Advantages and Disadvantages to a Payday Cash Loan
Before deciding whether that payday cash loan is something that you should take out, you will need to think carefully about the advantages and disadvantages of taking one out. These pros and cons will all be based on your personal circumstances and just how much you need the money.
The main benefit to taking out a payday cash loan is that you can gain a temporary cash advance without the need of a long term loan. This can help you bridge the gap between paydays without having to take out thousands and gain extra hundreds in interest.
Another advantage is that many will not look into your credit history. This is excellent news for those who are already struggling with their credit because of previous decisions. A payday cash loan company is more interested in your current financial situation and not your previous one; this will mean that there are requirements that you will need to meet and you will need to prove that you can pay the money back come your next paycheck.
You can gain a payday cash loan very quickly. The application process only usually takes 10 minutes and you can be approved within an hour, depending on the day of the week that you apply. There are even some companies that will work weekends and public holidays. You may also be able to get the money in your bank within an hour. Of course, this will all depend on when you applied and whether your bank accepts fast cash transfers. This can really help those who are in a bind and need money quickly.
Of course, there are cons to a payday cash loan, like there is with anything. The first is that you can only borrow a small amount of money. There are usually limits of 1000 dollars and then it all depends on the amount of money that you earn each month. This is a short term lending option so you can only borrow the amount of money that you can realistically afford.
The interest rates tend to be exceptionally high. Remember that a payday cash loan is a short term option and there are No Credit Required. The fees for the first month will be low but if you keep the money for longer than that, the high interest rates will be added on. Your $100 could turn into thousands if you are not careful. This will also do a lot of damage to your credit rating as you will prove that you are not responsible enough to stick to a short term agreement.
There will be requirements in place since there are No Credit Required. The first one is that you will need to be in full time employment and the second is that you earn over a set amount of money, usually $1000 per month. This is simply because the lenders are putting themselves at risk so they need to make sure that there is a chance that they will get their money for the payday cash loan back on time.