When To Use A Payday Loan
The great thing about applying for a fast payday loan online is that they can serve such a variety of different purposes, but they are rarely subject to any credit check process. Here are 5 ways you can use your quick payday loan:
- paying a bill: how many times have you been faced with the situation where you have more bills to pay than money in the bank to pay them with! Well, if you use an instant payday loan to pay the bill you no longer have this problem.
- emergency cash: if you need cash quickly, for example to go to a wedding, and you don’t have any in your bank account, then you can apply for a payday cash loan and within 24 hours you should have the money in your bank account.
- holiday money: we nearly always spend more on our holidays than we originally intended to. If you think your holiday spending money may not be enough, apply for an instant payday loan before you go and you can then enjoy your holiday safe in the knowledge that you have a comfort zone in your holiday spending budget.
- bad credit history: with a no credit check payday loan, you can still borrow money to cover any emergency situations without having to worry if the lender is going to check your credit rating. What’s more, you can actually use short-term instant payday loans to help rebuild your credit rating by making sure your repay the no credit check payday loan on time and in full.
- shopping: sales at shops always come at the wrong time, immediately after the expense of Christmas and when few of us have any money in the bank. Apply for an instant payday loan you can do your shopping during the sale time and pay the money back when you next get paid.
If you are going to apply for a payday cash loan, keep in mind that it usually takes 24-hours for the money to be paid into your bank account. As such if you apply for a fast payday loan from Monday to Thursday you should get the money the next day. However, if you apply for a quick payday loan on a Friday, you most likely will not receive the money until the following Monday.
What To Look For In A Payday Loan Lender
An instant payday loan is a quick, convenient and easy method of borrowing money if you are currently facing a shortfall in your cash-flow, or if you have an unexpected expense that needs to be met today! However, before you rush off and agree to a quick payday loan, you may need to consider the following factors of what to look for in a payday loan lender:
- interest rate research: obviously the interest rate you will be charged on your payday cash loan is going to be a very important factor in how much you repay, so make sure your payday loan lender has the lowest rate of interest advertised.
- fees: besides the rate of interest, fees are going to be the next biggest expense on your fast payday loan. If possible, try to make sure that your lender has no fees, otherwise, keep the fees to a minimum.
- repayment period: the repayment period for your quick payday loan will vary from lender to lender. The Industry standard is that the payday cash loan must be repaid within 14 to 18 days. However, if you are paid monthly this may not suit you, so make sure your lender has a repayment period that meets your needs.
- rollover: while it is never encouraged that you rollover a fast payday loan, the fact is that unforeseen circumstances have got you into this position and so unforeseen circumstances may mean you have a problem repaying the loan. As such, try to pick a lender that will let you rollover the loan if you need to.
- no credit check payday loan: ideally, you want to have a no credit check payday loan lender.
- lump sum repayment or installment: some payday cash loan lenders require you to repay the loan as a lump sum, others allow you to repay in installments. Depending on which repayment program is better for you, you need to make sure you choose a quick payday loan lender accordingly.
There is nothing especially difficult about payday cash loans or payday loan lenders. You do, however need to research the internet thoroughly. You also need to read the terms and conditions carefully. Finally, you should not choose the first payday cash loan lender site that you see on the internet.
Managing Your Payday Loan
Payday cash loans are ideal short-term loans for emergencies, such as paying your electricity bill. Due to the high fees and interest payments, they don’t, however, make for a good long-term borrowing strategy. With this in mind, in managing your instant payday loan, you need to remember:
- borrow as little as you possibly can: although it may be tempting to borrow as much as you possibly can with a no credit check payday loan, keep in mind that any amount you do borrow and spend needs to be repaid on your next salary payment date. Remember, if you borrow more than you can really afford to repay, you will have a problem next month and your spiral of debt will have just got worse.
- have your documents ready: when applying for your instant payday loan the lender will ask you to provide them with copies of the following documents (as a minimum):
- your pay slip;
- your bank account statement (this needs to be a current account so that the lender can take the money out of your account after you have next been paid);
- at least one utility bill (such as your electricity bill).
- shop around: although you may be tempted into accepting the first instant payday loan offered to you, there are numerous lenders willing to lend to a quick payday loan to you online. As a result, take time to check around and make sure that you are getting the best deal you can, paying the minimum in interest and fees you can get away with.
- don’t roll over the instant payday loan: if you are having problems repaying the instant payday cash loan, you may find the loan company very accommodating when it comes to discussions about rolling over your payday cash loan. However, keep in mind that every time you roll over you will need to pay a service fee to the loan company and additional interest.
- enough money in your account?: make sure you have enough money in your bank account to cover the payment that the loan company will take out. If you fail to ensure that this is done, you may be faced with charges by your bank for going overdrawn; or, worse, charges from your bank and a return of the payment to the payday cash loan lender!