Payday Loans: A Quick and Painless Way Out of Financial Crisis

So many people have fallen onto financially hard times in recent years. The use of credit cards, once a go to solution for so many, has become so expensive with rising variable interest rates. For people with bad credit who need fast access to cash, payday loans provide a unique and viable alternative to traditional credit cards. If you are in a situation where you feel trapped, considering a payday loan could be the right solution.

Why Payday Loans?

Unlike credit cards or traditional personal loans, payday loans are given to people without the need for a credit check. Instead, lenders will grant you a loan based on your income and bank account information. For this reason, those with bad credit often need to turn to payday loans to fill in a cash flow gap in times of need. They offer a fast and easy solution to these problems and can often be deposited into your bank account within a day or so.

What Can You Get with a Payday Loan?

They serve a very specific function in the lending marketplace. They are low principle, high interest loans that are given to people for a short term. Generally, you will be required to repay your loan within 14-30 days of receipt. This is where they get the name "payday" as you are expected to repay the loan with your next paycheck or two.

You can get anywhere from $100-$1,500 which is a perfect amount for emergencies such as a vehicle breakdown or unexpected airline travel. The money that you get will be deposited directly into your bank account within one business day of loan approval, allowing you to make the purchase that you need to make quickly and with no fear of rejection, such as with a credit card.

Repaying Your Loan

Because of the short term of payday loans, the interest rates that they carry are generally higher than the interest rates you see advertised by traditional banks for personal loans. However, the interest for these loans is equal to what you are used to seeing on a credit card. Payday loans are paid off quickly, however, which means that the interest does not have time to accrue. This is why the rates are higher, so the lender can make money, and the option is cheaper than a credit card, which can accrue interest for years if you do not pay it off immediately.

Before you take a payday loan, make sure that you are certain that you will be able to repay it within the term and that you are ready to pay a roll-over fee if you are not able to do so. This is also why it is important to compare the offers of several lenders before committing.

An Invaluable Tool

Though it is something reserved for emergencies, the fast turn around and easy access to cash provided by a payday loan is an invaluable tool in times of need. If you have bad credit, getting a payday loan is still possible since no credit check is required. Also, you can have the cash you need deposited straight into your bank account in one business day, making the process quick and painless.

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Short Term Loans - What Options Are Available to Me?

As household bills and food and petrol prices rocket, many people are finding their monthly wage just doesn't stretch far enough. If an unexpected bill or expensive car repair has left you feeling the pinch; never fear. There are a number of short term loan options available to you that should help ease your money worries in the short term:

Overdrafts

Depending on your bank and the type of account you have, you may be eligible for an overdraft. If you have found yourself overdrawn, a prior agreement with your bank will enable you to use a certain amount of funds.

Your overdraft limit is agreed with the bank, and will act as an extra income in the short term. Interest is normally charged at an agreed rate. If you exceed your agreed terms however, an additional fee may be charged and higher interest rates applied.

Selling Possessions

Websites such as eBay and Gumtree are booming in popularity, and have replaced the traditional pawn shop. If you're finding yourself a little short for cash this month, it can be a good idea to sell unwanted belongings.

If you have old mobile phones, there are plenty of sites that will give you money for them - whether they are working or not. There are also websites where you can sell unwanted books, DVDs, and CDs. Many companies will also pay for unwanted gold so it is worth looking around for things to sell.

This way, the money is all yours and you don't have to pay fees, or pay anyone back. You are unlikely to get the amount you originally paid for the items however, so it is worth shopping around before selling.

Payday Loans

Figures have shown that by 2011 nearly 2 million people had taken out a short term short term payday loan. This increase in popularity is down to how easy they are to apply for. By filling out a short form online, the money is often in your account in minutes - regardless of your credit rating.

You can use the money for anything you like and simply pay it back on your next payday. The only downside to these loans is the high interest rates, especially if you miss your deadline to pay them back. As with any loan, you need to be sure you can pay the money back in the agreed time to avoid a large fee.

Other options available to people looking for an extra injection of cash include bank loans for particularly large sums of money and borrowing from friends and family. Before committing to any loan, all of the above options need to be considered fully.

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Faxless Loans Not Closed To Those Who Have Suffered Bankruptcy

The idea that a low credit rating might not ruin the chances for an individual getting a loan once seemed ridiculous, but in the modern world of finance, it is certainly not out of the question. However, what might still seem surprising is the idea that, even after bankruptcy, an individual is able to benefit through fast-cash faxless loans.

The reason such a thing is not thought of as possible is that bankruptcy is a serious matter, and one that is generally accompanied by some severe penalties. For the most part, this means applying very high interest rates to those loans that are available. But getting fax-less loans after bankruptcy tends to mean that such restrictive measures do not apply.

In fact, for the most part, this type of loan means that the issue of credit rating, for example, is simply ignored. This means that regardless of the credit history of an applicant, it is highly probable to secure faxless loan approval despite bankruptcy. For this reason, this option is one of the most popular amongst those who are recovering from financial difficulties.

How These Loans Work

The faxless loan is, in essence, a payday loan. As the name suggests, this kind of loan is granted on the basis that the borrower will repay the loan, plus interest, when their next pay check come through - on their next payday. The idea is that cash given as a loan is simply an advance on the monthly salary that the borrower is going to receive.

