Quick cash loans, or payday cash loans as they are sometimes called, can be a solution to an urgent cash shortage. Used wisely these can be the least cost alternative to paying expensive fees, such as credit card late fees, overdrafts or other "insufficient fund" type fees.
Here are 4 basic questions you may be asking yourself prior to actually applying online.
How Much Money Can I Receive With a Quick Cash Payday Loan?
Typically if you are brand new applicant, expect to receive about $200 on your first request for funds.
You need to establish yourself as a trustworthy customer by creating a solid payback record with your loan provider. This is accomplished by paying your loan back on time. You can quickly increase the amount you want to borrow to $1000-$1500 by having a good payback record.
When Are Funds Deposited Into My Account?
After your application for a quick cash loan is accepted and approved, the funds are deposited directly into your bank checking or savings account, usually within 24 hours. This is typically the case although it may take 3-5 days depending on the actual lender.
Do Payday Loan Providers Run Credit Checks?
No. The companies are in business to serve those that may very well have credit problems. There is no reason for these companies to check credit as it would have no bearing on their fee or you being accepted.
You must keep yourself in good standing and follow the payback rules however to receive continued funds. So, the requirement in most cases to receive funds from a company is that you can prove income of $800 - $1000 month, and have a verifiable checking or savings account - with direct deposit.
What is the time period for paying off a Bad Credit Payday Loan?
Usually you'll agree to pay of them in about 14 days or when you receive your next paycheck. Sometimes the lender will allow you more time to pay of the loan; sometimes between 21- 28 days.
In this case you may be asked to pay off only a portion of the loan - just the fee portion usually. Beware! You will incur extra fees when you extend a payback date so make sure you fully understand the implications of being late... how it will effect your wallet ( or purse),
What are the interest Rates on Quick Cash Loans?
Very High!
It is much easier to comprehend quick cash payday loan fees as a cost per $100 borrowed.
In other words, a typical fee for borrowing $100 would be between $15-$20. It starts getting ridiculous when you convert this seemingly small fee into Annual Percentage Rate (APR) of 391.07%. It may seem expensive but if you compare this to an overdraft fee, the quick cash loan makes sense many times.
For example: It's the end of the week and you need to write 2 checks each for $50 to pay bills. You discover you have no money in the account so you're charged with 2 overdraft fees of $25 each! The APR for $50 is a whopping 1,304%
The quick cash loan in this case is actually much cheaper.
Summary
Why not consider these in emergency situations? Many times the cost of borrowing these short term funds far outweighs the cost of re-connect fees, overdraft fees or credit card late fees. It's easy to apply online and only takes about 90 seconds to submit and begin the process.
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