Can you get out of debt with a payday loan?

When you are in debt, it’s sometimes important for you to take care of it immediately. You may be willing to take up another debt by taking out another loan just so you can deal with the current debt. If having instant cash is what you need, then payday loans might be the thing for you, though using a payday loan to get out of current debts might get you into even more trouble.

  • What is a payday loan?

Payday loans are monetary loans

Payday loans are monetary loans

Payday loans are monetary loans provided to borrowers that must be paid in full when the borrowers receive their next paychecks. The loan amounts granted are typically small and are based on how the borrower’s salary.

Taking out a payday loan is certainly one of the fastest and best ways to get instant cash. No matter what your emergency is, requesting a payday loan will get you the needed money in no time. Since the service is really fast and easy to get approval for ( bad credit is almost never an issue as you can take out a bad credit payday loan just as easily), payday loans have very high interest rates which are higher than conventional bank loans.

This is because of the risk that payday lenders take by not seeking collateral from borrowers, lending money to applicants with bad credit history and only asking for basic personal information. With payday loans, the borrower usually borrows an amount of money that he can repay on his next payday. Being late in repayment is not a good idea as that will incur heavy penalties.

  • How much can you borrow?

Usually up to $1,000, though some lending companies restrict the size of the first loan they offer. Loan tenures could be less than a week or months occasionally. There are usually no early repayment charges, but there are fees for setting up the loan as well as interest which is usually calculated daily.

  • So, can you get out of debt with a payday loan?

The answer is yes. However, there is another important question you have to ask yourself and that is, should you get a payday loan to fix your debt?  The answer for that question is entirely dependent on your situation. If you are very sure that you can repay that loan on your next payday, then go for it.

However, if there is even a hint of doubt, or you are just hoping that things just might somehow come together in a way that you’ll be able to repay the debt, it’s best that you look for other options.

10 ways to make extra income

Are you ready to start earning more money this year? Whether you want to be more aggressive about paying off student or installment loans, dig yourself out of credit card debts, save for a down payment or vacation, earning extra money on the side is a smart strategy for working toward your goals.

Let’s look at some fun, creative and unusual ways on how you can bring home extra dough.

1. Sell your body

ways on how you can bring home extra money

ways on how you can bring home extra money

No, it’s not what you’re thinking about… We are talking about selling plasma, sperm or blood. These are completely legal.  In most larger cities, there are clinics that will pay you up to $35 or so for some of your plasma. To donate, you’ll need to be relatively healthy and drug-free. Just make sure you don’t give away too much because that won’t be good for you.

2. Be a mystery shopper

Get paid to shop and report back to services and products from small to well-known large companies. There are numerous sites which are looking for mystery shoppers or will even pay you to shop. How cool is that!

3. Become a virtual assistant

Become a virtual assistant

Become a virtual assistant

If you have experience as an office assistant, you can become a virtual assistant. You need to consider your charges before committing. You may contact the many personal concierge companies which may be looking for someone like you to handle some of their workload.

4. Become an artist

Probably you’re not Vincent van Gogh, but if you have a decent camera or the ability to create digital illustrations, there are plenty of sites where you can register and upload your works of inspiration and get paid a small royalty if people use your images. It’s a good way to earn extra money online.

5. Sell your hobby

Sell your hobby

Sell your hobby

Sell the things you make as a hobby. Most cities and towns have a variety of craft markets where you can rent a stall and sell your wares. Do some budgeting before you take up a stall. Stall rental might not be much, but if you haven’t budgeted for things like materials or ingredients, you could end up making a loss.

6. Sell your stuff

Having a garage sale on different sites can provide a twofold benefit. You’ll earn money fast and you’ll have a good clean out of all the items you no longer need. Things such as designer label clothes and perfumes can command good prices, especially if they are popular but discontinued items. Always remember to do some research before listing item so that you can list your items at competitive prices.

7. Be the hero parents need

Be the hero parents need

Be the hero parents need

There are plenty of worn out moms and dads with young children who could barely remember when was the last time they enjoyed a leisurely dinner at a restaurant and not spend the evening quelling tantrums and picking up after mischievous kids.

Babysitting is one of the most immediately lucrative options of making extra money. Reliable babysitters are in great demand. You can almost name your price.

8. Rent out a room

If you have a spare room, you can rent the space for a pretty good weekly or nightly return. Look into some collaborative websites to help you find takers. This an easy way to earn a bit of extra cash.

9. Walk dogs

Walk dogs

Walk dogs

Love dogs and exercise? Great. Walking dogs is a great way to earn some extra money while doing something you love on a flexible schedule.

10. Create a blog or a website

Some successful bloggers can make a great income, but it’s not guaranteed.  If you’re passionate about something, consider starting your own blog or website. It may start out slow but if it attracts many followers or subscribers, you might have advertisers knocking on your door. It’s a great way to earn money from home.

