It is no secret that for many people, managing expenses each month is not an easy job. The cost of living is getting more and more expensive and sometimes even following a strict budget plan does not cut it when the time for paying the bills comes along. Now imagine adding an emergency expense. At a time like this, borrowers have the option of taking out a loan to deal with their emergency expenses. A quick payday advance is one option. By taking out payday loans you can get the amount of money you need to solve your financial issues quickly. Below, we will look at what a quick payday loan is, how it works, its advantages and disadvantages and how to apply for one.

What are payday loans?

what-is-payday-loans?Payday advance is a short-term small amount loan, which normally, once taken, has to be repaid by the borrower’s next paycheck. Unlike most traditional loans that have a rather long and complicated application process, a quick payday advance can be taken out through your credit card. With your credit card, you canborrow money up within certain limits.

That limit can vary from one credit card to another. When you take out a quick payday advance, the fees and interest are charged upfront. Depending on the amount of money you are withdrawing, the fees may be percentage based or flat.

What makes payday advances so popular compared to traditional loans is that your credit score is almost irrelevant. Traditional lending institutions require you to have a good credit score to get a loan. With payday advance lending companies, the case is quite different. Your credit score does not need to be perfect or even good. You are able to get a quick payday advance even if you have a bad credit rating.

How does it work?

payday loans worksAs we have already mentioned before, a payday advance is a short-term loan for an amount that does not exceed $500. It should be repaid by the borrower’s next payday.

The law regulating payday advances are different in each state, so it is important to look into that before you apply for your loan. Quick payday loans are a fast and convenient service. When applying for a quick payday advance, you have the freedom to choose between two options.

You can either submit your application by visiting a lender’s physical store or apply online. Once your payday advance application has been approved, you will get your money within a few hours (when you have applied at a physical store) or within a few hours or by the following business day (when you have submitted your application online).

Before you apply for your quick payday loans, it is important that you do thorough research on different loan lending companies and what they offer. When choosing a lending company to work with, keep in mind that all payday loans fees and charges should be provided to you before you sign your payday advance contract. That will give you a chance to calculate your budget and decide if taking out a payday loan would be a good choice.

How to apply for a quick payday advance?

Unlike with traditional lending institutions such as banks where the loan application process may take weeks and is accompanied by tedious red tape, taking out a payday advance is extremely fast and simple. You can apply for a quick payday advance at an on-ground lender’s store or by visiting one online. The latter option has a faster application process as almost no paperwork is required.

Different payday advance lending companies offer different terms so it is very important that you do your research and find a company that suits you best. What you should pay attention to is the annual percentage rate, charges and fees that different companies offer and compare them. In order to be approved for a quick payday advance, you still have to meet some eligibility requirements. These requirements are very basic and they include:
apply for payday loans

  • You have to be 18 years old or older

  • You have to be a permanent resident of the state you are applying for your payday advance from

  • You must have a valid form of ID

  • You must have a valid checking account

  • You need to have a steady source of income

As mentioned before, having a good credit score is not a requirement. Payday advance lending companies are more interested in your income and ability to repay the payday advance rather than your credit history.

Conclusion

Taking out a quick payday advance can definitely be an effective way to deal with emergency expenses. Of course, you can use your payday advance for whatever you want. Whatever your reason for taking out the payday advance is, make sure you are well prepared to repay it on time. Failing to do so may cause you a lot of financial trouble and you can end up in a debt cycle, a situation that you most likely don’t want to be in.

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