criteria. Check the requirements before applying for the loan, and prepare your documents in advance to ensure quick approval.

Here are some of the general requirements that you may have to fulfill to apply for a loan by phone:

Government Issued ID

It helps you to prove you are 18 years or older and a citizen or legal resident where the loan is offered.

Social Security Number

This again works as proof of residence and employment.

Proof Of Income

This ensures that you have a regular source of income.

Active Checking Account

You will require an open checking account with 30 days of banking history.

Valid Email Address

It is mainly required for sending you updates and conveying the loan decision.

Your Phone

Whether you are applying by phone, you must share your contact details with the lender for a smooth lending process.


Financial emergencies can strike anytime, but now that you know you can use your cell phone to apply for a loan if you need one, there's no need to worry. Many lenders provide phone loans through responsive websites and apps. You must have access to a mobile phone that can connect to the internet to apply for a loan using your cell phone.

While traditional lenders base most of their lending decisions on credit scores, you can choose lenders who are not rigid about credit scores, even over the phone. You can select a suitable loan by phone based on your financial situation and enjoy the benefits these loans offer you.

Photo of Harita Solanki

Harita Solanki

Harita Solanki is a passionate advocate for personal finance and believes in empowering individuals to take control of their financial lives.

Her expertise covers a wide range of personal finance topics, including budgeting, saving, credit, debt management, and retirement planning.

With over six years of dedicated experience in the finance industry, Harita has helped countless readers of CASH 1 Loans make informed decisions and achieve their financial goals.

As a dedicated writer, Harita has contributed to numerous financial publications, sharing her knowledge and insights to help readers navigate the complexities of personal finance.

Her writing style is approachable, concise, and tailored to the needs of everyday individuals looking to improve their financial well-being.