Perhaps you’ve heard about how some people have gotten cash loans to help them with their expenses. Having had your own share of unexpected financial needs every now and then, you may be curious about what these loans are about and how you can apply for them. If that’s you, then you are reading the right article. The following are answers to some of the most commonly asked questions about cash loans.
What are cash loans?
These are short-term loans that are meant to provide a means for people to fulfill their urgent financial obligations until payday comes. In other words, cash loans are ideal when you have pressing expenses but you are short on money and payday is a few days away. They are also called payday loans or cash advance loans. They don’t involve huge amounts of money, although some lending companies allow loans of up to $1,000.
Who qualifies for cash loans?
If you are employed with a regular monthly income, then you can qualify for a cash loan. However, if you have an outstanding payday advance, your application may be denied, as borrowers are discouraged from having more than one oustanding payday advance at the same time. In some states, having more than one payday advance is not allowed.
What are the requirements for cash loans?
The requirements are usually very basic. You only need to provide a few personal details together with a proof of your monthly income. If you are applying on-site, you may pick up the money right there or you can have it deposited to your savings account. For the payment, you may be required to issue the lending company a post-dated check, which will be encashed on the day you receive your salary. Thus, for these you will need to provide details of your savings and checking accounts. Many people prefer online applications because they are faster and do not require much paperwork. If you are applying online, make sure the lending company is legit.
Can I still apply even if I have bad credit?
Absolutely! Online lending companies are not very strict when it comes to credit history. You can apply for a cash loan even if you have bad credit. In fact, many lending companies approve cash loans with no credit check.
When should I pay my loan?
Ideally, you should pay your loan immediately when you receive your paycheck. If you delay your payment, your interest will accumulate. Cash loans are very helpful during times of financial need, but don’t abuse them by taking payment for granted.