Wells Fargo ranks higher than others in the list of personal financing providers. Probably, no bank can match the services available at Wells Fargo whether they are for personal loans or lines of credit. Remember, it is one of the big four banks, the other three being Bank of America, Chase and Citigroup.
The limits on a Wells Fargo personal line of credit can range between $3,000 and $100,000. The bank also charges an annual fee for the borrowers to use the credit line. Nevertheless, it is better than a typical credit card because of low interest rate and flexible repayment terms.
Why Wells Fargo?
Not many lenders offer you a credit line with the upper limit as high as $100,000. This is really a big advantage as you can easily withdraw the cash to pay for schools or colleges, holidays, hospitals and real estate construction.
A line of credit is a better idea than an installment loan since the former allows you to use the fund and pay back to make the fund available again for reuse. The interest applies only on the amount that you withdraw as long as you pay back the principle. This is not the case with an installment loan. The interest continues to accrue whether you use the amount or park it in your bank account idly.
Another advantage with Wells Fargo is competitive interest rates. This helps reduce the cost of a loan or line of credit. Not all borrowers are offered the same rate. Also note that the rate displayed on Wells Fargo may not be the one offered to you. The bank considers credit score, debt-to-income ratio, employment and salary, and several other factors to determine the interest rate of a typical borrower.
Is it so easy to qualify?
Certainly not. The above-mentioned factors also help Wells Fargo to underwrite and decide whether to approve or not a typical loan request. Among these factors, credit score is probably the most important. Though the bank doesn’t disclose, experts believe that a borrower must possess over 720 to get approved for a line of credit.
Obtain your copy of free credit reports from all of the three credit agencies. Review these reports and get to know about your credit score. Apply at Wells Fargo only when your score is somewhere near to 700. Alternatively, you can focus on building your credit and apply at a later date. For immediate financing needs, you have no other options than to look for a different lender.