In today’s society you need money to survive just as you need food, water and shelter. In fact these days money is like oxygen is to the body and even though people have financial plans and budget for their expenses, they can never foresee the unexpected. Somehow emergencies have a way of creeping up on us. Sometimes we need cash urgently to cover these unexpected expenses like a medical bill or a funeral expense. A lot of people live or survive from one payday to the next. So any unexpected expenses can create havoc in their monthly cash flow budgeting. The answer for these people with unexpected bills is a short term personal loan or a payday loan to help them bridge the gap in their overstretched budget.
Another name for this short term loan is a quick cash advance loan. It is also called a payday loan or a pay check loan. The starting amount customers can apply for are as low as $100, and they can borrow anywhere up to $2000. The downside to these loans are that they charge quite a high rate of interest but is commonly used to generate short term quick cash between now and the next pay day. To get an approval for these loans you will need to have several documents like photo identification, proof of address and proof of income and employment. The customer taking out the loan normally gives a post-dated check to the lender. These checks highlight the amount borrowed plus the interest component and taxes levied, if any. In return, the lender gives the customer a contract of terms and conditions.
In case of late payments, late fees may apply and the penalty interest rates are also stipulated in the contract. The customer should do a thorough read and understand the terms of conditions and repayment before accepting the contract. Once verification of documents are completed and the customer is approved for the loan, the money is transferred directly to the customer’s bank account. One word of advice to those customers taking out a quick cash advance loan is to pay the entire loan amount as soon as possible or as soon as they receive their next paycheck. Quick cash advance loans are very useful but should be used as designed, as an answer to a short term cash solution and if used correctly it can be a affordable and viable option if you repay back the loan immediately. Otherwise, it may work out to be a very costly exercise in borrowing money.
A quick cash advance loan as mentioned is an answer to a short term funding need however it was not designed to be a permanent solution to financial woes. Customers take these loans to cover their unexpected financial emergencies. Advice given by most financial advisors to their clients is to also explore other cheaper forms of funding before signing up for quick cash advance or payday loan.