How Short Term Payday Loans Work
Short term payday loans are designed to best help you out of unforeseen circumstances like a surprise car repair or emergency medical situation. They can be especially useful for those who need money as soon as possible for a legitimate reason – but because the downturn in the economy ruined their credit, their bank or credit union has told them they can’t get a loan when they really need it. Here’s how short term payday loans can help pay bills and help out in emergencies.
In a way, you can look at short-term loans as a way to get temporary help for an unforeseen and stressful problem. While the terms of a loan can vary depending on your situation, as well as the lender, it’s possible you could get up to $2,500. These types of loans are expected to be repaid quickly – usually on the date of your next payday – which is why they’re also known as payday loans.
Getting the process started usually means choosing a short term lender, and if you’re going online, that can be a confusing experience. Money Mutual, while not a lender or loan broker, is a marketplace where borrowers and lenders can connect with each other. If you qualify with a lender, the lender will work with you to complete the application process.
“ look at short-term loans as a way to get temporary help for an unforeseen and stressful problem ”
The ability to meet the basic requirements when you apply for short term payday loans will help the process along. Usually you must be 18 years or older, be able to provide proof of a steady income – such as a pay stub or a disability check, as well as meet other lender requirements. Remember, these requirements may vary from lender to lender. While some lenders who offer short term loans may be able to approve you with less information, be aware those loans may be tougher to get.
After you’ve gone online and submitted your information, or faxed it to your lender, the rest of the process is straightforward. If you’re approved for a loan after the lender reviews the information, they will send you all the terms and conditions of the offer. In the terms will be details about payment dates, the interest rate, the total amount of the loan, and more. To accept the loan, all you need to do is sign, which can easily be done online.
Once you accept the loan, the lender typically deposits the money into your checking account in as little as 24 hours. Lenders tend to prefer direct deposit of the money because they can make sure you receive the funds. They also prefer direct deposit because repayment will also be taken directly out of the same bank account.
Make sure you do your research before getting a short term loan, and always double check that you will be able to pay the loan back as agreed upon when you signed the offer. Contact your lender directly as soon as you think you may miss a payment. Late payments often result in fees, so reading carefully over the terms and conditions of the offer is important. Repaying the loan on time according to the loan offer may be able to help you better manage your finances.
If the banks and credit unions have turned you down because the economy has ruined your credit, you still have options when you need emergency cash, and short term payday loans may be able to help. By using Money Mutual, you may be able to find a short-term lender who can get you the cash you need – quickly, safely, and privately.