Payday Advance Loans
These are also known as payday loans or cash advances. They are short term loans designed to get you by until your next payday, thus the name. Most loans are for under $1000 and are due to be repaid in two weeks or less.
How To Get A Payday Advance
Applying for a loan is easy and you can get a decision in just a matter of minutes. We make it easy for you at Loan Monkey by giving you quick access to money from a huge online network of lenders. In addition, there is no obligation or fee to apply.
Pluses of Payday Advances
There are several great features of payday advances, features that no other loan type possesses. First, they are very easy to qualify for. Even if you have bad credit, you can probably be approved for one. This is because lenders use different qualifications to approve their applicants. Many do not even use the major credit bureaus to pull credit.
Another plus is that the loans are easy to apply for. There are not a lo of endless forms or receipts required. You can apply for the loan online and you may not even have to provide any supporting documents. If a lender does require additional verification, it is usually something simple like a pay stub or an identification card. There is no pouring over bank records and no lengthy qualification process like traditional financing.
Finally, with this type of loan, you get your money quickly. This is extremely important in an emergency. Once approved, you can have your money as soon as the next business day and there are no checks to be cashed. It will be deposited directly into your bank account so that you can use the money immediately.
Minuses of Payday Advances
It would not be fair to just list the good parts of these loans without also listing the bad parts, and there are a few. The main one is the fee involved in borrowing. Lenders will charge you a fee based on the amount that you borrow. For example, they might charge you $20 for every $100 borrowed. So, you borrow $300 and you will need to pay back $360. Not too bad but if you express that in the form of an annual interest rate, it seems far worse. It is not uncommon for payday advances to have interest rates that are well above 400%.
In addition to the high fees, you also have a very short time to pay back the loan. They are not long term loans and you will, in most cases, need to pay the loan back on your next payday. This does not give you a lot of time to get caught up on bills so it will require you to do some planning to make sure that you have the money to pay the loan back when it comes due.
Are Payday Advances Available
These fast loans are not available in all states. Currently, as of the writing of this article, you can get one in:
Alabama, Alaska, California, Delaware, Florida, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Michigan, Minnesota, Mississippi, Missouri, Nebraska, Nevada, New Mexico, North Dakota, Ohio, Oklahoma, Rhode Island, South Carolina, Tennessee, Texas, Utah, Virginia, Washington, Wisconsin, and Wyoming.
In addition, different states have different rules on payday loans. You might be able to borrow a thousand dollars in your state or perhaps only a fe hundred dollars. It is simple to find out. Just fill out a quote form and your lender will tell you what is available to you.
Pawn Shop Loans
Another type of loan that is available to you right now is a pawn shop loan. Pawn shop loans are low dollar loans issued by pawn shops that are secured by your collateral. You place an item in hock and the pawnshop gives you a portion of the value of the item as a loan.
How To Get A Pawn Shop Loan
It is very simple to get a pawn loan. You simply take something of value to a local pawnshop and take out a loan. The amount that you can get for your item will vary from store to store and depends on the perceived value of the item and the shops inventory at that time. If they are stocked full of flat screen televisions, for example, the worth of your item may be less.
Pluses of Pawn Shop Loans
The biggest plus of a pawn shop loan is that credit is thrown entirely out the window. Anyone will qualify for one just as long as the pawnshop finds value in your item. This makes getting a loan now, a sure thing. This is because the loan is essentially a secured loan so the lender has little risk to losing any money. The only way a lender could lose money is if they valued your item wrong.
Another benefit to this type of loan is that you get the money quickly. You will have the money the same day that you bring in the item to pawn, usually in cash. This means that you can pay off whatever needs paying the very same day.
Minuses of Pawn Shop Loans
Like every quick loan, there are also some bad parts to pawn loans. The first one, and one that will become quickly apparent, is that the loan values are very limited. Pawnshops will only give you a percentage of the value of an item as a loan, often around 30%. This means that if you needed $300, you would have to place an item in hock that is valued at $900. That is the current value too, not what you paid for it. For this reason, most pawn loans are only for $100 or $200.
Another downside to this loan type is the fees. Fees may be a bit lower than for cash advances but they are still high. Pawnshops will charge you for a lot of things including interest, contract fees and storage fees. They will add up quickly making a pawn loan an expensive loan, just like cash advances.
Are Pawn Loans Available
If you have a pawnshop near you, then these loans are probably within reach. Laws for pawn loans will vary from state to state and many shops are limited in what they can charge for fees and limited by paperwork requirements. law enforcement and governments are strict with pawnshops because they are an easy place for criminals to dispose of stolen goods.
Credit Card Cash Advances
This is a cash advance from credit that is available to you on a credit card. Most credit card providers will limit the amount of available credit that you can use for cash advances. If you look at your statement, you will see two totals of credit. Credit available and credit available for cash advance.
How To Get A Credit Card Cash Advance
Getting your advance is very easy, especially if you know your pin number. If you do, you can usually go to just about any ATM and withdraw the money that you need. If you do not have your pin number, you can got your bank and visit a teller in line. With your card and proper identification, you can probably get your cash advance.
Pluses of Credit Card Advances
There are a lot of pluses to this type of emergency loan. The biggest is that they are the fastest to get. Simply go to an ATM and pull out the money that you need in cash. Boom, your problem is solved.
Another positive is that the interest will be less than that of the options above. Most cash advances have a higher interest rate than standard purchases, typically 29%. That is much lower than the interest that would be paid for a payday advance or a pawn loan however.
Finally, you would be able to spread your payments out over a longer period of time. This would give you time to get other finances in order although you would need to be careful to pay more than the minimum due. A minimum payment would take you years to pay off even a small loan.
Minuses of Credit Card Advances
All loans have some sort of downside as well as upside. With credit card advances, the chief one is the limited availability of funds. Chances are good that if you are in a financial emergency, you may not have any balance remaining from which to pull a cash advance. You can try calling customer service for an emergency credit limit increase, but this may not be available.