Payday Loans: 4 Simple Pros And Cons

Payday loans, also called payday advances, are small short-term loan facilities offered by various short term loaneasy loans for bad credit providers.

Like any other financial choice, there are both pros and cons of payday loans in these times. They are usually advertised as very convenient and fast short term loans, with the accompanying claims of low interest rates.

In these times however, when we need cash more quickly than our creditors or friends or family members are prepared to give us, payday loans can be a risky business.

They are not always convenient and can sometimes come back to bite us in the end.

Loan Repayment and Having a Good Credit Score

Payday loans, like any other loan, have pros and cons. Like any other loan, they allow the extension of credit but also requires repayment of the borrowed amount within a specified period. The period of time is usually between one week and two weeks, although this is not always the case, depending on the individual situation.

We all know how difficult it is to get a small amount of cash if you urgently need money to cater for the unforeseen needs of your family or yourself.

A good credit score can go a long way towards securing the funds you need, especially if you are looking to use it to pay for emergencies.

When it comes to emergencies such as car troubles, medical bills, or home repair, having a good credit score is certainly a big help. However, the next loan may not be so easily available if you have bad or no credit.

This does not mean, however, that you should build credit problems and use this money to pay for unexpected expenses.

Payday loans were designed to provide fast cash between paychecks. The problem occurs when borrowers fall behind and do not repay their loans on time. The consequences of defaulting can be very serious, including foreclosure and bankruptcy.

The only solution then is to contact an accredited financial counselor in your area who can assist you to get out from under the debt.

Secured Loans VS Unsecured Loans

When you want to borrow money to help you with unexpected expenses, it is important to know how much you will be able to borrow before you agree to a payday loan.

Generally, loans come in two forms: secured and unsecured.

Secured loans require collateral in the form of an asset (like a vehicle or electronics) that will be taken if you default on the loan.

Unsecured loans require no collateral but are subject to a higher interest rate since the lenders risk more if they fail to get back the principal amount owed on a timely basis.

Borrowers interested in unsecured types of loans should keep in mind what their options are if they find themselves unable to repay the loan by its due date.

Unsecured types of personal loans do not require any collateral to back up the borrower. This makes them more risky for lenders but increases their chances of having to return principal in the event that borrowers fail to meet repayment deadlines.

Some borrowers prefer these loans because they typically have shorter repayment terms and more flexible repayment options; however, they also have some of the pros and cons of this type of borrowing quite prominently displayed.

These loans can be quite attractive if borrowers have good credit; however, their rates and terms tend to be a lot more aggressive compared to secured loans.

How to Obtain Payday Loans Through a Bank Account

Payday advance repayments are conducted through electronic transfers from the borrower’s bank account to a designated company. Upon approval of the requested funds, the company then debits the bank account and withdraws the funds from the borrowers’ account.

The borrowers only need to have a checking or savings account in order to obtain such a loan.payday loan

Because the borrowers do not have to provide any collateral for borrowing, they are subject to the same risks as those who use traditional loans (including possible credit card overdrafts and possible late payments that will reflect on their credit report).

Do Payday Advances Need Collateral?

Payday advance companies do not typically require borrowers to provide any collateral to secure the loan, so these types of transactions are a lot riskier for the lender than traditional loans.

However, if borrowers make repeated defaulting payments, the lender may suspend or penalize them based on their past history of late or missed payments.

Since they are given such flexibility and convenience like traditional loans, payday loans offer borrowers a good alternative to people with bad credit and people who lack the good credit score or history necessary for securing a traditional loan. However, they must be carefully managed.

What Happens If You Have Unpaid Payday Loans In Texas? 5 Important Points

Can you go to jail for unpaid payday loans

In Trouble For Unpaid Payday Loans?

In the state of Texas, are you able to go to jail for unpaid payday loans?

A recent article I read talked about whether or not you can be sued for not paying your payday loan.

This is a very common question in the state of Texas.

You have probably already asked yourself this question if you have ever had a problem with paying back a loan on time. I’ll talk about some interesting answers to that question.

State Laws for Unpaid Debt

You can be held in jail for unpaid debt. If the creditor has gone to court to get money from you, and you still haven’t paid, then you can be held in jail.

It really depends on the state where you live. Some states have very restrictive rules on how long you will be held in jail. Other states have no rules at all on this whatsoever.

The amount of time in jail varies. It depends on the creditor, and the state where you live. For an unpaid payday loan, the creditor may go to jail for up to six months, though it varies from state to state.

