Everyone is a little strapped for cash sometimes, and a payday cash advance is the answer for millions of people each year. It usually seems like you need money when you don't have it, and the car will break down three days before you get paid. If you fell like you have exceptionally bad luck, know that it happens to everyone, not just you. Tons of honest, hard working people have to resort to a payday cash advance loan every now and again.
There is probably a fast cash loan lender in your area, and online payday cash advance loans are becoming more popular each day. Usually, all you need is to be able to prove who you are and how much money you make and you'll be approved for a loan, even with bad credit. For those of us that have bad credit, a payday cash advance is one of the only ways to get fast cash in a pinch. The banks won't lend us money because of our credit score, so we find the avenues that work for us.
How Payday Loans Work
Most people who are applying for payday loans will head down to a check cashing/payday loan store in their area and apply for the loan. These loans are both very reliable and fast. The terms of repayment are usually two weeks (a pay period for most businesses) and in some cases, the lender automatically deducts the money from your checking account. It may seem rude that they're taking the money directly from you, but this will eliminate the risk that you don't pay the loan back and end up in worse financial trouble. In other cases, you will write a post-dated check for the amount you borrowed, plus interest and fees.
The lender will usually charge 15-30% interest for the two-week period (which equals out to an APR of triple digits if worked out over the year). The average amount charged is around $25 per $100 borrowed, and the average loan is $500. Some lenders will go as high as $2500-3000, but your income has to back up a loan of that amount.
Online Payday Cash Advance
As of late, more and more companies are making their services available online. You take their form, print it, fill it out, and fax it back to them for approval. The form usually consists of things like your personal information, employer information, social security number, and bank account number. After you've been approved for the loan, the money is deposited directly into your bank account. The online option has allowed the payday advance business to grow exponentially.
The payday loan business has come under much criticism for their business practices and the extreme amount of money they charge for their services. Many people feel that they're exploiting people who are financially pressed, or uneducated on how interest compounds. While this may be true, there still aren't many other options for people who are down on their luck and have a good job can get cash immediately. Payday loans are very helpful for people in a pinch, but relying on them as a means to get your bills paid is a recipe for financial disaster.
More Info Barrels by The Empire