Because of the recent sharp economical downturn, consumers are more often using a quick cash loan to help their financial situations. With many Americans out of work and many more underemployed the need for such loans has been increasing. For whatever reason, people are running short on cash for emergency funding and also regular bills such as mortgages and utilities. They then turn to instant cash loans to help them get out of trouble so they may continue to provide for their family.
One of the most popular types of quick cash loans are instant payday loans. These fast loans allow you to borrow between $100 and $1000 without a credit check. Nearly everyone is approved provided that they have a full time job with a steady income and a bank account. Filling out a quick form can usually advance a small loan directly to the borrower’s bank account the next day. Then once the borrower receives his or her next paycheck, the loan is paid off. Of course, the borrower may decide to roll the instant cash advance offer, which adds on additional fees and interest. But instead of paying the loan balance, one is only required to pay the fees and interest until the next paycheck. Many businesses only allow this a few times until they require the balance to be paid.
Rolling over a quick cash loan like a payday loan is not suggested. Because an instant cash loan is so easy to obtain and require no credit check, it generally comes with high fees and even high interest rates. If you think credit card rates at 26% are high, look at the rates on these loans. They often come in the form of a no fax loan as well. They often reach up into the several hundred percents. Borrowing just $100 and rolling the loan over several times could actually make you have to pay back 3 times as much as you borrowed. As you can imagine, doing this will only further worsen your financial situation. Check cash advance payday loans are designed to be a quick fix and meant to be paid off immediately. If you cannot pay the loan off with your next paycheck, do not borrow that amount. Consider a lower amount or find a different lending source.
While payday loans can be a quick help if you are in desperate need for money, there are a few other options you can look at before you decide which path to take for a check cash advance. The cheapest route is though a loan from a close friend or family member. Of course, you will need to be sure you pay the money back as quickly as possible.
Not doing so may ruin your friendship or family relationship. If you have decent credit, try applying for a quick cash loan from your bank. These loans usually have low interest rates and give you a much longer period to pay them back. You could also apply for and use a credit card as a source of emergency funding to help pay for bills. You can also use a credit card’s cash advance option, which usually comes at a higher interest rate than the purchase rate but is still lower than a payday loan.