Payday LoansFinancial Dictionary -> Loans -> Payday Loans
A payday loan or a cash advance are generally the same thing. They are a small loan that is usually no more than $1,500 that can be borrowed in between paydays and then repaid upon receiving your next paycheck. Usually you will need to pay a small processing fee and also a finance charge for the number of days that the money is borrowed.
Payday loans are a good way to make sure that you do not fall behind on important bills like paying your mortgage, making your car payment, or even just to keep food on your table for you and your family. Whatever the case may be, a payday loan can come to the rescue in a time of need.
There are a couple different ways to go about receiving a payday loan or cash advance. Almost always you will need to have a checking account and a stable job in order to qualify for a payday loan.
Conventional Payday Loan Centers
The first option to go about receiving a cash advance or payday loan is to go to your local payday loan center and actually walk in and apply for a loan. You will usually be asked for a couple forms of ID as well as a recent paycheck stub. After showing your ID and stub, and also filling out the paperwork to process your loan, you will then also need to make out a post dated check to cover the amount of the loan plus the fees. This check is to make sure that if you do not return to pay back your loan that they will be able to recover their money. If they do end up needing to cash your check and you do not have sufficient funds in your account, then you will have to deal with bounced check fees from your bank as well. The payday loan center can also then go after the payment that you owe them and sometimes this can effect your credit record.
Internet Payday Loans
The second option that you can choose is to apply online for a payday loan. This is probably going to be an easier and quicker option if you are computer savvy. You will need to locate a trusted payday loan website and then fill out the online forms which are similar to the paperwork that you fill out in a normal payday loan center. You will also need to enter in your checking account details so that you can pay the fees and repay the loan using your debit card. The loan, once approved will be deposited into your checking account and you will be able to withdraw the money usually within 24 hours.