There are many places from which to obtain cash loans these days, and with ever-increasing demand, the number of these outlets is bound to rise. You may get cash loans from your bank, in the form of a personal loan. You may choose to use the cash advance option on your credit card to make cash loans available. You might also decide to go through a payday loan company, which offers cash loans based on your next paycheck. A big difference in these types of cash loans is the availability to you based on your personal credit. Another difference amongst these types of cash loans is in the charges.
Cash loans, or personal loans, from a bank are more exclusive than the other forms of cash loans. Generally, you must have a good credit history, whereas with a payday loan your credit is not scrutinized as closely. Cash loans from banks take longer to finalize and therefore would not work in a pinch, but they are better used for planned situations. The timeline for personal cash loans is longer than for the two others types: somewhere around three years.
The second sort of cash loan comes from your credit card, in the form of a cash advance. When you apply for a credit card, you can choose to include the cash advance, or cash loans, option. Be very careful to read through and understand all of the terms (Read “charges” information) involved with a credit card cash loan. Please read our detailed article on cash advances, which highlights those cash loans that come from credit cards.
A third type of cash loan comes from a payday loan company. Payday loans are advances on your next paycheck from a third party, which are to be repaid on your next payday. You can do this online or at an actual office. The amount that you can borrow from a cash loan service such as this is lower than you could borrow with a personal bank loan, due to the fact that it must be able to be paid in full with your next paycheck. You apply by supplying information such as: names, birthday, e-mail and physical addresses, insurance numbers, home and mobile phone numbers, employer’s name and phone number, source of income, frequency of pay, pay dates, monthly salary amount, and bank name and account. Some qualifications are that you must have a bank account with a valid debit card, get paid via direct deposit, and be over 18 years old.
Cash loans from your credit card cash advance option or from a payday loan service tend to have many more fees involved. There is often a percentage rate and flat fee charged, or a combination of the two, and the interest on some of these fast loans grows at an alarming rate.
If you are constantly searching for a fast way to get out of a financial bind, researching how to budget and live within that budget would be time well spent. With all of the cash loan options detailed in this article, you end up losing money, which isn't a situation you want to be in when you already find yourself in financial trouble.