Whether you are looking into commercial lending or personal lending you are looking at divulging your financial history to lenders who will determine if you are a viable risk.  Lenders look into your credit history by reviewing your credit report and look into your debt to income ratio to help determine at what rate your risk is worth them taking on.

If you have a credit score that is high with a low debt to income ratio you are an ideal candidate for commercial lending and personal lending.  What about the client with an average credit history and an average debt to income ratio? That is more likely the case in the current economy and the American way of spending.  It is still possible to obtain lending it will however cost you more and will be harder to obtain.  Special requirements such as a down payment, co-signer or collateral might be needed to obtain lending in certain situations.

It is important to know all aspects of lending and where to obtain lending.  In cases of commercial lending you are looking for eager investors or a lending company that is specially designed to help small businesses such as the loans given out through the SBA, small business association.

Personal lending is a bit different and can be obtained in several different methods.  It is your responsibility as a borrower to establish which method is best and most cost effective for the situation at the time.  The first network for borrowing which I think is interesting is a peer to peer lending network. This type of social lending is new and has certain requirements that must be met in order to borrow funds.  You must have a high credit score, be a citizen of the United States and your debt to income ratio has to be less than twenty five percent not including your current mortgage.  These are extremely high requirements to place on a loan but the rates you will obtain will hands down beat rates through other sources.

Next you can obtain a personal loan through your credit card company.  This is the easiest form of getting a loan basically every time you use a credit card you are taking out a personal loan against the company.  Although getting funds this way is one of the easiest lending methods it is usually costly with high interest rates and can lead to a never ending debt cycle.  Be careful when taking personal loans out against credit cards.  Make sure you can attest where the funds are coming from to pay off the credit card before taking on frivolous personal loans.

Banks, credit unions and financial institutions are a very common place to obtain a personal loan.  However you will need to determine the fixed or variable rate at which a loan will be obtained, the fees to get the loan and the rate at which the loan will be paid off at.  It is also requires time and diligence on your end in regards to paperwork before a loan is even able to be obtained.

Friends and family members are an easy go to answer in personal lending.  Remember however that these loans can be risky to your relationships with the people you are borrowing form.  It is best to have a formal agreement to discuss repayment and terms of the agreement.  Although this is an easy way to obtain a personal loan make sure that it is one that can be repaid or you could jeopardize a relationship.

Payday loans are popular in the lending environment today.  However convenient they do present large financial gains to the lender which means you will be paying for it in the long run.  It is quick, easy cash without any need for a credit check but will require large fees and expensive term agreements.  This should be used as a last resort and then even considered risky and unnecessary.  Payday companies are known for preying on those in need and often use this tactic to lure people in which leads to larger personal debt and financial ruin for clients.

It is obvious that personal lending options are out there for people of all different financial and term requirements.  It is up to you as a consumer to explore your options and obtain a loan based on term agreements that are fair and just to both the lender and the loan recipient.  Ask questions and understand everything before you sign and accept a loan agreement.  This is true not only with personal lending but also commercial lending as well.