Understanding Cash Advance Payday Loans

Several lenders can offer you a loan without the need for you to go through a credit check. A cash advance loan is one of these loans. Before taking this kind of loan, you have to understand how it really works.

Cash advance loan is a type of short term loan that can give you quick access to cash. It is best for people who are not financially ready when emergency situations occur and for those who cannot take out a loan from traditional lenders because of poor credit.

Despite of its accessibility and ease in application, this type of loan come with high interest charges. Aside from the interest, it also charges high fees. On the average, cash advance loans charge $15 in fees for every $100 borrowed. As such, you have to find other

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means to obtain money if you think that you will not be able to afford repaying the loan.
Cash advance payday lenders are numerous. You can find it almost anywhere. If you want your application to be convenient, then you can go online and look for a lender there. As a recommendation, opt for an online network.

An online network of payday loans connects with 50 lenders competing in the business. When you apply through them, you can get the best rates because the lenders will try to make sure that you choose them by offering you the best deal. You only need to send your application online and then you will easily get the approval that you need.

To qualify for a cash advance loan, you must be at least 18 years of age. You must also be working during the time of your application. Oftentimes, the lender will only approve you if you earn at least $800 a month. Moreover, you need to have a bank account where the money can be deposited.

Once you get approved of your application, you can get a loan amounting from $300 to $1500 no matter what your credit rating is. The best part is, you can obtain this as quickly as 24 hours after submission of your application.

Financial Options Aside from Taking a Payday Loan

When you are just beginning with your life as an adult, you have to make the right decisions financially. A lot of people embark in the real world without having the right financial knowledge. Because of this, they end up making the wrong decisions that have a long term effect on their life. Some of these include being trapped in debt caused by taking out certain loans that becomes too difficult to pay. To avoid suffering in the long run because of your poor financial choices, you have to know your financial options that will not put your financial status in danger. Here are some of them.

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1.) Credit Union Loans- this is a small, short term loan offered by your local credit union if you are a member.

2.) Small Bank Loans- this is a small loan offered by traditional bank lenders.

3.) Cash advance from employers- some employers provide this loan. You can ask them to give you your paycheck in advance instead of seeking for a payday loan that will charge you with high fees and interest.

4.) Borrow from friends and family- Do not allow your pride to stop you from borrowing money from close family and friends. But, when you do obtain assistance from them, know your limits and set your expectations straight so that you will not end up destroying your relationships.

5.) Start an emergency fund- You must start building up your savings to reach an amount that can pay up for your six months worth of expenses. This is what you call your emergency fund. If you do not have this now, start it. This will help you avoid taking out any type of loan in the future.

6.) Use your credit card for emergency only- If you have a credit card to turn to, you do not need to obtain a loan just to pay for emergency expenses. Use your card for emergencies or only if you know that you can repay the balance of your card as soon as possible. Doing this will not only help you prevent payday loans, it will also allow you to maintain a good credit rating that is truly beneficial for your financial future.

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Purpose Cash Advance is happy to announce the availability of their online payday loans to Wisconsin residents. The state of Wisconsin joins with Mississippi, South Dakota, Utah and Missouri in the list of states that the company has been providing their most committed service through fast, safe and confidential transactions.

The online payday loans of Purpose Cash Advance can be applied for by filling up a simple online application that requires the most basic information about the borrower. Upon verification of the information, the loan is approved. The loaned amount is then deposited in the checking account of the borrower and is payable on the next payday. This process of cash advance is best for emergency financial situations that are needed in the quickest way possible.

The company submits to the relevant lending laws of Wisconsin. This includes the requirement to submit a pay stub that should be less than 35 days old before receipt of a loan. Moreover, the laws in Wisconsin allow a maximum loan amount of $1200 from licensed payday lenders. Also, the fees for any loan must be limited to a maximum of 30% of the total gross income.

The company requires that the applicant be at least 18 years old, has an active checking account, shows a proof of income and a Wisconsin resident to avail of a cash advance.

After the launch of Purpose Cash Advance’ online payday loans in Wisconsin, the residents can enjoy a fast and convenient way of getting short-term loans of small amounts. The service of the company is fast and efficient that it can provide funds in unexpected, cost-incurring situations like medical bills and home repairs.
Aside from Wisconsin, the company provides their cash advance services in Mississippi, Utah, South Dakota, Wisconsin and Missouri. It is the company’s goal to give efficient, reliable and licensed transactions in all the states. Purpose Cash Advance can be reached via their website or their hotline number.

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A new company joining the cash advance industry is Payday Loan Buff. This company is providing payday loans to consumers who can apply for loan online by only showing a proof of income. The company announced lately that they plan to put up a base that will operate in South America. A licensing agreement is being set so that Payday Loan Buff can start an office to operate in Northern Mexico.

According to their CEO, part of the company’s plan for expansion is to start with some countries in South America. He further added that the company is lucky to find a partner that allows them to get a license to operate in the whole country of Mexico. This is a way to gain access to many consumers that have been experiencing tremendous financial challenges. The easy way to obtain cash advances is the company’s goal to help their consumers improve their lives little by little.

Payday Loan Buff’s partnership with Mexicans will be directed by a number of local businessmen and businesswomen. These entrepreneurs personally approached the company after seeing a press release of the company’s intention to operate in their region. This group of entrepreneurs is more aware of the potential consumers in their area. Because of this, they can represent the company in the best way possible. Also, they can keep local customs economics in the frontline.

The plans of the company include website development and training for the Mexican team. Aside from this, the company aims to oversee management. This is to ensure that the policies that have been set by the company are being practiced in the new site. Ownership of the operations will still be given to the company but license of the operations will be placed in the hands of the group of entrepreneurs. The group of businessman and businesswoman will take the daily responsibility of handling the operations.

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Before the economic challenge took its toll, people dealt with short-term financial challenges by paying a check at a grocery store while hoping that it won’t clear before their next payday comes. This can be quite risky especially when the check bounces and there is a need to pay additional fees. The lack of option to make ends meet when cash is short is to take a loan from payday lenders.

Payday lenders give loans for the short-term. Loanable amounts range from $100 to $1000 with fees averaging at $15 to $30 for every $100 borrowed. This type of loan can be easily obtained. However, they can be very expensive. If the annual fee is considered, the rates can range from 381% to 700% according to NCLC or the National Consumer Law Center. More than the high interest rates, a cause for worry is the repeated loans of many borrowers because of the inability to pay their current loan when it becomes due. Many individuals get stuck in unmanageable debt because of this type of loan. But, payday loans are not the only options to provide for short-term cash needs. There are other fast-cash sources like 401K loans and credit card advances.

401 K allows employees to loan up to $50,000 or 50% of the total amount invested whichever is lower. Interest rates in 401K loans are generally lower than other types of consumer loans. On the average, a 1 to 2 percentage points higher than the prime rate is charged as interest. Payments are deducted from the paycheck, interest is paid to oneself and there is no need to undergo a credit check. Moreover, 401 K loans do not give limits as to how or where the money will be used.

Credit card cash advance is also a quick way to obtain short-term funds. However, they can be very expensive. The fees and interest rates for cash advances are usually higher than credit card purchases. It does not give a grace period for payment.

Running short on cash can be a challenge especially when the payday is not coming soon. However, short-term emergency funds can be obtained by borrowing from payday lenders, 401K loans or making credit card cash advances.

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