With this in mind, getting fax-less loans after bankruptcy can hardly be considered a surprise. Since the application is dependent on the upcoming pay check only, it is rather isolated from the general understanding of a loan. And as long as it can be proven that the salary check will be sufficient to repay the loan, a lender can have little complaint.

For this reason, faxless loan approval despite bankruptcy is not such a strange thing. However, it is important to understand that there is criteria that must be met also.

The Necessary Criteria

A loan, no matter what its terms, or what special promotional concessions are being made, will only be approved if the applicant meets a set of specific criteria. It is the same for faxless loans, though they boast some of the biggest concessions from lenders.

The three most essential criteria are proof that the applicant is over the age of 18 (as stipulated by law), that there is proof of employment and income, and finally that the applicant owns an active bank account. The chances of getting fax-less loans after bankruptcy remain high if the applicant meets all three.

Because these loans are offered by online lenders, getting this information to the lender can be done easily through an electronic application form - so there is no longer a need to fax the information. Once that information is confirmed via internet databases, faxless loan approval despite bankruptcy is practically assured.

The Long-Term Advantages

Speed is the most obvious advantage that comes with faxless loans, with many online lenders providing an approval within an hour, and depositing the loan cash into the account of the borrower within a few hours of that.

However, getting fax-less loans after bankruptcy also provides the borrower with a chance to rebuild their credit rating. This is because the loan is repaid in one go on pay day. With each loan repaid, the credit score increases, thereby improving the credit rating.

While securing faxless loan approval despite bankruptcy is not just available, but the faxless loan is also the first step towards financial recovery.

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Text Loans: APR Explained

APR (Annual Percentage Rate) is the term for an interest rate for a whole year as opposed to rate per month, as applied to text loans or payday loans.

When it comes to trying to get a payday loan it's a good idea to compare various loan providers and also the APR they are charging because it does give an indication which loan company charges more. Having said that, payday advances are normally short-term loans (from a few days to a couple of months) so APR can be slightly misleading.

For instance, APR increases when the loan is given for a shorter time period. You'll be repaying less if you choose shorter term loan. As an example, a £100 loan that has to be paid back after five days will probably have greater APR when compared to a £100 loan which is extended over twenty days. On the other hand, if a person decides to repay the loan in five days, the repayment sum is £110 while paying back after twenty days it is needed that you pay back a larger sum. So lower APR will not necessarily indicate that the amount you repay is smaller.

The annual percentage rate is based on various factors, taking into consideration the actual interest rate of the loan, term of the loan, repayment frequency, repayment amount and other associated fees.

As pointed out above, a lot of payday loan borrowers find APR a confusing way of measuring the real cost of the borrowed funds. Many of them find that the actual repayment amount is the proper method to evaluate how costly a loan is.

It is not unusual that payday loans have APR of 2000% and in many cases even higher which can be rated to be incredibly expensive. Then again, we should not forget that despite a very high APR the actual cost of the loan might not necessarily be high.

The annual percentage rate will be lower the longer you borrow the funds for. When you compare the APR of two loans of the identical value over different periods of time, it would seem that you would get a much better deal if you borrowed the cash for a longer time period. Nevertheless, the actual cost of the loan would be much more simply because you would need to pay back more in interest.

In conclusion, APR is the term for an interest rate for a whole year and not just monthly rate, as applied on a text loan or a payday loan. Considering the fact that payday advances are usually short-term loans it could be somewhat misleading to measure annual percentage rate mainly because APR will be lower the longer you borrow the money for. However, the real cost of the loan would be far more since you would need to pay back more in interest.

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What You Need To Get Approved For A Cash Advance Loan

When you need money getting approval for a cash advance loan is an easy process. Regardless of how much money a person makes there are always things that come up. And taking care of it immediately is usually required.

But the money might not always be on hand to do that. And payday can seem so far away. So you could choose to visit a bank and see if you qualify for one of their loans. Or you could do it the easy way and turn on your computer.

You do not need to have someone handle the process for you. Many lenders try to act as if they are giving the money out of their own pocket and doing you a favor. This can be not only uncomfortable, but embarrassing.

It is also unnecessary. You are a US citizen so getting loans is going to be quick and easy for you. And as long as you are eighteen years old or older you could be on your way to qualifying today for an amount that can help you settle your money problems.

Once you have completed the application form you can generally expect to receive the money by the next day. It is a quick process and the approval is usually completed overnight. This is much faster than the banks can handle loans.

Since you are applying for a short term loan the interest rates will be different. The rates might be higher than the ones you are used to on conventional loans. They are still acceptable and worth the cost for the convenience of a fast advance.

Many lenders will expect you to make a certain amount of money each month that will determine how much they lend you. And of course, they do expect you to be employed. A copy of a pay stub might be required.

The best place to look for your loans is online. You can pick and choose who to borrow from based on how much money you can get from each company. Or you can select another one because of the interest rate that they charge. But you should be the one in charge, not the lenders. They are competing for your business so they will work with you.

You do not need to wait until payday to take care of your money problems anymore. As long as you have a job, a bank account, and a computer you could get a cash advance loan. Do not lay awake worrying anymore about groceries or gas for the car. You have a solution.

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