Payday loans are an essential way to get quick cash when you experience an emergency issue like a sudden medical bill, auto repair, or other critical expenses that you must handle right away.
If you are looking for a fast payday loan solution, then one of the best options is an online loan service that can connect you to a large number of lenders. You only request once, but lenders compete for your business. There is no guarantee you will be offered a loan, but most applicants, more than 80%, are accepted even if they have bad credit.
If your loan request is approved by a lender and you have agreed to the terms and conditions of the loan, the lender quickly processes your loan and sends the money. Then, the process in the hands of your personal bank.
The majority of banks support fast payments. That means that you will likely receive your cash right away. This means in one (1) business day. Business days exclude holidays and weekends.
If your bank account does not support fast payments, you could wait for 1- 3 days for the loan to be in your account. Larger banks process quickly, but some local banks are slower. Ask your lender if you accept a loan offer if they have information about your bank and how fast it processes payday loans.
As you have already seen, the speed of getting a payday loan can vary based on a number of factors. Bank processing has already been discussed. One warning: many online lenders refer to “instant” payday loans. Instant loans are not possible. So, do not be fooled by these types of offers.
It is possible to get a cash advance loan the same day you request, however, it requires you request early in the day, your bank is a fast processor, and your lender can also process super-fast. It also requires that all the information you provide on your loan request is completely accurate and verifiable.
The lending process can take longer if your lender, all of whom use computer algorithms to assess your loan request, finds an issue or discrepancy and needs to get more information directly from you.
Using an online loan service can save you hours of your time. Driving around to loan storefronts wastes gas and lowers your odds of loan approval. It is faster and easier to request a payday loan online.
You complete your simple loan request form, and lenders compete for your business.
All lenders must be licensed to do business in your state. There are states that do not allow payday loans or have specific regulations about payday loans. Check your state website to learn more. Every state regulates payday loans differently.
The most important way to reduce the wait for your payday loan request is to be fully accurate when completing the loan request form. Inaccurate information is the number one cause of loan processing delays.
You may not do this intentionally but take a couple of minutes to be sure all information you provide is as accurate as possible. Do not be surprised if a lender asks for additional information or to clarify the provided information.
Payday loans are fee-based loans. This means you pay a fee per $100 loaned e.g., $15 per $100. Fees and all costs associated with payday loans are regulated by each state individually. There is a wide variation in the costs as a result. Check your state’s website as each state provides the details of the lending laws that would apply to you.
For those states that allow payday loans, the fees generally range between $15-$30 per hundred dollars loaned, and most require repayment within 30 days. There are exceptions, and some states allow extensions and more than 1 loan.
Payday loans are a fast and easy way to get cash (typically $500 or less). However, they have high fees and fast repayment periods, so never request a payday loan as your first choice. Make sure you have exhausted less expensive options before requesting and never accept a loan offer if you are not confident you can pay it back when scheduled to do so. The additional fees can add up fast and increase your financial burden.