How Fast Cash Loans Make Life Easier

Sometimes financial emergencies can make it almost impossible to make ends meet. Whether it’s a car accident, a lost job, or a medical emergency, when unexpected events occur, they almost always hit the wallet hard. In such cases, people need a fast cash loan today just to get through to the next paycheck. Luckily, there are plenty of loan options available with no credit checks, easy qualifying, and instant approval.

Different Types of Loans

Though they all offer cash fast, loans online can come in many different forms. There are short term small loans drawn against the expectation of the next paycheck, cash advance loans for very small amounts, and installment loans that provide access to large amounts of cash and offer extended payback periods. The key for borrowers is in identifying which loan is right for their particular situation. They should consider the size of the loan, how soon they might be able to pay back the full amount, the interest rates that apply, and any fees that might impact the final amount.

Fast Cash Loan for Bad Credit

Borrowers should also consider whether they have sufficient credit, collateral, or employment to justify the loan. If borrowers have strong enough credit, they can easily shop around for great rates and much bigger loan amounts with local banks or credit unions. Unfortunately, most people who need fast cash loans now, have less than optimal credit scores. Thankfully, with many online lenders, proof of citizenship and employment is enough to get a fast cash loan no credit check required. These loans rarely go up above $1500, but even that small amount can be enough to get through a few weeks to the next paycheck.

Stopgap Solution

It is important that borrowers remember that these loans are only a stopgap solution. Almost all instant loans must be paid back in full in under a month. If borrowers don’t have the funds, they may have the option to roll the amount over to another month, or even apply for more money, but this can lead to an addictive spiral of lending. Individuals who borrow money to pay back their loans can find themselves stuck in an endless cycle, tacking on more and more fees, and making it impossible to ever get solvent. Instant loans should only be used if borrowers are sure they can pay off the full amount in the allotted amount of time and with enough money left over to avoid repeating the situation.

Getting a fast cash payday loan online can make life a whole lot easier. By addressing immediate financial concerns and avoiding costly and time consuming credit checks, borrowers can meet their obligations and get on with the business of living. However, it can be all too easy to fall prey to a borrowing cycle. Borrowers should always make sure they can pay off any and all debt they take on. Otherwise, the occasional financial emergencies can become all too common.

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Testimonials View All
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“When I missed a week of work to attend a funeral in another state, I thought for sure my utilities would be turned off. Thanks to PickTheLoan.com, they stayed on and I was able to repay the loan with ease.“
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“Owing money to friends and family is never pleasant. PickTheLoan.com allows you to get the cash you need quickly and without any embarrassment at all—within 24 hours of filling out an application.“
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“Every time I need cash in a flash, I know just where to turn. PickTheLoan.com makes sure to provide me with the most competitive rates possible each and every time I need a short term loan.“
Implications of Late Payment

The lenders within our network have several options available to them if you do not pay your loan on time. Typically, this involves additional charges in the form of interest and finance fees. You can find information about this on your lender’s website, and you should review this information carefully before signing any agreement.

Implications of Non-Payment
  • Financial Implications – If you do not pay off your loan before the scheduled date, you will likely be subjected to additional charges that vary from $15 to $40 for every $100 borrowed. Additional fees may include an average fee of $20 for non-sufficient funds as well as an additional 10% of the principle balance if the loan is more than 15 days past due. Loans of more than $500 may have even higher charges associated with them.
  • Collection Practices – While most our lenders will typically not sue you for the amount owed, nor will they sell your debt to outside collection agencies, they will contact you via email, telephone and even text message in an attempt to collect the money that is due. They must adhere to the guidelines set forth by the Fair Debt Collection Practices Act. These guidelines can be found on the FTC’s website at http://www.ftc.gov/os/statutes/fdcpa/fdcpact.shtm.
  • Impact on Credit Score – Lenders may also report your failure to repay your loan to one or more of the major credit reporting bureaus. This can have a lasting negative impact on your overall credit rating which will not be removed until the loan has been paid in its entirety.
  • Renewal Policy – Some lenders will set you up with automatic loan renewals at the outset of your agreement. This means that any loan that is not repaid on the scheduled date will be renewed with additional interest and fees. The minimum renewal term is 15 days, and you can find out whether or not your lender participates in this practice by visiting its website. Other options that may be available to you include the ability to repay your loan in full or make payments on the principle balance.
Disclosure of Fees Including the APR

