FAQs On Payday Loans
What is a payday loan?
A payday loan is like no other loan. Rather than relying on a your ability to pay based on a good credit score, direct payday lenders extend the loan to you with reliance on your ability to pay based on your payday check. The only thing you really need to secure a loan is proof that you are actually employed.
What is an online payday loan?
The real difference between a payday loan and an online payday loan is the manner of applying for the loan. Technically, an online payday loan is a type of a payday loan. What sets it apart from other payday loans is that the application process is done online via the internet. It works just as simple as asking for a cash advance online.
The only difference is that you are not asking your employer directly to give you your salary in advance. You are receiving an amount of money from a lender with the premise that you will repay the loan on your next salary.
How does a payday loan differ from getting cash advances from credit cards?
They basically work on the same principle. You receive cash that you will have to repay. The difference is that you have to fill out and submit a mountain of forms to apply for a credit card.
Before you are given a credit card that you can use to get cash advances, you will have to have a good credit score. Once your credit card application has been proven, you still have to wait for the card to arrive and be activated. Then only until then can you get cash advances. To top things off, the whole process can take from weeks to a couple of months.
Do I need good credit in order to apply for a payday loan?
You will not have to worry about a good credit score when you apply for a payday loan. You also do not have to submit a number of documents to apply. The only thing you need to prove is that you are employed and that you are capable of paying the loan back because you will be receiving your salary on the next coming payday. The application process is as short as a few hours to a maximum of a day or two. You simply cannot get cash advance loans that fast anywhere else.
Do I have to send anything through fax?
No. As mentioned, you will not have to submit anything, not even through fax. It is that simple and easy. This is the reason that some refer to this loan as no fax payday loans. The application form is the only thing you will need to accomplish, and you get to do that online.
In situations where a customer has no access to the internet or prefers to talk to an agent, a toll-free number can be dialed for help. You just have to answer the questions and the agent will fill out the form for you. Rest assured that both processes are safe and secure. You do not have to worry about the privacy of your details.
What are the terms of an online payday loan?
The name of the loan already implies the major stipulation. A loan is extended to you that you are meant to pay on your next payday. Payday loans are for emergency situations wherein your salary is sufficient to pay for something you need but you just don’t have the time to wait until your next payday.
Though these types of loans are meant for short term use only, the terms of payment are flexible in case you cannot repay the loan in full on your next salary. You can opt to pay by installment or roll over the whole loan, subject to additional fees.