Cash advance loans, otherwise known as payday loans have really become popular in recent times. Although most of the time people that are on a fixed income seem to use this particular type of loan, they are available to everyone. The reason why they are so popular among those that do not have additional money is because they tend to run into financial crunches from time to time and need a helping hand. It's difficult to turn any quarter without seeing advertisements for companies that offer you this quick cash that is available just by signing your name.
In recent years, there has been an inundation of companies that offer this particular service in the United States. The reason that this is the case is because many business people see it as an easy return on the money that they lend out on a short-term loan. Another reason why they may like it is because it really requires no overhead, other than cash on hand, and you can start one of these businesses relatively easily. Something good that has come out of so many people competing in this particular field is that it has gotten to where there is some competition and rates have come down to a certain extent. The Internet has also played a big part in these companies who are trying to get ahead and taking advantage of any avenue of making their company succeed.
What makes a no fax payday loan different?
In order to enter into a contract, the law requires that you are at least 18 years old unless you have a cosigner that is at least that age. That is the first step in applying for a payday loan, giving proof of your age by showing a legal document of some sort. Another thing that you are going to need to prove is that you have been able to hold onto a job for a minimum of three months and that you meet other minimum requirements, such as the amount of income that you make. Typically, showing proof of your income is as easy as giving them a pay stub. One other thing that you're going to need to have is a checking account that is active and does not have any bad marks against it, such a bounced checks. You also need to have lived in the same place for a minimum of three months.
The reason that a no fax payday loan is different is because you are not required to fax in these various forms in order to prove that you meet the minimum qualifications. This is typically taken care of by the payday loan company by calling the various companies, such as your employer and the bank to confirm that you actually do meet the requirements that they set forth. This can really make it a lot more convenient to use this particular type of service because you do not have to worry about gathering all the paperwork together at one time and taking it into the lending office as proof.
How is it possible for me to receive a no fax payday loan?
One of the easiest ways to get a no fax payday loan is by using one of the companies that are available on the Internet. It's not that difficult to find them, they are heavily listed in Google and available just for doing a web search.
What is the cost if I were to take a cash advance with one of these companies?
Keep in mind, these businesses are in the market to make money and they do a very good job of that. They do give a service to people that need to get some cash in advance but they do expect to collect a heavy toll for doing so. Typically, one of these payday advances last for about two weeks in which time they will want the money back. Not only do they ask for the original money back but they also ask for $25 for every $100 that you borrow. Of course, this is just a round figure but it is pretty common for this type of price to be paid on a payday loan. A typical payday loan is $500 which means that the individual that borrows that amount of money will end up paying $650 back to the company.
You are protected to a certain extent by something that is known as the truth in lending act that was put into process in 1968. According to this act, any financial institution that lends you money must disclose how much they are going to charge you in interest on an annual basis. This is typically known as APR or annual percentage rate. This will help you to see how much you are going to be putting out by taking them up on their offer to lend you money in advance.
It always pays to be smart whenever you are taking out one of these payday advances. This is particularly the case because if you take out too much money and are unable to pay it back you will end up spending a good chunk out of each of your next paychecks just to get caught up. Be careful of the finance rates that they charge and be smart, only borrow what you need or out you may get caught up in a web that you're unable to get out of.
