If you need cash fast, is there an advantage to taking a payday loan?
Yes, absolutely, there are times when all you need is a little help for a short time. If you were able to get a bank loan with the same short payback time they would call it a ‘bridge loan’. A payday loan is a great alternative to a bridge loan and is infinitely easier to obtain.
Banks aren’t interested in lending small amounts to the consumer; so where can you turn when all you need is quick money for a short time? The payday lender specializes in short term loans and does so without asking for collateral. You can get up to $1,000 same day if the lender offers wires, which may have a ‘wire fee’ attached to it so be sure to ask.
Most lenders will start you off small with a $300 – $500 loan to be paid back on your next pay date. For a fee you can extend the loan if it is not possible for you to payback that quickly and most lenders will let you pay back part of the loan and extend the remainder of the principle. This is not a good loan if you think it could take you longer than a few months to repay the principle and with the new laws that some states are enacting you will have a limited number of times that you are allowed to extend your original loan.
Can you get cash faster than this? If you go to family and friends it’s possible. The payday lender specializes in getting the cash to you as fast as possible; they understand that this is an emergency. Best of all if you handle the loan responsibly, the next time you have an emergency the lender will be ready to help you again and possibly give you a larger amount. Only take as much as you need larger amounts also mean more fees so only take the amount that will solve the emergency.
There are several ways that you can get the cash deposited to your account from a payday loan. Most are deposited through an ACH transfer directly into your checking account, if your lender has a storefront, you could pick up the check or you can ask to have the check mailed to you, but who wants to wait? You can also request a wire transfer, this is the quickest way to get money into your checking account but it is also the most expensive way as a transfer normally has a fee associated with it. Some lenders are depositing funds into prepaid debit cards but like a wire transfer a prepaid credit card often has fees associated with it.
A payday loan used only in emergencies can help to make your life a little less stressed. Just knowing that you have the option to get cash quickly when you need it can be a huge relief. The unknown is always out there ready to blindside you but with a payday loan you can bounce back quickly! Just remember to only borrow what you need, it is a loan and like all loans it has to be re-paid.