With a sinking economy, many people are finding it more and more difficult to make it to the next payday. Groceries need to be bought and utility bills need to be paid. Sometimes the only way to get through these times is a paycheck advance.
Unlike years ago when this service was mainly used by poor workers on the wrong side of the tracks, these loan companies now market themselves to professional workers of all genres. Before, these little offices were frequently found in dangerous sections of town, managed by employees who were almost scary looking. Now, these same companies have offices in some high end commercial office buildings in every city.
It's not that difficult to get approved for this type of loan, though requirements do vary from company to company. In general, you need to have a net income of about $1,000 a month, you must have a checking account, and you can only borrow amounts based on your paycheck. Loan amounts and limits are typically in the $150 - $1,000 range.
Interest rates are comparable with what you'd expect to pay if you were taking a cash advance from your credit card. These are unsecured loans, the interest is a bit high with an average of 15-25% depending on the loan term, but if your only option is taking out a loan or having your electricity turned off - the decision is a no-brainer.
Many paycheck advance companies are online as well, and these loans can be applied for and processed in the privacy of your home. You may be required to fax information such as pay stubs or bank statements, but many companies also offer the option for you to be able to email your documents as well. These companies will electronically credit the money directly into your checking account within one day, and frequently within a few business hours.
Keep in mind that even though they won't pull a regular credit report, they will check with another type of credit service that only deals with open pay day loans. They monitor what loans have been paid, which ones are open, and which ones have been defaulted on. If you have no open loans, and if you have never defaulted on a past loan, you're good to go.
If you find a local office you want to use, call first to what you need to bring with you. The forms are easy and it takes about a half hour to finish up. Sometimes you'll walk out with a check; other times you'll have to wait for the wire transfer to your bank.
Make sure you do some research first in order to compare rates and limits. These companies have learned to aggressively compete with each other.
- 30462
Unlike years ago when this service was mainly used by poor workers on the wrong side of the tracks, these loan companies now market themselves to professional workers of all genres. Before, these little offices were frequently found in dangerous sections of town, managed by employees who were almost scary looking. Now, these same companies have offices in some high end commercial office buildings in every city.
It's not that difficult to get approved for this type of loan, though requirements do vary from company to company. In general, you need to have a net income of about $1,000 a month, you must have a checking account, and you can only borrow amounts based on your paycheck. Loan amounts and limits are typically in the $150 - $1,000 range.
Interest rates are comparable with what you'd expect to pay if you were taking a cash advance from your credit card. These are unsecured loans, the interest is a bit high with an average of 15-25% depending on the loan term, but if your only option is taking out a loan or having your electricity turned off - the decision is a no-brainer.
Many paycheck advance companies are online as well, and these loans can be applied for and processed in the privacy of your home. You may be required to fax information such as pay stubs or bank statements, but many companies also offer the option for you to be able to email your documents as well. These companies will electronically credit the money directly into your checking account within one day, and frequently within a few business hours.
Keep in mind that even though they won't pull a regular credit report, they will check with another type of credit service that only deals with open pay day loans. They monitor what loans have been paid, which ones are open, and which ones have been defaulted on. If you have no open loans, and if you have never defaulted on a past loan, you're good to go.
If you find a local office you want to use, call first to what you need to bring with you. The forms are easy and it takes about a half hour to finish up. Sometimes you'll walk out with a check; other times you'll have to wait for the wire transfer to your bank.
Make sure you do some research first in order to compare rates and limits. These companies have learned to aggressively compete with each other.
- 30462
About the Author:
Rose Martin has a passion for helping people save money and solve urgent financial needs. She recommends Payday Loan Today when you need a payday advance online and are looking for reliable, affordable paycheck advance.
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