Financial Resource

What is payday loan?

Payday loan is a very short term loan. Generally the term is one or two weeks or one month. Payday Loans also known as – “Cash Advance”, “Paycheck loan”, “Check loans”, and “Payroll advance loans”. Once you will get your paycheck, the payday loan is to be repaid. If you cannot repay the loan amount plus lender’s charges within required times, you can rollover the payday loan amount by paying additional fees to the lender plus you have to pay the loan interest along with for the rollover period. So, payday loan can be termed a “Loan Sharking”.

A Beginners Guide to Payday Loans

Why Take Payday Loans: Generally Payday loans are emergency cash solutions, particularly designed to meet last-minute cash crunch. You can use payday loans to avoid bouncing of checks, bank overdrafts, or to pay pending bills.

Who Can Get Payday Loans: Any adult (18 years) who is a USA resident, earns a steady income of not less than 00 per month, and has a checking account in bank can get payday loans.

What is the Best Time to Apply for Payday Loans: It is best time if you going to apply for a payday loan between Monday to Thursday because you will be able to get your payday loan on the next working day.

Generally Costs of payday loan:-

generally a payday loan firm taking charges for payday loans is 15 to 30 USD per 0 borrowed. Example if you take 0 payday loans, you will have to pay 115 to 130 USD on the very next payday. The APR of payday loans cash advance interest boosts up to 391%.

Maximum limit of payday loan:-

Generally if you are new to take payday loans, you will get up to 500 USD first time. And if you repay your payday loans in time period then next time you may be eligible for getting more than 500 USD payday loans.

Keep in Mind before taking a payday loan:-

1.First of all you have to find company list who offer payday loans and then you will have to keep in mind which payday loans company offer low interest on payday loans and at last you can select company for getting payday loans.

2.You should also take care about the privacy of your information and legal document. So, if the affinity of the company is to procedure applicant’s information in an encrypted page, you should think that your information will not be licked out, and then you can go on on.

3.Most important point is that you should read all legal company policy and legal terms and conditions before submitting an application form to them.

Repayment of payday loan:-

The lender company will take the money off from your checking A/c on the date of your payday. You should be standing by and conscious about your payday and the amount to be repaid. If you don’t repay the loan on the programmed date then you may have to ask the lender to rollover your payday loan amount.

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