How Payday Loans Work? Payday Loan Alternatives and Repayments
How Payday Loans Work
From different surveys, it is seen that the number of customers taking payday loan as well as payday lending companies are increasing frequently. If you are a person taking the payday loan for the first time or want to gather information regarding payday loan, then this article will be of great help to you.
Payday loans are an easy and convenient way to get the cash you need even before your next paycheck comes through. Lenders offer some of the best rates in payday loans, and strive hard to get customers exactly the amount they need today. Essentially, they make today your payday! With fast, friendly, compassionate service, you can apply for a loan now via email or SMS and be approved in as little time as an hour.
If approved, lenders will work with you to set-up a consultation time, and then to help you to decide what a monthly payment plan might look like for you. There are never any hidden fees, and they will let you know, up front, the amount of money you will need to pay back to them to repay your entire loan, as well as the interest rate on your particular loan. Lenders also offer some of the lowest interest rates in the market on payday loans, so each of your monthly repayments will be the lowest possible, and the interest you accrue will be at the best rate currently available. And if you repay your entire loan back early, you will receive an interest rebate, and also save money on overall interest.
Necessity of payday loan
By the end of the month, you may face some problems in maintaining some urgent family expenses like paying off your Medical Bills, Phone Bills, and Electric Bills, House Rent or some other utility bills. These things usually happen when you fail to maintain a proper budget at the time of getting your paychecks or not keeping your expenses up to your income limit. Hence in order to meet such urgent expenses you need a payday loan.
Conditions to be satisfied to get an instant payday loan
The requirements of different payday loan companies are
- You must have a job or there should be a regular source of income
- You should have a checking account in a bank
- You should be an US citizen
- You should be at least 18 years of age
- Your monthly income should be at least $1000 Per Month
Best application time of payday loan
If you apply for the loan from Monday to Thursday, you will get the loan on the next working day, i.e. Tuesday to Friday. If you apply for the loan on Friday, then you will get the loan on the next Monday, and if you apply on Saturday or Sunday, you will get the loan on Tuesday. So the best time to apply for the loan is Monday to Thursday. Payday Loans No Credit Check Apply Online Slick Cash Loan.
When will you get the money?
As the process is very simple to get the loan amount, in general you will get your loan amount within 24 hours of application. Company will check your documents and verify your data with an automated system, and then approve your loan. The entire process of verification of your identity and depositing the money to your checking account takes 24 hours of time. There are some companies who will deposit the loan amount in less than 24 hours.
Maximum limit of payday loan
If you are taking a payday loan for the first time, you may get up to $500 for the first time. After you repay back your first loan amount in time, you can apply for more than $500 when you revisit the company for another payday loan.
Think before taking a payday loan
- You should keep in mind the APR factor of the loan before taking it. You should find the company which is charging a lower APR than its competitors
- You should take care about the privacy of your document and information. So, if the tendency of the company is to process applicant s information in an encrypted page, you should think that your information will not be licked out, and then you can proceed on
- You should read the company policy and legal matters complied with before submitting an application form to them
Repayment of payday loan
The lender company will take the money off from your checking account on the date of your payday. You should be ready and aware about your payday and the amount to be repaid. If you fail to repay the loan on the scheduled date then you may have to ask the lender to rollover your loan amount.
Alternatives to payday loan
- In order to avoid taking such high interest loan like payday loan cash advance, you should make an appropriate budget which is according to your income
- You may also save certain amount of money from your paycheck every time you get it
- Before taking a payday loan cash advance, you should be looking for a loan from a friend or relative as they will not take any interest for lending the money to you. Another thing is also involved here that if you not be able to repay the money in future, you may not have to run away from your creditors.