We hope these 10 ideas will be of help. There are many other different ways to earn a little extra cash, you just have to be creative and go for what you think is the right thing for you.

How do car title loans work?

You know that time you have a mortgage loan that is due, maybe you have your kid’s school fees that need to be settled or basically any other kind of emergency that needs settling but you are broke. It gets to the point that you need to look at borrowing alternatives for a way out. There are many types of loans these days.

You could get a traditional loan, but it poses a challenge. As much as you want to get a bank loan, you realize that it’s really hard if you have a bad credit score. Thus, you have to look for other borrowing alternatives. One of them is a online car title loan which is also known as an auto title loan. This article will tell you how it works.

  • Car title loan application
Car title loans are easy to apply

Car title loans are easy to apply

Car title loans or auto title loans are small loan amounts that you can get if you use your car as the collateral. Typically, they are referred to as secure loans because if the borrower is unable to repay the loan, the car will be sold so that the lender can recover his money. They are short loans with loan tenures typically from 30 days to maybe a couple of years.

It is very easy to apply for a car title loan. The first thing you do is apply to the lending company of your choice, assuming that you have done your homework and know which company is able to help you.

There are two ways of application – physical application and online application. You may apply by dropping off the application form at the lending company’s office or online. You are a required to have a couple of documents for making the application process to be simple and easy. They include your name, age, home address, proof of work and other details.

For online application, you are required to visit the website of your lending company. Fill out your details according to the online form and then submit it.

Whether you do a physical application or an online one, the documents which you will need to include the car title and its photo identification. The company will also need to see the car that you are using as collateral to verify its condition and market value to determine the maximum amount of money you could get a loan. The company will also ask for a copy of the car keys and also ask you to buy a roadside plan.

The loan is then processed. If you qualify for the car title loan, the company will then write you a check or direct deposit the loan amount into your bank account.

  • Cost of a car title loan

The cost of the loan varies. Basically, the loan can be between 35%-45% of the market value of the car. Thus, it’s all about what kind of car you have used as collateral. The loan is for about 30 days. However, depending on your contract, you could have a longer period for repayment.

When applying, you are required to first pay up all the processing fees and then after 30 days, you start paying your interest and other fees that may be added on top of the car title loan.

  • Interest rates
Interest rates on car title loans

Interest rates on car title loans

The interest rates on car title loans are some of the highest compared to other kinds of loans. The loans are typically small, ranging from $150- $1500, but they could also go up to $5000. It all depends on your car.

Looking at the annual percentage rates (APR) of the loan, you will realize that it’s one of the highest among all loans. Typically, traditional loans have about 7% APR while APRs of credit card loans are around 20%. The APR for a car title loan is about 300%. This means that you will need to pay up to 300% of the amount of money you actually borrowed.

Mathematically, an APR of 300% translates to about 25% interest rates per month. It should also be noted that this is the basic number, which is averagely given as a statistic. In a real sense, the interest rates are customized according to the agreement between the borrower and lender. Thus, there is a sense of flexibility in car title loans.

  • Repayment

There are 3 main ways of repayment: physical, online payment and withdrawal from the borrower’s deposit account.

  • Physical repayment

This means that the borrower makes his way to the lending company and makes a repayment himself. This is a common and convenient method, especially if you live close to the company.

  • Online repayment

This mode of repayment is easy, convenient and flexible. This lets you make online repayments on your phone from anywhere.

  • Deposit accounts withdrawal
Deposit accounts withdrawal

Deposit accounts withdrawal

This method is usually used by people who have a large sum of money to be repaid each month. This involves the lending company withdraws a certain amount of money from your deposit account. This is done with your approval and your bank. According to most state legislation, the lending company is not allowed to make more than two withdrawals consecutively.

  • Rollover

Rollovers happen when you are unable to repay the loan back on time. A rollover lets you extend the repayment period by 30 days. This, however, comes at a price. You will have to pay a penalty fee and a couple of other fees for processing the loan rollover. The lender may also decide to review the loan’s interest rates at this point and may increase them.

Rollovers have a flip side. This means you will have to pay a lot more. This may be challenging since you resorted to borrowing due to a difficult financial situation in the first place. This leads a debt trap should you roll over again and again.

  • Repossession of car
Repossession of car

Repossession of car

Remember when requesting the loan, the lending company asks for an extra set of your car and a roadside plan? Typically the lender decides to repossess your car because you are unable to repay the loan. The repossession process, however, doesn’t start immediately. The lender will give you a couple of payment options and several ways out before eventually deciding to take a repossession action.

During repossession, the lender will sell your car to recover his money. At this point, you lose your automobile. The excess money left after debt settlement could be given back to you or the lender could decide to keep all of it. Essentially, this depends on where you are from and the state legislation.

