The A-B-C's of a Payday Loan
From start to finish, the payday loan process can be fast, efficient effective and extremely smooth and worthwhile. From the time you decide you need a payday loan to the time you receive your money and are working toward repayment, friendly payday loans are a model of efficiency that has developed and been perfected over years of service to people all around the world.
Applying for a Payday Loan
Applying for a payday loan is simplicity itself. From the time you decide you need one and visit this site to view and compare offers from qualified lenders all over the country, you are on your way to quick cash, often in less than 24 hours. Once you have compared your offers on this site, you can contact the lender of your choice and complete your short application either online or by contacting them over the phone. They will make sure you meet the qualifications for a loan which are usually something along the lines of:
- Must be at least eighteen years old
- Must have regular employment for at least two months
- Must earn a minimum of $1,000 per month
- Must have an active checking or savings account with a positive balance.
Your lender will then likely perform the necessary steps to verify your employment and income level along with some other, basic information and then contact you to let you know if you have been approved for a loan and the maximum amount you will be allowed to borrow.
Receiving a Payday Loan
Once you have been approved to receive a loan, you will be told what the limit is on your borrowing amount. Limits are set by your income level, the laws of the state you live in and other factors as well such as whether or not you have any history with getting friendly payday loans from that or other lenders. You will then tell the lender how much of a loan you want based on the lending fees and how long you want to take the loan out for and your loan will be processed quickly and usually deposited into your bank account by the next business day.
Paying Back a Payday Loan
Payday loans are offered on a fee-basis, not an interest basis. Usually the fee is per $100 you borrow; for example if the lender you choose offers loans for $15 per $100 you borrow and you borrow $400, you will be required to pay back $460. In this example, if you get paid on a bi-weekly basis, you will be required to pay back that $460 the next time you got paid, or if your next payday was just a few days away, you may skip that pay period and pay it back with the following check. Repayments of online friendly payday loans are handled by an automatic debit of the same bank account that the loan was deposited in to.
If, for whatever reason, you are unable to pay back the loan in a timely manner, you should need more time to pay your loan, you will usually be offered an extension which means that you will just pay the fee for the original loan and given more time to pay with a new fee (the same amount) tacked on to the repayment.
