If you have ever waited months for someone to make a payment on a debt that they were responsible for, you know just how much more difficult this can make your life. When you are dealing with a large amount of stress, all you want to do would be to make progress on the things that you need to pay. However, you would e subjected to waiting for the simple fact that the person is not yet ready to pay you as they should be. If you have been through this in the past, you probably do not want to go through it again when you need money. However, when you ask a bank for help, it is very common for them to take months in order to make a decision regarding your application. If you are approved, you would find that the amount of time you spend waiting on this money would have been much better focused toward something else. Do not allow the slow process that you will find with the bank take control over how you live your life. Instead, you need to begin moving in the right direction by applying for a loan that would offer a much faster application process. If you have a couple of minutes of time on your hands, this would be enough for you to get approved and begin enjoying the freedom to start making decisions based on what you need instead of what you can afford. When you do not have a lot of money left over from your paycheck, you are going to feel worried about the possibility of having an unexpected responsibilities because of the fact that you simply do not have the means to be able to take care of these issues.
However, a fast payday loan would give you access to the money that can solve many of the issues you are having at the moment. It is very difficult for you to feel like you are alone in the world when it comes to the things that you are responsible for paying for. In fact, this is very much the case when you are saving up for things such as gifts for your children or bills that you can not get rid of. When you need money for these purposes, you probably do not know where to turn. As a result, you would ask your employer to give you as many hours as possible. When you get your paycheck, you would then be putting the money toward taking care of these expenses. However, it can be very stressful when you find out that you are still not in the position of being able to take care of these bills and enjoy some movement room. The solution to this would be to access an online application and supply all of the requested information. When you have done this, you would be impressed with how fast this process moves. One of the standout features available to you with this payday loan would be a very fast approval. In seconds you are going to know if you have been approved, this means that you would only be hours away from getting the money you need. No longer will you have to worry about money thanks to these payday lenders.
When an individual applies for paydayloans read, his credit history is usually not checked or verified by the lenders. This is very unlike borrowing money from other lenders or financial institutions such as banks, who verify every aspect of the borrower before lending its funds. That being said, it does not mean that payday lenders do not have a check on or analyze the financial condition of the borrower. Payday loan lenders maintain a system through which the lender can find out whether the borrower has outstanding or unpaid payday loans. Borrowers are also required by payday loan lenders to have a checking account. Payday loans come with very high interest rates and are for a short period. On an average, the total duration of a payday loan contract would be in the range of 1-2 weeks.
When an individual applies for a payday loan, he or she is borrowing funds against his or her next paycheck. Payday lenders would usually ask the borrower to submit a postdated check at the time of obtaining the loan. The date on the check would be the next payday. On the payday date, the lender would encash the check either through an ACH or Automated Clearing House, or by depositing the check in its current or corporate account. When the ACH method is applied, the borrower’s checking account would be debited automatically, which would include the amount of loan along with the interest charges.
Process of Application
At the time of payday loan application, the borrower would have to submit an income proof, which would typically be some check stubs. There is no standard number and every lender has varied requirements as far as the number of check stubs needed are concerned. The borrower would also have to submit his identity proof; some lenders may also ask for a copy of the borrower’s Social Security card. States usually impose limitations on the number of payday loans a borrower can have unpaid or outstanding at a time. The lenders would run the borrower’s Social Security number and name through a payday loan database to check if the borrower has any outstanding payday loans.
A borrower’s payday loan is due on his next paycheck day, which includes the principal amount and the total interest charges. If there are any additional fees charged, then it would be included as well. If the payday loan lender encashes the postdated check only to find out insufficiency of funds in the borrower’s account, then the borrower would incur penalty fees for nonsufficient funds both with the bank and the lender. Some lenders would grant an extension of the loan term, which is called a ‘rollover.’ When the borrower rolls over his loan, he pays the interest owed to the lender; and the lender issues a new loan to the borrower. This, as a result, gives the borrower some additional time to pay his dues. The number of rollovers is limited and the exact number of times would differ across states.
Though payday loans are easy to avail, they should always be a borrower’s last resort. Payday loans should be the option only if the borrower has been rejected by other lending institutions citing poor credit history or if the borrower needs some funds within a fairly short time period. The rollovers and the high interest would have the borrower caught in a negative cycle, wherein the borrower would have to make interest payments to renew his or her loan if he does not have enough funds in hand to clear the entire loan. This may be a continuous process and would last as far as the respective laws of the state permit.