If you are able to make prompt repayments on your car title loan, you will get to keep your car.

Read about more benefits here 

Benefits of car title loans

Benefits of car title loans

If you are employed, maybe you are on a day job, at a specific date that is far away from your payday, the financial struggles in your life are at their best at this time. By saying so, it means that if you meet with an emergency, it becomes a pain to try and solve it.

Emergencies could range from repayments of mortgage loans, school fees for your kids to unexpected situations like illness and accidents. All these require money to settle. It’s never that easy to cope, especially if the only source of income you have is what you get at the end of the month.

Car title loans have emerged as a great alternative to help you get out of tricky financial situations. It’s all about getting yourself a lifeline before you receive your salary by the month-end payday.

According to statistics, car title loans are becoming popular among people these days.

A car title loan requires you to use your car as collateral. Loan amounts can range from between $150- $1500 but it could be as high as $5000. The loan amount is determined by the value of the car that you are using as collateral. The loan amount is about 45% of the car’s market worth at the time of loan application.

Loan application

car title loans benefits

car title loans benefits

You can approach the lending company either by physically making your way to the office or apply online. After the application is submitted, you should submit your car title and its photo identification.

The company also asks for a copy of the car keys and then asks you to buy a roadside plan. After processing your loan, the company gives you the loan amount in the form of a check or deposit the money into your deposit account.

The company expects you to pay back the money as stipulated by the contract that you sign upon getting the loan. It includes the interest and other fees. If you cannot repay the loan, the company may end up repossessing your car and selling it to recover the outstanding loan.

A car title loan, however, has many advantages. That is why it is very popular among people.

1.  Ability to provide cash

A car title loan is designed to help you in times of financial difficulties. It offers cash conveniently and quickly just when you need it.

The loan helps you get out of financially difficult situations by providing cash to solve the problem at hand. We are talking about solving all the emergencies that may happen at a time when your next payday is still a few weeks away.

2.  Getting your money fast

Getting your money fast

Getting your money fast

The application and approval of a car title loan take a very short time. In fact, you could be getting your loan in a matter of a day or two. Compared to other types of loans, this is quite fast. It does not require you to keep making applications and waiting in line at the banks.

After you are approved for a car title loan, your car is then inspected and its value is determined. The lender and you will discuss before the former lays down the terms and conditions for the car title loan.

The speed of the car title loan processing and approval is a result of the simplicity of the loan and how it is designed.

3. Minimal requirements

For your loan to be processed, you will need to actually own a car. There are no bank account or credit checks. The car which you will be using as collateral for the car title loan is what matters.

Therefore, it is easy to process the loan and get the money that you need in less than two days. The credentials needed include basic personal information, the car title, the car itself during the application for assessing its value and its photo identification. Within a day or two, the loan is processed and you are on your way to solving your emergency.

Other loans require a lot of credentials and background checks before they approve the loan. This takes a lot of time. This is why most people are turning to car title loans for quick cash solutions.

4. Use the car as usual

Use the car as usual

Use the car as usual

A car title loan is very different from going to the pawnshop. This is because it allows you to continue using the car which you had used as collateral as you normally do.

The only thing the car title lending company needs is the car title. You are required to do is keep making prompt payments for the car title loan to avoid repossession of the vehicle.    

If you go to pawnshops, they will require the car or automobile to be left in their care until the loan has been repaid in full. It is only then that you will get your car back.

5. Credit scores

As stated earlier, the only documents and credentials needed are just your personal details, the car title and the car and its photo identifications. It is important to understand that a car title loan uses the car as collateral.

Essentially the car is the loan’s source of security. For this reason, the lenders barely look at the credit score of the borrower. The only thing they need is the car title.

Looking at traditional loans and other types of loans, the credit scores of the borrower are very important for the loan to be approved. Hence, car title loan are very suitable for most people as long as they own a car.

6.  Cheaper than cash advances

Car title loans are way cheaper

Car title loans are way cheaper

Car title loans are way cheaper than cash advances. The annual percentage rate (the real cost of borrowing) of cash advances are at about 400% or 450% compared to 300% annual percentage rate of car title loans.

While interest rates for both types of loans are quite high, interest rates for car title loans are definitely lower than those of cash advances.

As a borrower, you want a loan which with a low-interest rate. Hence, most people are attracted to car title loans.

7. Convenient repayment options

Car title loans offer a variety of loan repayment options. They include physical over-the-counter payment and online payment, among others. Compared to other types of loan servicing, this is flexible and efficient. You can make payment from anywhere at any time of your choice. This makes a car title loan very attractive.

8. No stress

A car title loans relieve you from financial stress. Emergencies are easily solved since the loan is approved. Moreover, you don’t need to stress about your credit score.

