Payday Loans FAQ
All About Payday Loans
? What is a payday loan? ! A payday loan is a short-term, high-interest, unsecured loan that is traditionally connected to the borrower's payday. The loan amount can be from $50 – $1,000, depending on the borrower's income and the loan fee is from $5 to $30 per $100 borrowed.
? Are payday loans available in my state? ! You can check the legal status of payday loans by state here.
? How is a payday loan different from a regular loan? ! The main differences between payday loans and other types of loans are: (1) Firstly, they are typically for small amounts of money up to $1,000; (2) Secondly, borrowers usually only have a few weeks to pay them off; (3) Thirdly, they carry much higher interest rates.
? Is a payday loan the same thing as a cash advance? ! Yes. These two words are synonymous and may be used interchangeably to describe the same type of loan.
? Why not apply for a personal loan instead of a payday loan? ! Even though personal loans may provide more time and money along with a lower interest rate, the approval process may be time-consuming. Payday loans are fast and easy to qualify for, even with bad credit. They may thus be a better choice in an emergency.
Payday Loan Safety and Responsibility
? Are payday loans risky? ! Payday loans are not inherently risky, but many customers tend to use them incorrectly. They may take out payday loans for inappropriate purposes without the ability to pay them back. This results in high interest and fees being charged and may lead to a vicious cycle of taking out loans to pay back other loans. A payday loan is risky if it is used in an irresponsible manner.
? When is it safe and responsible to use a payday loan? ! Use a payday loan only in an emergency. Make sure you have the money to pay it back when it comes due. Do the math. If the numbers add up, it may be a good time to use a payday loan. If they do not, you may wish to consider another option.
? When do I need to repay my payday loan? ! In most cases, your loan will be due at your next paycheck. Nevertheless, loan terms may vary from lender to lender, and you should check the specific terms and conditions of your loan agreement.
? What if I cannot repay the loan in full on time? ! If a borrower cannot pay back the loan on time in full, additional charges and interest may apply. These potential charges will always be disclosed before a loan offer is accepted.
Applying for a Payday Loan with PayDayAllDay
? Does it cost anything to apply for a payday loan online? ! No, we never charge any fees for submitting an application.
? What do I need to qualify for a payday loan? ! In order to qualify for a payday loan online, you only need to: (1) Be a US citizen or a US permanent resident; (2) Be at least 18 years of age; (3) Have an active checking account; (4) Have a valid email address and a phone number.
? Can I get a payday loan if I have bad credit? ! Yes, as long as you meet the basic requirements.
? Do I need to be employed to be approved for a payday loan? ! You may not be employed, but you must have some source of income, in order to be able to repay the loan.
? Do I need collateral to apply for a payday loan? ! No collateral is necessary for a payday loan.
? Can I get my cash the same day? ! In some cases, same-day cash loans are available. The earlier an application is submitted in the day, the more likely it is you will qualify for same-day disbursement of funds.