3 Reasons Why Bitcoin Should Be Used for Loan Repayment

Every year, the need for Cryptocurrency keeps on increasing. Cryptocurrency is a digital form of currency that can be used to pay for different products and services. Its value is changing every now and then, depending on the status of global economy, blockchain hubs, and overall demand. Among the different cryptocurrencies, Bitcoin is the most popular. Many merchants have allowed Bitcoin transactions, thus increasing the profitability rate of their businesses. In this case, lenders and borrowers should also take advantage of Bitcoin.

Here are the 3 reasons why lenders should accept Bitcoin for loan repayment:

Bitcoin is Unregulated

Image result for Bitcoin is UnregulatedBitcoin, just like other cryptocurrencies, is unregulated by any central authority.  This gives greater freedom for Bitcoin owners and ‘miners.’ Another advantage of unregulated virtual currency is the constantly high value. Since getting a Bitcoin is a bit difficult for an average person, its value remains substantial. Lenders can take this opportunity to grow their Bitcoin reserves and create better investment options.

Bitcoin Transfer is Fast

Image result for Bitcoin Transfer is FastUsing Bitcoin as payment method grants the advantage of speed. The transfer from one Bitcoin to another takes only few minutes, depending on Internet connection. With this swift transfer method, lenders can settle more transactions in any given day. Borrowers can also save time as well. You can get a Bitcoin wallet from different blockchain-operated platforms and websites. If you’re a lender, you can use this wallet as virtual storage for your Bitcoins. Some companies are also offering paid Bitcoin wallets along with several privileges. This is beneficial, but you need to watch out for companies that will just reap your money.

Bitcoin is Considered an Asset

Image result for Bitcoin is Considered an AssetJust like stocks, Bitcoin is also considered an asset. If you own a unit of Bitcoin, your net worth is a bit higher than someone who doesn’t own a unit. With a tradable asset, you can purchase more investments that often take advantage of time and volatile markets. Bitcoins can also be used as cash alternative. If you need a specific service for your business and you’re short on cash, Bitcoin is an excellent choice. But you may need to wait a few more years before Bitcoin gains international acceptance. Currently, not all merchants use Bitcoins for their transactions.

With the sheer advantages of Bitcoin, ignoring it can be a business mistake. Also, many people are now getting into the Bitcoin trade, thus making the virtual currency lucrative. Once used for loan repayment, the lender and borrower can definitely reap huge benefits!

Best Payables that Can Be Settled by Personal Loans

In the lending market, personal loans are considered the most valuable options for borrowers. Boasting small rates and manageable repayment terms, personal loans are getting lots of attention around the world. Once you managed to get a personal loan, the next thing that you have to think about is where you’re going to use it. If you’re planning to use the personal loan to settle your payables, you need to know which ones to prioritize.

Related imageUtility Bills

In every home, utility bills shouldn’t be neglected. Whenever water or electricity is disconnected, everyone in the household will suffer. This can lead to arguments and various wrong decisions. Your personal loan can pay for these bills, and you may even have a little bit of extra to spend.

Rent

Rent is another important payable, and all borrowers should know this. If the rent is unpaid, the landlord may take action and boot you out of your apartment. This can be frustrating and disheartening. With a timely personal loan, you can settle your rent. Hopefully, you can prepare ahead and prioritize your rent.

Credit Card Balance

Image result for Credit Card Balance

Do you own a credit card? If yes, then you probably have an increased spending power. While credit cards are useful, they can be financially damaging if your balance is left unchecked. Fix your balance with the help of personal loan. Once your balance is cleared, you can negotiate for better credit privileges. Be careful though! Remember that credit cards are only meant for emergency financial situations and not something that you can spend for luxuries.
Debts from Family and Friends

Image result for Debts from Family and FriendsIf you have outstanding debts from family and friends, you need to settle those payables first. Don’t let them wait, or you’d shatter their trust. Once you’re alienated because of your debts, your financial position will be weaker. You will even lose valuable friends and contacts. What would happen if you need their help someday? If ever your loan is not enough to cover all debts, communicate with the people you owe money to. They will probably understand once you explained the situation thoroughly.

By prioritizing your payables, you can attain for a better financial stance. On top of that, you’ll get the full value of your personal loan. If your payables are too expensive to settle, pick the small ones first then work your way towards the big options. So, use your personal loan wisely, and plan ahead to repay it after few months.