How to save money with loan consolidation

Debt is not new topic for most people. It has helped some people through difficult times. However, debts have also trapped some people in a vicious cycle. Debts should be managed carefully. They are headaches to deal with and it is worse if you have more than one debt to repay.

Debts come in all forms, from car title loans, payday loans, student loans, credit card loans, cash advances and the list goes on. All In all these have to be paid back in full. This is where problems happen. With the high-interest rates on these types of loans, you will be spending a lot of money on loan repayment.  

With debt consolidation loans, you have a chance to reduce the amount of money paid. Consolidated loans work in such a way that the lender grants you a loan to repay all the debts that you may have, then you are left to slowly repaying that loan back slowly.

How can loan consolidation help?

  1.     Lower interest rates

How can loan consolidation help?

How can loan consolidation help?

Typical loans have quite high-interest rates. Interest rates are even higher in loans such as payday loans and car title loans. These loans typically have annual percentage rates ranging from between 250%-450%. This translates to between 20% and 38% of the loan amount. If you have more than one loan with such high-interest rates, you are definitely going to feel the pressure.


Loan consolidation could help to solve these issues. It gives you the chance to get out of all these debts and gives you a reasonable interest rate that matches your monthly income. In doing so, you save a lot of money on the interest rate.

Every borrower dreads the inability to repay a loan due to rising interest rates. A consolidation plan keeps you out of such situations. All it requires from you is to do the math and make sure that the consolidation plan works for you and not against you.

  1.     Rollovers and payday cycle

 the ultimate way out of debt

the ultimate way out of debt

Assuming you took two or more payday loans. Now you know that when it comes to payday loans, you have to make the payments in a lump sum all at once. However, you may be facing hard times and you are forced to apply for a postponement of repayment. This leads to the rollover situation which involves pushing the repayments to the next month.

The lender may also subsequently review your interest rates and add other fees and penalties. If rollovers are done frequently, your debt grows and you may fall into a payday cycle scenario which you have to keep coughing up money every month to servicing loans that seem never-ending. This is where you need to consolidate loans

For this reason, consolidation loans have become the ultimate way out of debt and at the same time save a large sum of money. The consolidation loan lets you clear up the debts that you have and help you avoid the lethal payday cycle. You have just a specific amount of money as to pay each month, for a specific time until you can repay back the loan.

  1.     The “good credit” factor

Financial decisions are and should always lean into the future of the individual in question. By saying this I mean you have to make a decision that ensures that your future is guaranteed to be easier than the situation you are at present. Look at it this way, you may require to take up an unsecured loan.

Depending on your credit score, the interest rates will lean in that direction. If bad, then the interests will be high, but if it’s good, the interests will be lower.

Debt consolidation helps you build up a good credit score. This is because it moves you away from the numerous monthly payments that you are prone to skipping or forgetting. You now have just one monthly payment to focus on. When you follow up all repayments on time, you get to improve your credit score. This may mean you have a brighter financial future.

With a good credit score, you can get a traditional bank loan with affordable interest rates. You have less to pay when it comes to loans in the future, thus saving you money. A debt consolidation loan is a great money saver for most people who know how to get the best out of it. Bad Credit Consolidation loans are also available with few lending institutions.

Easy Loans – No Installments Needed. Check It Out Now

Easy Loans

Easy Loans

A personal loan is class of loans that help you tide over a difficult period. Unexpected car repairs, failing heating and ventilation system or boosting your business. All these require urgent cash and an easy loan is a solution. In most instances, people face challenges when they least expect them.

If you do not have an emergency account, you can find yourself in an awkward situation. The easy money loans come in handy because it is available to you within a short period quickly.

Why Choose Easy Loans?

When you are unable to pay your bill on time or get your utilities, you will be worried and anxious. However, with easy loan sites, you will be able to access loans at competitive rates. There are many lenders in our network who will finance your loan. All you need is to meet their requirements. The requirements for lenders include:

  • A working checking account,
  • An active email address,
  • Proof of income or employment and
  • You are not active military personnel.

Once you have the requirements, you can fill out the simple form on the website and submit it.

Once you have submitted your information, our support team will link you to a lender. Your lender will evaluate your loan request, and you will have feedback very soon. Lenders usually use your current income, financial obligations, your repayment history and other features that he may deem necessary. If you fulfill their requirements, you will be given an amount that you qualify for. If you are happy with the amount, the money is deposited into your checking account.

Quick processing

In most cases, you may be in an emergency, and you need quick cash to deal with the situation. Whether you want to pay a medical bill or you need to make emergency repairs, easy loans online is a perfect solution for you. Your lender will quickly give you feedback if you qualify for a loan.

Bad Credit Is Not a Problem

With an easy loan, you can access it even if you have a poor credit score. If you have a less than stellar credit score, you should not be worried because you can still access the loan.

