Applying for a payday loan is as simple as filling out an online application, but do you know how a cash advance actually works after that? There are basic requirements that need to be met to get approved and get your cash, but after that you need to repay the loan. That process is also made simple by doing your payday business online. You won’t even have to gas up the car to make a payment.
Know How to Repay
If you are approved, you will have funds directly deposited to your checking account. The approval is typically processed within 24 hours and funds can be in your account the very next day. Your repayment date will be the date of your next paycheck, but that does not have to be for the full amount. It depends on whether you do nothing or choose to make a minimum payment. If you do nothing, the payday lender is already authorized to take the full amount of the loan, plus the 25 percent fee for the loan (which is usually $25 for every $100). If, however, you get online and choose to pay only the minimum or less than the full amount of the loan rolls over and more interest accrues.
Good for Emergency Loans
If you’re late on the mortgage it can cost you $30 in late fees and ding your credit score badly. If you know that you only need a few hundred dollars to make up the difference, you can opt to use a payday loan to pay the amount on time (saving your credit score) and then pay the payday loan later, on your next paycheck cycle. Depending on how much you borrow, it can be well worth paying the fee on the payday loan to make sure you keep a sterling credit history while paying crucial bills on time. Other types of short-term emergencies that make good use of a payday loan are medical emergencies and home repairs that can become worse if not treated immediately. Consider what the future costs will be if you don’t use a payday loan and if they are larger than taking the loan, then hop online and apply to get through the crisis with a quick infusion of cash.