Online lending has revolutionized the entire lending industry. In 2006, roughly 3.5 million people took out online loans, according to the Online Lenders Alliance, which is pretty astounding considering there was no such thing 10 years ago. But, when you consider all of the advantages of online loans, it’s really no big surprise.

If you need a loan, but don’t know where to start, or if you never got past “Go” with the bank or credit union where you have your checking account, it’s time to look at an online loan and all they have to offer.

So much of life is conducted on the internet
Correspondence, travel plans, jobs, job searching, researching, phone numbers, zip codes, bill paying, real estate shopping, Christmas shopping, grocery shopping, pet shopping, date shopping and mate shopping. If you worked in a bank everyday, applying for a loan while you were there would be a no-brainer. If you’re on the internet everyday, it makes sense to apply for a loan on the internet … and you can do it in your pajamas.

Personal relationships with lenders are over
Even if you have accounts in local banks or credit unions, do you ever go inside? Do you ever go beyond the drive thru lane or the ATM? Do you know your lender’s name? Have you ever met him or her face to face?

Bankers’ hours
The expression was minted for a reason. In the bad old days, banks were open from 9 to 4. Credit unions were rare, and there was a thing called a savings and loan. Things haven’t really changed that much – just try to take out a loan without taking off work.

Better rates
Gartner, an independent research corporation, estimates that online loans cost the lending institution 20 to 30 percent less than traditional loans. That means online lenders can give you a better rate. And with a margin like that, online lenders can be far more lenient and generous with their applicants.

Six thousand lenders at your fingertips
If you tried very hard, maybe you could apply for loans with 10 lenders in your hometown in a one month period. There are currently 6,000 lenders online, with a much wider array of products, including car loans, mortgages, student loans, personal loans, home equity loans, home equity lines of credit, payday loans, small business loans, credit cards, secured and unsecured loans. Comparing their offers is a lot easier online. Or, for the ultimate in ease, go to a lender like AmOne and let them find the right lender for you.

Faster turnaround
You don’t need to spend a week biting your nails while you wait for a verdict from a bank. In many cases the acceptability of an online loan application is determined by automatic decisioning (basically, a series of if/then statements). So you can get a response in as little as 15 minutes.

Can you think of any comparable advantages of going to a traditional lender?