From time to time we all find ourselves strapped for cash. When you find yourself short of money between pay checks, you could benefit greatly from a cash advance or a payday loan. Unexpected expenses seem to always strike at the most inopportune times and sometimes it can seem like a matter of life or death when you need money but have none in your purse, wallet or bank account.
In order to be eligible for a cash advance, there are a few things that are required. You must be a US citizen, be at least 18 years of age, be employed and earning a set amount of money per month, and you must have an active bank account that allows you to receive a direct deposit. More and more people are applying to receive a cash advance because they know it is an easy way to receive money to cover bills or unexpected expenses before their next payday. A cash advance makes it possible to get money in a hurry under certain terms and conditions that do not detract from work and family responsibilities.
It generally takes about ten minutes to apply for a cash advance on the Internet. Many lenders do not require any faxing of documents and there are no credit checks to be hassled with. Many advances are approved within an hour or two wherein the money is transferred electronically – straight into your bank account. Lenders are not concerned whether you have good credit or bad credit when it comes to giving you a cash advance. What they are concerned with is your ability to repay the loan, on your next payday.
If you are finding it difficult to cope with certain expenses and think you may go over set limits on your credit cards, which could incur high charges and damage your credit rating, a cash advance is one viable option you have. If you have an emergency come, such as a medical or dental situation or a car breakdown, knowing that you have options at your disposal when your bank account is empty can make all the difference in the world during a time of financial crisis.
Most lenders will allow you to take out a cash advance for up to $1000. You will be charged a high rate of interest on the advance, which is often 25 to 30% of the amount borrowed. For example, if you borrow $1000 you will have to pay back $1300 on your next payday on a cash advance with a 30% interest rate. If you fail to repay the loan back when you are supposed to, you will be charge rather high penalty fees. These fees can be very hefty, and this could put you in a whole lot of hot water if you get caught in a cash advance repayment cycle. It is therefore very important to use these types of loans only if it is absolutely necessary to do so.
It is not recommended to borrow money on a short-term basis simply because you feel like shopping. The interest rates are just too high to make impulse shopping justifiable when it comes to a cash advance. However, if you need to protect your credit rating, pay medical, dental or auto repair bills, then a cash advance is a great option as long as you are sure you can handle the payment that is due the next time you get paid at work.
Resource – loans no guarantor