The acronym APR stands for Annual Percentage Rate and it refers to the percentage of the loan that would be charged in the form of interest over the course of an entire year. Typically, the APR associated with short term loans varies and is between 260% and 1825%. Though this is higher than other forms of consumer credit, it is still less expensive than the fees associated with overdrawn bank accounts and bounced checks.

APR Comparison Table

How does the APR of a small dollar loan compare to the consequences of being unable to obtain a small dollar loan?

Consider the cost of a $100 extension of credit for 2 days:

Product Type (single repayment) Charge APR
NSF + Bounced Check $45.00 8,212.50%
Overdraft Fee $30.00 5,475.00%
Late Fee $20.00 3,650.00%

How does the APR for a single payment small dollar loan compare to other options?

Compare your options for the cost of $100 extension of credit for 14 days:

Product Type (single repayment) Charge APR
NSF + Bounced Check $45.00 1,173.21%
Overdraft Fee $30.00 782.14%
Late Fee $20.00 521.43%
Small Dollar Loan $10.00 260.71%

APR Calculations

$100.00 Amount Financed, $120.00 Repaid 2 days after the borrowing

Interest earned on last day but not the first, so 2 days earning: Per Diem uncompounded Interest = 3,650.00% per 365 day year = APR

$100.00 Amount Financed, $130.00 Repaid 2 days after the borrowing

Interest earned on last day but not the first, so 2 days earning: Per Diem uncompounded Interest = 5,475.00% per 365 day year = APR

$100.00 Amount Financed, $145.00 Repaid 2 days after the borrowing

Interest earned on last day but not the first, so 2 days earning: Per Diem uncompounded Interest = 8,212.50% per 365 day year = APR

$100.00 Amount Financed, $110.00 Repaid 7 days after the borrowing

Interest earned on last day but not the first, so 7 days earning: Per Diem uncompounded Interest = 521.43% per 365 day year = APR

$100.00 Amount Financed, $110.00 Repaid 14 days after the borrowing

Interest earned on last day but not the first, so 14 days earning: Per Diem uncompounded Interest = 260.71% per 365 day year = APR

$100.00 Amount Financed, $120.00 Repaid 7 days after the borrowing

Interest earned on last day but not the first, so 7 days earning: Per Diem uncompounded Interest = 1,042.86% per 365 day year = APR

$100.00 Amount Financed, $120.00 Repaid 14 days after the borrowing

Interest earned on last day but not the first, so 14 days earning: Per Diem uncompounded Interest = 521.43% per 365 day year = APR

$100.00 Amount Financed, $130.00 Repaid 7 days after the borrowing

Interest earned on last day but not the first, so 7 days earning: Per Diem uncompounded Interest = 1,564.29% per 365 day year = APR

$100.00 Amount Financed, $130.00 Repaid 14 days after the borrowing

Interest earned on last day but not the first, so 14 days earning: Per Diem uncompounded Interest = 782.14% per 365 day year = APR

$100.00 Amount Financed, $135.00 Repaid 7 days after the borrowing

Interest earned on last day but not the first, so 7 days earning: Per Diem uncompounded Interest = 1,825.00% per 365 day year = APR

$100.00 Amount Financed, $135.00 Repaid 14 days after the borrowing

Interest earned on last day but not the first, so 14 days earning: Per Diem uncompounded Interest = 912.50% per 365 day year = APR

$100.00 Amount Financed, $145.00 Repaid 14 days after the borrowing

Interest earned on last day but not the first, so 14 days earning: Per Diem uncompounded Interest = 1,173.21% per 365 day year = APR