Easy loan request process

The loan request process has been made simple and straightforward to make it easy for borrowers to make an online request and for lenders to verify the information quickly. It will only take a few minutes to fill out the request form and submit it. You do not have to make any phone call or visit a brick and mortar store.

All you have to do is have an internet enable device and log in to the website. You are not required to pay any fees upfront. If you have any queries, you can ask the customer support team to guide you through the process.

Why choose a reliable lender

One of the important criteria when seeking a loan is to find a lender who will understand your situation and help you. We have a top-notch customer support team, and we will connect you to lenders who deal with your situation. Based on your ability to repay, your lender will give you a loan, and you should make a point of repaying the loan on time.

If you default the loan, this could lead to rollovers. In a loan rollover, your lender will use your previous loan and interest as a base to calculate the new loan. This will be expensive because you will be paying late repayment fees and other charges.

Build a rapport

Easy Loans

Easy Loans

Having a good relationship with your lender is vital because you will be able to access a loan whenever you need it. Your lender will give you an update on when you should repay the loan. Lenders have various plans that can accommodate your financial situation and you should go to a lender who will make your repayment process easy.

It is also important that you know the lending rules and regulation in your state. With such information, you can choose the right lender. You should repay the loan within the stipulated time. This will protect you from additional charges and fees.

In conclusion, when looking for easy loans, it is recommended that you take your time to evaluate different lenders, their terms and conditions, interest rates and the repayment period before choosing one.

 

Personal Loans – Best Personal Loan Deals For You

Personal Loans

Personal Loans

Many people across the United States get fluctuating income week in week out. The unsteady nature of the income of the population and emergencies can leave you in an awkward situation. However, one of the best personal loans will help you overcome the challenge as soon as possible.

Since most people have a lower credit score, they are unable to secure credit from traditional lending facilities such as banks and credit bureaus. If you do not have a funded emergency account, you could be in deep problems.

Conventional lenders use credit score as a measure of creditworthiness before giving a loan to a borrower. For many people maintain a good credit score can be a challenge because of their financial obligation or a previous financial mistake.

 

Credit Score and Best Personal Loan

 

There is a rise in online lending, and best low interest personal loans are gaining popularity across the United States. More and more people are using the loans to help them navigate through a difficult financial time. If you decided to take out a loan, you should consider all aspects first.

 

Online lenders vs. traditional banks

 

Personal Loans

Personal Loans

A common mistake that many people make is assuming that online lenders are similar to traditional lenders. In the past two decades, it was popular to borrow money from the conventional institution such as banks. Nowadays you do not have to visit a brick and mortar store to get a loan. All you need is to meet your lender’s requirements and request for the loan online. The process is shorter and easier for any eligible candidate to request a loan.

In a traditional setting, you have to communicate with your loan officer in case you have problems. However, for online lenders, it is rare to meet in person because all transactions are done online. The traditional banks will use your credit score as a tool for measuring your creditworthiness, while the online lenders will only consider your salary, expenditure, and ability to repay the loan.

 

Take Time to Calculate

 

When it comes to money, every penny is important, and the way you handle your money will determine how you will be in future. You can choose a loan type that is easy to repay and clears within a short period. The terms of the loans differ from one lender to another. However, you should make sure that you calculate your monthly payments if it is significant to your overall financial objective. If you decide to , you should choose a lender who will give you personal loans best rates. This way, you will not incur extra cost on a loan that you can complete within a short period.

 

Make Regular Payments

 

It is important to note that the rates of online best personal loans will differ from one state to another and from one lender to another. It is therefore recommended that whichever direction that you have chosen, you should make regular payments. Look at the interest rates carefully. This way, you can save a lot of money through wise decision making. A lower interest with longer repayment period does not mean you will pay less. Actually, you may end up paying more on interest.

 

Pay Attention to Your Credit Score

 

It is obvious that online lenders may be less stringent when it comes to credit score. However, it is essential that you keep a good credit score. Make payments within the agreed period and always check the credit bureaus if your information has been forwarded. If you can make payments regularly on time, your credit score will improve with time.

 

Professional Financial Guide

 

Personal Loans

Personal Loans

When looking for the best place to get a personal loan, you should go for companies that have a good reputation. This way, you will know what you are expecting. Moreover, they can guide you in ways that you can minimize your debt.

Your lender may ask you for additional documents to verify your ability to repay the loan. For example, you may be asked for a record of previous payment. If you were making payments on time, there is a high chance that your lender will give you the loan.

You may need money for various needs such as an unexpected bill, minor repairs, food items. No matter what your reason is, it is essential that you get services from a reliable and highly efficient company. Once you have submitted your request, you will get feedback as soon as your lender has verified the information.

