Short term loans are an excellent way for consumers to acquire nontraditional credit for emergencies and unexpected issues, says the News Portal, because they are loans configured for short-term needs. A job, a bank account and proof of identification are often all that is needed from customers who need money fast to get them out of a temporary financial bind, but who may have poor credit scores. The form of lending is also speedy and convenient, which is appealing for consumers. Loans don't require collateral and, additionally, some loans are available entirely through an online transaction, adding to the convenience. Short term loan agents offer customers the independence to seek financial aid in hard times. They don't have to ask family, friends or co-workers for cash, explains PR Carbon, and they can pay utility companies before their services are shut off or cover other necessary expenses. PR Carbon adds that, although consumers are tasked with interest rates that average approximately $15 per $100 loaned, a short term loan gives them a one-time cost rather than putting more debt onto a credit card that will continue to accrue sizable interest.