These types of loans are known to have extremely high interest rates; I’m talking 400% APR high. Usually these loans are around $500 or less; however, they can also be as large as $1,000 and are paid back as soon as you receive your next pay check.
The lender will ask to have access to your checking account or for a check in the loan amount so they can cash the payment the day it’s due.
As far as acquiring a payday loan, it’s a lot less maintenance than a regular loan. The lender won’t check your full credit history. All you really need is a steady source of income and identification. Requirements and terms will vary between lenders.
Make sure you know everything you need to know about your lender for a safe loan. Explore all of your loan options to make sure a payday loan is right for you. It can sure help you in a bind, but isn’t something to rely on each paycheck.
Like any loan, if you pay it back on time, you have nothing to worry about! It’s when you start to miss payments when you will run into a sticky situation. Stay on top of your loan payments and communicate with your lender to have the best possible experience!
In addition, don’t forget to shop around for your loan as your time allows. The first lender you talk to doesn’t have to be the only lender.
Check out Yes4Credit Oregon’s other blogs for other tips for auto loans and financing! We would love to hear from you; call us at 1.855.YES.4CDT with any questions you have.