If you qualify for a loan, you will have the money deposited into your checking account. The common requirements that you may be asked include a working checking account, a valid national identity card, proof of employment and a working email address. Take time to research the best company that you can get online to help you get loans at competitive rates.

 

Merchant cash advance: what it’s all about

Sometimes, your business may experience cash flow issues. It could be cash needed to pay your employees and suppliers, get new inventory or expand the business. As a business person, you want a fast solution, a way to pump money into your business quickly.

Time is money in this case and so every minute counts. Traditional loans may take a long time to process, especially if we are talking about a large sum of money. Background checks will be carried out, then they will check your credit score and ask for collateral for the loan. The process could be too long and complex. Thus, you will look for better solutions that are fast and convenient for your business and safe for yourself. This is where merchant cash advance comes in.

Merchant cash advance is a purchase of a fixed dollar amount of your business’ future credit card or debit card sales receivables. What’s a Merchant Cash Advance? Let’s break this down for better understanding.

What is a merchant cash advance

What is a merchant cash advance?

What is a merchant cash advance?

What is merchant cash advance? Merchant cash advance started long ago, but it was structured differently. It would involve a large sum of cash payments that would be done to a business by a merchant cash advance company, in exchange they would get an agreed upon percentage of future credit card or debit card sales.

This means that repayment would be done slowly. You have to realize that a merchant cash advance is not categorized as a loan.

Times have changed and now the merchant cash advances have been adjusted structurally to accommodate all sorts of business, big or small. Right now, the definition of a merchant cash advance is as follows: a merchant cash advance is an exchange of a specific amount of payment done to a business in exchange for future credit card and/or debit card sales.

The payments are done in small portions over a short period of time as specified between the business and merchant cash advance company. This description has helped to bring the diversification of the business that looks for this financial plan as an option for their business.

The structural concept

The structural concept

The structural concept

Merchant cash advances are about the exchange of future credit card sales and/or debit card for instant cash. Basically, the owner of the business gets the cash injection and then as the business makes money the company that bought the future sales gets back its money slowly.

Let’s see a simple example. A business decides to take out a merchant cash advance worth about $30000 in exchange for about $35000 future sales. As the business goes on making money, it has to pay between 10-25% of every credit card or debit card sale it makes to the lending company.

Payment is structured according to the agreement between the borrower and the lender. The business may decide to make a payment by the end of each business day. This means that calculations are done, and then the cut is made and sent to the merchant cash advance company.

However, some businesses have adopted the technologically advanced payment mode. This involves partnering with payment processors. Thus, payment is done automatically and a percentage of the daily sales is transferred automatically to the merchant advance company.

The fact that this financing option plan is not described and characterized as a loan means that the providers of this service disregard any laws and legislations imposed on loans everywhere, citing the reason that the laws do not touch their financial modification. This ultimately means that they can set interests up to anywhere they deem profitable enough for themselves. After all, there is very little in place to stop them.

However, they are quite reasonable as each deal they make all depends on the structure, sales and projection of a business. It’s all about what comes out of a business a certain time and how fast they will get their money. Instead of using the annual percentage rate to calculate interest, this plan uses specific business factor rates to calculate how much interest the company pays back.

Repayment options of merchant cash advance

Repayment options of merchant cash advance

Repayment options of merchant cash advance

This plan is mostly used by small business enterprises and companies that technically cannot qualify for a traditional loan. It is important to state that a merchant cash advance is always more expensive than getting a traditional bank loan. However, the business that uses like its convenience. The fact that the merchant cash advance company don’t go looking at the borrowing company’s credit score makes merchant cash advances even more attractive.

  When it comes to repayments, the merchant cash advance companies want to give their customers enough options to let them repay conveniently. The repaying options are:

  •         Slip withdrawal
  •         Lockbox
  •         ACH withholding

Slip withdrawal

This is the most popular way of repayment. Typically, this mode of repayment involves the automatic slip of sales. This means that if a credit card sale is made at the business which borrows the merchant cash advance, the payment is split such that 10-25% of the total sales go to the company while the rest remains in the business. The method is convenient for all types of businesses. Both parties get their money automatically with no conflicts or delays.

Lock box

This mode of repayment is also known as the trust bank account withholding. This entails the deposition of all sales made by the company into a bank account that is controlled by the cash merchant advance company. Then according to the agreed terms, the company sends the business’s portion of the sales through wire transfer into its deposit account. This option is the least preferred because it is prone to all sorts of delays.

ACH withholding

This mode is divided into two; it will either depend on if the agreement is “for sale” or “as loan”. As a sale, the company gets the credit card sales information and then deducts its portion for itself. When structured as a loan, the company will not regard if the business has made a sale. The company deducts a fixed amount of cash daily.