In some states, they may not even issue the loans in the first place if you cannot pay them back. You may have to appear in court, and your case may be sent to a bankruptcy court.

In some states, they may only issue citations. They may not issue you tickets. And you may not have to pay them at all. Many people think that this means their licenses will be suspended, but this is not necessarily the case.

Payday Loans and Legal Action

Most people who take out payday loans do end up having to pay these back.

Some people have been threatened with legal action if they don’t pay their loans back on time. Others have received death threats.

In most cases, if you have been threatened, you are probably not going to jail for not paying back this loan.

Unpaid State Tax Bill VS. Unpaid Payday Loans

Many people worry about people getting jail time for not paying their bills. But other states, including Texas, actually have specific laws about this.

They have taken the position that people who take out money under false pretenses should pay back those loans, even if they are ultimately unable to pay them back. In many cases, these bills are a great burden on already struggling families.

There is a big difference between an unpaid state tax bill and an unpaid payday loan. If you owed one, you probably could have used a tax lien. And in some states, the attorney general can take your license away for defaulting on a payment.

If you cannot pay an unpaid state tax bill, you should seek immediate legal relief. An unpaid utility bill, rent, or mortgage payment is not quite as serious of an infraction as a payday loan, although it is still a burden that should be cleared.

What is an unpaid loan?

The only time a loan can go unpaid is when the borrower does not appear at all.

Even then, there are several options available to you. You can report the lender to the IRS, which will issue a tax lien against your home. You can file for bankruptcy, and the court can order collectors to take your property.

All in all, there are very few reasons to go unpaid when you are in need of extra cash.

But still, can you go to jail for unpaid payday loans?

Here are some possible ways that your assets might be taken by the bank or the government:

unpaid payday loansFirst, you may have heard of asset protection and how it can protect your assets in the event of a divorce or other legal proceeding.

This type of planning can involve arranging your paycheck to give you enough money to survive until your next check. Some people go this route with their payday loans, but some do not.

But no matter what route you take, planning to go through a difficult financial time without extra income can only result in problems down the road.

Finally, some people think that they cannot be prosecuted for unpaid payday loans, since they never took the money out of their bank account.

The truth is that just because someone does not physically possess the money does not mean they did not commit an illegal act. Any time someone takes an illegal action, the government has every right to go after their assets.

The question is can you go to jail for unpaid payday loans? Only you and the bank can decide.

Quick Cash Loans: 4 Pros and Cons

quick cash loans can be hazardous to your financial health

Quick cash loans are rapidly becoming popular among Australian borrowers these days. Ranging from just a $100 to over $4000 AUD loan size, cash loans are sometimes approved without the necessity of a comprehensive credit check.

This means that in the majority of cases, you will be approved for the loan and will be able to access the money straight away. However, some will not be approved for these because of their bad credit history. In the end though, quick cash loans are a great solution for a quick fix.

quick cash loans

When you are looking to secure a fast online loan, it is important to understand the disadvantages that may apply. Like most types of secured loans, there will be consequences if you do not have a very good credit score.

Lenders may think that your lack of credit history means you are a risky investment. This may result in a higher interest rate than you would get with another type of lender.

Con: The Fine Print of Quick Cash Loans

You should make sure that you are aware of the risks involved when you are borrowing from an online lending institution. In addition to the risk of rejection, you should also be aware that a lot of these lending institutions are offshore.

Therefore, if you have an issue with paying back the money you take out, then the lender overseas may decide to take legal action against you.

You need to read the terms and conditions carefully so that you know what to do in the event that a lawsuit is filed against you.

Pro: Different Loan Options

In order to find the best interest rates for loans, you will have to ensure that you are comparing apples to apples. This means that you need to make sure that you are comparing the same things. For example, consider at the same time several loans’ interest rates, the amount of time it takes to repay the loan and their repayment dates.

In order to make your comparison more meaningful, you should ensure that you have an income statement to see what your monthly income is.

It is also important to compare the amount that you are being charged for among the quick cash loans. The rates that you are being quoted upon are generally based on the amount that you borrow, and not on the total that you would borrow if you have a better paying job or more money in your bank account, right away.

You should only borrow the amount you can afford to pay back so that you don’t put yourself into a worse financial situation than you are trying to get out of.

To expand your choices and options, take a look at the different kinds of loans that you can avail.

Con: Dependent on Credit Rating

There are some disadvantages of quick cash loans that should come to your awareness.

One disadvantage is that they are only available to people with good credit ratings. Having a low credit score can put you on the lower ground when it comes to getting funding options.

