Loan with 3% interest rate + General Questions, help me understand!!?

I'm looking to get a personal loan and put an an up online on a site. I'm looking for about $3,000. On the ad, I said I would pay back the money (all) in exactly a year. I got an email from someone today (a Private Loan Lender)...what does that mean btw, and the person said they can offer me the loan with a rate of 3%. I don't know how loans work. Besides my student loans, I have no other loans, no credit card, nothing, so I'm clueless to all these but I need to learn, not just bc I'm trying to get a personal loan now, but because now but bc I think I should about all these!! So can someone help me? What does this all mean? Is it a good idea to get a loan from a Private loan lender? How do interest rates work and what does a 3% interest rate on a $3000 loan mean? And is that a good rate?...bc I do know that the lowest interest rate on a loan is always good (at least I know one thing). The person provided an email for me to contact him, what kind of questions should I ask him when I do contact him? Remember I said I would pay the money back next yr.

6 months ago - 3 answers