What Is An Unsecured Loan

What Is An Unsecured Personal Loan

An unsecured personal loan is an online payday loan  given without any collateral or asset tied to it. In the conventional lending system, the common type of loans that are advanced to borrowers is secured credit. Secured credit, as the term describes, is a type of credit where a borrower is required to offer collateral or an asset to back up the debt. In the event that the borrower defaults the loan, the lender will convert the collateral into cash and recover the money given to the borrower.

Unsecured debt is highly risky because there is no surety that the borrower will repay the debt within the stipulated time and this has forced this type of credit to have high-interest rates. When you do not pay the loan on time, it will accrue additional charges and penalties.

 An Unsecured Loan

What Is An Unsecured Loan

You can borrow unsecured credit for any purposes as long as you are on time with payments. It is important that you understand how these credit facilities work before you decide to use them.

Knowing the differences between secured and unsecured loan is vital as it helps you know what to look for in the market. Although Personal unsecured credit can be easy to access,  direct lenders have a method of recovering their debt mainly through wage garnishment and other options. Moreover, you may be forwarded to the credit bureaus, therefore complicating matters further.

Lenders in our network understand your financial and will guide you on a debt that will suit your needs. Personal credit space has increased over the years and more lenders are joining the market. This has become difficult to identify the perfect lenders to get loans from.

You will have many options when dealing with us. Because we understand the market, and what you need to do as a borrower to get the best deals in the market. The process of loan request is simple. All you have to do as a borrower is fill out a form on our website. Once you have filled the form and sent it to us, we will forward it to the right lender. Your lender will evaluate and give you a credit limit. If you are happy with the credit offer, then you can sign the required documents for the loan to be disbursed. There are important factors that you consider before you take out any loans. These include:

  • Do I need the loan?

Do I need the loan?

Do I need the loan?

This is the most important question that you need to ask yourself. Evaluate your situation first before taking out the loan. It will give you an idea of how you will repay the loan. Your lender may ask you several questions to establish your ability to repay the loan and if you have a poor credit history, this should not be a worry because lenders in our network do not consider credit history an issue. They will perform a soft credit check which is usually just to verify your documents.

 

  • What are the rates and terms of payment?

What are the rates and terms of payment?

What are the rates and terms of payment?

It is vital to note that when you are searching for credit, you should make a point to conduct thorough research. Never sign any documents or accept a loan when you have not fully understood the terms and conditions of the credit.

The most crucial aspects are interest rates, late payment fees and other extra charges that could be associated with the debt.

The annual percentage rate is a figure or an average rate of your loans. If it is higher, there is a chance you will pay a higher interest rate as well. Lenders will offer loans at different interest rates and it is vital that you understand these rates before you choose to take out a loan.

  • Alternatives

Alternatives

Alternatives

When looking for a personal credit, you should search through different providers in our network. Going through a number of lenders in our network will help you get the best loan interest in the market.

Perhaps it is imperative that you understand all the features of the loan before you decide to take it. Every lender has different rates. If your credit score is low, do not fret.

We will link you to lenders who will finance your credit. Moreover, you should have a sound financial plan because this will help you make a better financial choice. Understanding what led you to get into the debt will give you a chance to know what you will do in future to avoid a similar situation.

Choosing a lender can be tricky business for some people, especially if you do not know what to do or if this is your first time. Before you fill out the documents, it is important that you understand all the requirements from your lender.

This will guide you on what is expected of you. A short-term credit should serve as a way of helping you through a financial emergency and it should not be used as a long-term solution to your financial problems. One of the main benefits of the loan is that you can clear your debts quickly and embark on getting your finances back on track. Some of the features to look into include:

  • Fees – the fees that are associated with the credit will determine the period that you will repay your debt. You should analyze your situation and the fees charged to see if this is what you can afford. Some lenders will charge you late payment fees and you should be aware of them.
  • Loan term – many people assume that credit terms are similar. This is not true because a term represents the duration that you will be required to repay the loan. Moreover, this will determine the total amount that you will pay. When it comes to money, choose a term that you are comfortable with and you can repay the amount on time. This will help you avoid extra charges that could be added to the loan.
  • Signature loan – this is the type of credit that is advanced to you as personal unsecured credit because you will sign documents with the promise to repay the loan. Once you have signed the documents, you will be in a position to access the credit facility. You should go for credit that gives you affordable or competitive monthly installments. With this, you do not have to change your lifestyle. Lenders in our network will look at your income and current financial obligation and customize a loan for you.

What Are Payday Advance Loans?

Payday Advance Loans

What Are Payday Advance Loans?

What Are Payday Advance Loans?

A payday advance loans is an unsecured short-term loan of a small amount to help the borrower till he receives his next paycheck. The loan is designed to be repaid immediately when the borrower gets his next paycheck, typically in a few weeks time.

