If you need a reliable financial lending source in case of an emergency, one of the best options you can use are short term fast cash loans. This is a quick and affordable way to obtain unsecured money without even needing to leave your house. All you need is a checking account and a secure job. To help you get started on your application process, below are 10 tips that you can take some wisdom from when shopping online for a funding source.
1. Search for Lenders Who Offer Loans for Bad credit
Not everyone has perfect credit, especially those looking for cash advance loan options. If you have bad credit history, we suggest you look for a payday loan lender that has options for those with bad credit. Also look for online companies like us who offer short term loans for not only challenged credit, but we also offer options for good credit. You have to be careful of companies who only cater to sub-par credit consumers. There are a lot of companies out there who do not have the customer’s best interest at heart. By doing business with a reputable online lending company, you are increasing your odds for a successful approval.
2. Ask if Your Credit Score Affects Your Loan
General knowledge of your credit can also be a great asset for you in your search for a loan or short term advance online. Before signing your contract, make sure that your credit score won’t affect your loan terms. Fortunately, most payday loan lenders won’t hold your credit against you, but some may change the borrowing amount depending on your credit score. Credit scores are more important for higher dollar amounts typically more than $1,000. Installment loans and personal loans typically require more scrutiny as the amounts are higher and also usually report to the 3 consumer credit bureau’s.
3. Look for Lenders Online
Although there are plenty of physical lenders that you can go around and apply for, there are a lot more options online. A thoroughly researched task will equal success almost every time. Do your due diligence before finalizing with one lender or at least until your comfortable. We suggest that you get out of your local comfort zone and try searching for payday loan lenders online in addition to your local search. Read reviews and browse there site and continue reading additional information to help you pick the right one for you.
4. Compare a Few Lenders
You don’t have to settle for the first payday loan lender you consult with. Instead, you should consider a few lenders and compare their terms to see which ones best suit you. The last thing you want to do is rush the process and end up having to do business with a bad lender. An online company who is upfront and has been around a while should be able to do the job. Also, never give any money first. If they are a reputable online lending company, you will apply and the lender will deposit funds. If, at any time, the company asks you to deposit or send money Western Union or something along those lines, run! When obtaining a short term small dollar loan, you should never have to put any money up front.
5. See if Your Loan Will be Renewed in Case of a Missed Payment
You should see whether or not your payday loan will be renewed if you miss a payment. The last thing you need is a $50 fee if you fall a few days behind a payment date. Nevertheless, you should ask your lender what interest and fees come with a loan renewal as well. State ultimately have the authority regarding payday loan rules and regulations. Make sure to read the terms and conditions before finalizing. Most lenders will work with you regarding payments. As with anything, if your struggling to make the payment, pick up the phone and call your lender. A lot of times they can work something out with you as ultimately they just want to get paid back.
6. Only Apply For Cash Advance Loans in the United States
You should only be applying for cash advance loans in the United States because lenders overseas are often exempt from ordinary US cash advance loan laws. The United States has laws governing not only lending in general, lenders in the U.S. also lend money according to those laws. If you apply for funding in a different country, all the consumer protections are thrown out the window.
7. Read Your Loan Contract Carefully
Before signing anything, it’s important that you fully comprehend every detail of your short term loan contract. Unfortunately, some lenders will try to swindle you and refuse to send you their loan terms, however, keep in mind that it is required by the law to do so. If you have a question about your contract, make sure you ask your lender to avoid any problems in the future. If they do not want to cooperate, then do not do business with that company. You have a right to know all the terms and conditions before you take out the loan. That’s just good business. Its already a high interest loan, so you need to make sure you completely understand the length of time and the payment amount for budget for a solid end game.
8. Know the Laws Behind Payday Loans
A great way to avoid being taken advantage of when applying for a payday loan is knowing the rules that back it. This way, you can get a better understanding of how much interest you can be charged and what laws dictate how lenders that offer cash advances do their business. Payday and cash advance loans are typically high interest (300-700%) and usually paid back over a couple weeks. A typical example would be to borrow $100 with a $15 fee. This equals out to over 300% APR. However, the fee is reasonable considering the high default rates lenders usually incur on these high risk loans. Just make sure to budget correctly to repay the loan back on you next paycheck. If your taking out a larger installment or personal loan for $2,500, the terms and interest rates are usually more reasonable.
9. Don’t Borrow More Than What You Need
The last thing you want to do is borrow more than what you can afford. This will only accrue more fees and interest that will take you longer to pay off, which can ruin your credit. So, if you’re asked how much money you need to borrow, only ask for an amount you can pay off without too much trouble. There are a lot of folks out in society today who run up credit cards, borrow more than they can afford on houses, cars, boats, etc. Always borrow modestly by repaying responsibly. To ensure long term financial health, borrow what you need and not what you want.
10. Remember That You Have to Pay it Back
Just because it’s a loan doesn’t mean that you never have to pay it back. A loan is a loan nonetheless. Whether you pay it back soon after you borrow it, or a year after the fact, the financial institution will seek you out to pay back your loan. Not to mention, if you end up paying your loan back later than expected, you’ll only increase your interest and fees you need to pay back. However, if something comes up and you need to extend your payment terms, contact your bank and explain the situation. In most cases lenders will be more than happy to work with you.