People are often in need of cash. Certain amounts of cash that will assist with the responsibilities of life. A pay day loan is a short term unsecured loan. It’s also called a payday advance, small dollar loan, and quick cash loan.
Please don’t confuse a payday loan with a cash advance because usually a cash advance infers some sort of prearranged line of credit (basically a credit card) or potentially some type of collateral with a credit check. A payday loan requires the loan candidate to show proof of a previous payroll with employment records/confirmation. Upon verification of employment, income, obviously proper identification(s), and contact phone number. The lender will then require a postdated check. This check will be written for the amount of the loan plus all fees involved.
Often times the borrower is more comfortable with payday loans due to the fact that credit checks are often never done for a payday loan. The borrower is now given the due date(maturity date) and is now responsible to pay the loan in person, or over the internet or phone(if that institution offers that option) on or before the maturity/due date. If the borrower does not pay the lender on the due date, then the lender will cash the original check that was given to the borrower. If the funds are covered, the loan transaction is completed. If the check bounces due to insufficient funds, then the borrower will be faced with insufficient fund fees from their bank and additional penalties from the lender. There will be likely a default penalty fee, increased interest fees and likely other fees that weren’t in the bold print(s).
The convenience to access and apply for payday loans has changed dramatically due to the internet and phone capabilities. Consumers can now apply, complete loan applications via internet and also fax. Funding is also extremely efficient with direct deposit into the borrowers account. Repayment can also be done electronically in schedule with their next payday. Direct Online Payday loans are really easy to apply for. Borrowers are given multitudes of convenience to access and apply for online direct payday loans. The internet gives the consumer efficient means to find out if they qualify and how much they qualify. Direct Online Payday loans have become an extremely convenient medium to help manage the eccentricities of life.