If you are looking for a way to pay off an emergency, a payday advance could be the right financial assistance for you.

Cash Advance Payday loans are different from conventional loans because they are of small amounts and the repayment period is short. The approval process is usually complete as soon as the lender assesses the borrower’s information.

Borrowers must submit all necessary information during the request process. Once the loan is approved, it is deposited into the checking account of the borrower where you can access the money immediately. However, if your request is made after business hours, the loan will be processed first thing the following morning.

Urgent financial obligations often leave many people in a difficult situation. A cash advance payday loan can be a solution. Conventional lending institutions use credit scores to assess the creditworthiness of a borrower. The major difference between payday loans and other conventional loans (such as consolidation or mortgage loan) is that the personal loan has a shorter repayment period and are of small amounts. A payday loan is classified as an unsecured loan. Unsecured loans are loans that do not require a pledge of an asset or collateral.

Payday loans are used as a bridge between your paychecks and it is vital that you seek the loan only in an emergency and not as a regular financial solution. Instant payday loans refer to loans that are approved as soon as the lender has verified all the information. Payday loans are different from bad credit installment loans in that the payday loan acts as a bridge between your paychecks while installment loans refer to a huge loan where repayments are spread over several months or years.

Can You Get Payday Loans With Bad Credit?

get a payday loan even with a bad credit score

get a payday loan even with a bad credit score

The good news for people with bad credit is that you can get a payday loan even with a bad credit score. The lender will evaluate your ability to afford the loan and not just your credit score.

Every state has different rules and regulations governing payday loans. Lenders have different interest rates based on regulations. You should assess your financial situation and look for a payday loan company that will give you the best rate. A

s a borrower, you should ask as many questions as possible and get the customer support team to help you understand every aspect of the loan. In addition, read the loan contract carefully before signing it.

The mode of requesting a payday advance loan online is simple. With online lenders, you can do your own research and choose a lender who will give you an interest rate that works for you. There are a few requirements which you need to fulfill.

As a borrower, you should have a valid national identity card and an active checking account. Once your loan is approved, you will have the loan money deposited into your account.

Payday advance loans online have been made easier and borrowers can access the loans quickly without having to deal with too much paperwork. Payday loans interest rates vary from one lender to another and you should conduct thorough research to get a lender with the most reasonable interest rate.

Not all payday loans lenders have similar terms and conditions. You should read and understand all the information when requesting a loan.

Many borrowers fail to read the terms and conditions of the loan thoroughly. When this happens, unscrupulous lenders have hidden fees and charges which are then passed on to the consumer. You will end up paying more for the loan. Financial experts recommend that you stay on top of your finances and repay loans on time.

Moreover, timely payments improve your credit history and could help you get loans with more favorable interest rates in the future. When you pay your loans on time, you can avoid extra charges and unexpected interest rates.

Criteria for Choosing a Payday Lender

Criteria for Choosing a Payday Lender

Criteria for Choosing a Payday Lender

Choosing the right payday lender is vital because this will determine the type of company you will deal with during the request and repayment process. It is imperative that you conduct thorough research on different companies before you choose a reputable one to work with. You may use the following parameters when assessing payday lenders:

Interest rate

You should know the current interest rates, late penalty fees and other extra charges that your loan can accrue. The interest rate should be in tandem with the requirements of the state and do not exploit the borrower.

Go For Direct Lenders

When it comes to payday loans, you should always consider the security of your financial information. Financial experts recommend that you choose a direct lender instead of using broker services. Brokers have been known to sell your financial and personal information to the highest bidder. Once your financial information is sold to the highest bidder, the lender will then give you the loan with brokerage fees included. Avoid extra costs by choosing a direct lender.

Website Security

It is imperative to make sure that the lender’s website is top notch. It should be managed by quality data encryption services which protect the safety and security of the borrower’s information. If you get a green lock on the website, it means that it is secure to process your loan using the provider. Choosing the right lender is crucial in any loan request because the payday loans are usually only given for a two-week period. Loan roll overs occur when you fail to repay the loan on time.

How Do I Know If Payday Advance Loans Work For Me?

Working out the type of loan that is perfect for you can be a daunting task. Payday advance loans are meant to help you till your next paycheck. In most cases, it is used as an emergency loan. Payday loans are beneficial when you need money straight away and when you know you can repay the loan on time.

Most lenders do not carry out stringent credit checks during a loan request process. However, they carry out a minor credit check to verify your information. As long as you can provide proof of recurrent income, you should be able to get the loan. It virtually is a no credit check payday loan

Payday loans do not affect your credit score because it is rare that the lender will send your repayment history to the credit bureaus. However, when you default the loan and the lender has tried all options to contact you in vain, they will sell the loan to debt collection agencies. The debt collections will then report you to the bureaus if you continue to fail to repay.