If you happen to have a bad credit rating, you may find it quite difficult to get a funding option from a bank or private lender. You may also find it very difficult to qualify for government programs such as Medicaid or Medicare supplement insurance that are based on your credit score.

The worst case scenario is that you will be charged exorbitant fees, and may even wind up with the need to have your credit rating improved in order to qualify for future funding options.

Here’s a handy guide by Canstar about the meaning and the scale of Australian credit scores.

If you have a bad credit rating, read our article on cash loans for those with poor credit scores.

Pro: Quick Money for Personal Emergencies

One of the major advantages of using this type of personal loan is that they allow you to cover an emergency in your life. These types of emergency loans are perfect for students who need immediate cash during school breaks and other college related expenses. College can be a very stressful time and sometimes it is just not possible to budget a budget.

Another advantage of quick cash loans is that they can take care of unexpected medical emergencies as well. In the event of a car accident or an emergency, such as a broken bone or illness, you will want to be able to get your hands on emergency funding options.

If you co-sign with another person on these loans, the funding options will be much better for both of you. This will give you the most options and hopefully, the least financial stress possible.

Should you want to explore other readings about this topic, here is an article by RateCity on the personal loan statistics of Australians.

You should also take the time to compare the advantages and disadvantages of taking a personal loan versus a credit card loan.

Quick And Easy Loans: 2 Types And How To Get Them

quick and easy loans

Quick and easy loans, where to get them?

Nowadays, it is possible to get a loan almost instantly, very easily and without paperwork. 

With the entry of financial entities that operate 100% online into the financial sector, the procedures to request a loan have been streamlined and simplified to the maximum. In addition, any traditional bank currently has its online banking and/or mobile app where its customers can easily operate.

With these, we are going to indicate the 2 types of quick and easy loans that can be acquired online along with their characteristics and how to apply for them.

quick and easy loans

There are two types of fast credits that we describe below:

Pre-granted loans (through financial entities)

They are so called because it is your bank that offers us this type of credit , generally through advertising or messages on its website. It depends on the bank, but the normal thing is that we can obtain a credit that ranges between $5,000 and $30,000.

The requirements that they are going to ask you in order to get approved for a pre-granted loan are quite logical and easy to fulfill. Obviously, what they are going to look at is that you have good financial health.

The first thing they will take into account is that you have been linked with them for some time, that is, fidelity. You need to have an undisclosed credit history and availability of liquidity. In addition, the fact of having direct debit payroll and receipts, contracted cards, etc. will also add up.

Thus, without the need to go to our usual bank, without tedious bureaucratic procedures and without having to return to the entity to present that missing document, you will have your loan ready.

You just have to fill out an online form to have immediate access to the requested financing. It will take but a few minutes and you will have the money available in a matter of hours.

Mini credits and fast credits (offered by private companies)

Facing an extra expense or financing a trip are some examples of what these types of instant loans are used for. Here we are going to make a small distinction:

With the mini credits, we can ask for between $300 and no more than $1,000. We can choose the time in which to return it, but it does not usually exceed 30 days. Keep in mind that it is normal for them to include daily interest.

The fast loans allow us to obtain amounts of up to $5,000. Usually, the interests are somewhat higher than those of conventional banking.

In both cases, the dynamics is the same as with pre-granted loans. That is, you can request it via the Internet and your money will be available in a matter of hours.

Increase Savings And Cut Expenses With 4 Easy and Effective Ways

increase savings

Crafting the real difference

increase savingsIs the key to saving for your own home deposit as easy as putting a stop to smashed avo toast in the morning? Well not quite, although spending less can make a difference.

As well as creating a financial budget, a money savings plan and techniques and strategies similar to a high-interest savings bank account, a good way to increase savings is generally to reduce or cut expenses so we can squirrel those funds away.

No Pain, No Gain: Be Aware Of Your Spending Budget

It is typically not difficult to lose tabs on just how you are spending your money, this is especially true as a result of cash-less payments as well as cards that could all to easily mess up anyone’s best intentions.

Several internet banking applications normally include devices to enable categorising debits and help make a spending budget—make use of them. Or maybe download an app that can help you to create a record of your own personal expenses on the run, much like ASIC’s TrackMySPEND.

Use Your Peripheral Vision—Uncover And Increase Savings Inside Of The Necessities

Certain outgoings can’t be sidestepped. Nonetheless, some day-to-day frivolous expenses could possibly be reduced. As an illustration you could:Street sign indicating spend and save in two different directions

• Discuss moving back home, or possibly relocate in to a less costly property or share house. Short-term pain can pay off handsomely in the long run.

