When money is tight, you canít always wait for your next paycheck. An unforeseen car or appliance repair causes serious problems when you donít have money in the bank, and your next paycheck isnít coming in for two weeks. Payday loans give you quick access to cash when you canít wait for your next paycheck.
Applying for a payday loan takes only minutes and can be in person, online or over the phone. To qualify for a payday loan, you must provide identification, have an active checking account, and be able to show proof of income. Unlike other loans, your credit score is not taken into consideration for approval. Once completed, your application will be verified and approved that day. Having approval allows you to borrow between $50 and $1000 which you can take as cash or have deposited directly into your bank account.
All loans must be repaid, and payday loans are no exception. Typically, when you borrow money through a payday loan, you must provide the lender access to your bank account or give them a check for the amount owed. Regardless of the amount you borrow, you are given 14 days to repay a payday loan. Unlike other types of loans, payday loans canít be repaid in installments. Instead, the full amount of a payday loan, plus any interest, must be repaid in one lump sum. If you havenít repaid the loan at the end of the 14 days, the lender either cashes the check you provided with your application or withdraws the money from your bank account.
If you know that you canít repay the full amount of a payday loan within 14 days, you still have options. For an added cost, many lenders will allow you to renew the loan for another 14 days. In some states, payday loan renewal isn't allowed. If thatís the case, the loan can effectively be renewed by taking out a second loan to repay the original. Though loan renewal is available, itís recommended that you only take out a payday loan if youíre confident that you can repay it within 14 days.
When youíre in a pinch, payday loans are the source of the cash you need. With payday loans, you can afford to make your next rent payment or pay for car repairs. For lifeís unexpected events, you can get the money you need when you need it with payday loans.