A personal loan is a sum of money that one can borrow for several purposes, including home renovations, buying a car, debt consolidation, or covering healthcare emergencies. Credit unions, online lenders, or banks offer a personal loan. This loan is usually repaid over an agreed-upon tenure at an interest rate. The process of securing an instant personal loan is straightforward. However, those exploring the financing options for the first time are susceptible to making mistakes. 1. Not shopping around for the best options Sometimes, the urgency of funds might compel an individual to pick the first personal loan option they come across. They may even qualify for a higher amount that will help ease their financial burden. However, rushing a decision often results in overlooking elements like interest rates, processing fees, and tenure. For instance, while the first option might offer $1000 at a 10% interest rate for 24 months, a little research might render an option with about 7% interest for the same tenure. Before signing the agreement, one must always research the available lenders for the best offers. 2. Too many applications While one must explore the available options when looking for a personal loan, it is important to reduce the number of checks.