• Apply tactics like menu planning, creating grocery checklists and buying in bulk to economize on your food and cut expenses. Set aside a spending plan for dining out and abide by it.

• Do your homework to reduce your common bills—you might get much better value should you switch, or notify ongoing services you are going to switch. Look for discount rates for obtaining two or more insurance covers with one insurance carrier. It does take a smart individual to make money and an even smarter one to hold on to it

• Use your car less: grab public transport, car-pool with co-workers, or have a shot at walking or alternatively bicycling. You will be surprised at how swiftly it all adds up to increase savings.

Make certain you are paying down financial obligations or bank plastic fully every month or if you can, to counteract the additional cost of paying for monthly interest.

Another area where large savings can be obtained is if you have a home loan. Banks are not forthcoming in offering you the best interest rate they may have available. It can be a wise move to seek out an expert home loan broker who can quickly tell you if you are paying too much.

Stopping Overspending (Especially During The Holidays!)

Scrabble tokens spelling out smart spendingIf you shell out excessively on things like buying apparel, night life or pricy hobbies and interests, it may be impractical to cut expenses totally. Establish a weekly or possibly month-to-month limit and reduce that limit as time goes by.

A recent survey of over 1,000 Australians indicated that 73% have a problem with stopping overspending. For example, people today have a tendency to get a little obsessive as soon as the holiday season rolls around.

To help reduce gift expenditures, mimic Santa: have a list together with a tight spending budget. Procure only planned things that are part of your specific monetary budget—after that, stop!

Be sure to ask your loved ones for help and support; it’s far easier to put a cap on holiday gift values if everybody else absolutely does likewise.

A second typical manner in which Aussies spend over their limits is on holidays.

Research from the Commonwealth Bank of Australia has revealed that a third of holidaymakers shelled out a lot more on their get-away than planned. Do some research as well as set a day-to-day spending budget.

Cut Expenses That Are Unnecessary

Try to find the opportunity to eliminate specific expenses. Terminate seldom used services. Update your internet or mobile coverage if you are constantly spending on excess data.

Look carefully to see: are you seriously generating use of that fitness center membership? Do you think you’re getting the best value from your subscriptions? Do not forget, every last burned dollar is dough you could be plowing back into your own house.

Quick Cash Loans For Bad Credit: 3 Reasons To Consider Them

quick cash loans for bad credit

quick cash loans for bad creditQuick cash loans for bad credit can help you

Cash advance loans can supply you with some money within the minimum possible time. The fact is, with these kinds of lending products, you may enjoy super fast acceptance and instant processing of one’s loan request.

These financing options take care of money requirements of each and every borrower category; thus, those who are looking at rejection because of the terrible credit standing may well obtain some fast cash through quick cash loans for bad credit.

A simple application process with no credit check

In the event your credit rating statement includes individual bankruptcy or foreclosure, then you definitely still can obtain the needed amount of the loan via a bad credit payday loan.

Because these loans are suitable for bad credit borrowers, loan creditors never perform any credit checks to accept the financial loan.

If you’re currently employed and in need of emergency cash, then these loans ,specifically for bad credit, satisfies your unexpected emergency expense requirements without causing any further delay.

Payday loans could be utilized for any objective

Individuals, who utilize a credit card to fulfill emergency cash necessities, could find these personal loans really expensive, as these lending options charge much higher interest rate than bank cards. Because there is no hassle with regards to the way you are intending to use the personal loan money. Thus, you might use payday loans in paying back your due bills, any short-term debts, or anything else you’d like.

Use the internet to get the best loan deal

If you’re going to get a bad credit online payday loan for the first-time, then carefully review all available financial loan deals in the market. It is wise to compare plans to be sure that you’re getting the most suitable loan deal you possibly can.

If you are fighting to obtain the required funds to take care of your urgent cash requirements, then you should try applying for a bad credit cash advance loan to obtain cash within minutes.

Bottom-line of cash advance loans

Cash advance loans can provide some funds within the very least possible time period; the truth is, using these loans, you can experience fast approval and quick processing of the financial loan request.

These loans cover funds requirements of every borrower group; therefore, people who are experiencing rejection because of the bad credit score could also receive some fast cash through cash advance loans.

If the credit history statement includes individual bankruptcy or foreclosure, you then still can easily have the desired loan by means of the options as stated above. As these personal loans are for poor credit borrowers, loan companies will not look at the credit score to accept the financing.

Persons who make use of a charge card to meet emergency situation financial requirements could find payday loans high-priced, as these financial loans demand higher interest rates than credit cards.

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