Finding Cheap Bad Credit Loans
14 Jun 2012 | No Comments | posted by cash-fast.net | in Articles
Where to find a cheap bad credit loan:
There are many venues for obtaining bad credit loans or payday loans as they are also known as. Credit Unions, banks, pawn brokers and money lenders are but a few. Many can be found online where the process is made extremely simple and very quick. The key is to do your homework and find the best loan at the best interest rate that suits your circumstance.
Avenues for a Bad Credit Loan:
Have a look around and weigh up the pros and cons. Some venues will be difficult to deal with and some will be easy. Some will be fairly cheap and some expensive however, this form of unsecured loan is high risk to the lender. Therefore a higher interest rate is unavoidable.
Credit unions:
There are some credit unions who provide unsecured payday type loans. They will be hard to find and their regulations will be more strict than most lenders. While their interest rates, in general, will be lower than banks, they will still be much dearer than lenders who deal solely in payday loans.
Banks:
As with credit unions, it is possible to find bad credit loans with banks but they will also have strict guidelines. As the both are lending investors money and not their own they need to have a strict protection regime around their lending rules.
Pawnbrokers:
If a payday loan is the way you decide to go, then pawnbrokers are a good option. They can offer a number of choices for a short term bad credit loan at reasonable rates. Apart from a standard short term loan against your next payday, they also offer loans against personal items of value such as jewelery. A determination on it’s value is made and a loan is made based on that figure. The lender will hold the item until the borrower can buy it back at the cost of the loan plus a predetermined fee.
Online Agencies:
Short term, unsecured bad credit loans are available through many, many online agents. The application procedure is simple with a minimum of requirements that usually only consists of proof of employment. The application is processed in a matter of hours and often funds will be deposited into your bank account on the same day.
Advantages of Bad Credit Loans :
The advantages of bad credit loans certainly has it’s advantages provided the borrower uses them as intended. That is, a short term loan to get you over a tight financial spot. They are definitely not an answer to a long term need. The loans are quick and easy to obtain with no credit checks involved. The borrower is forced to make the repayment on time as bank details need to be provided during the application process. Borrowers can’t simply skip making a payment. The lender has first bite of the cherry on pay day. It is almost impossible to get into financial difficulties with this form of loan provided the borrower is disciplined and does not begin to roll over the loan.
Disadvantages of Bad Credit Loans:
Interest on loans secured against property is normally tax deductible. Such is not the case with unsecured loans.
While interest rates on secured loans can be as low as 5% calculated on the Annual Percentage Rate (APR) and on credit cards from around 15%, the APR on a payday loan at 15% will produce an APR of 380%. This is not a problem if the loan is paid of on time and it will get a borrower through a trying couple of weeks. If, however, the loan is rolled over the interest will quickly become unmanageable until after 12 months they will find themselves in an impossible financial situation with a ridiculous interest rate. At times, situations provide no alternative but to apply for a payday loan, therefore a great degree of thought and common sense will need to be employed.
There is no give and take with a bad credit loan. The repayment will be taken straight from the pay before a borrower can access it. A payment can not simply be skipped and caught up with next month as is the case with credit cards. The loan can be refinanced but it should be remembered that the Annual Percentage Rate will jackpot quite quickly. There will be an total obligation every payday to meet the repayment. The borrower should be sure that their salary is such that it will accommodate these repayments, if not, it should be avoided at all costs otherwise desperate financial shortfalls will occur..
Before applying for any loan the borrower should be fully conversant with all the terms and regulations pertaining to individual companies. Talk to people that you know have accessed these forms of loan and learn about their experiences. In doing so you will learn what pitfalls have been discovered by others. You can learn by their mistakes and avoid making the same ones yourself. Be sure that you are seeking this money for the right reasons. They are specifically a short term answer to a short term money shortfall and should never be used for any other reason.
For Americans in particular, payday loans ratified by banks and other lenders provide low interest solutions for a persons short term financial situation. Whether it be an unexpected medical emergency or unforeseen motor vehicle repair, they are an excellent way out provided the borrower is diligent and astute about it’s use.
Don’t Be Afraid To Apply For A Personal Loan If You Have Bad Credit
11 Jun 2012 | No Comments | posted by cash-fast.net | in Articles
There are many reasons and circumstances for seeking out a personal loan. There are a ton of options available today, including loan officers that work in an actual building, and a wide variety of online loans. The most important thing to do when you are seeking a personal loan is to not rush the process. You want to take time to compare the different offers and find the one that offers you the least amount of fees, combined with the best APR.
Loans Are Still Available If You Have Bad Credit
Don’t think that if you have bad credit, loan offers are not available for you. You can find many places that actually only serve people who have low or poor credit. You still have many options, and should still compare interest rates and fees before deciding on who you want to carry your loan.
While you may have a harder time receiving a traditional loan, you should have no problem at all receiving a payday loan. As long as you have a steady paycheck, and can prove you are an American citizen, you can get a payday loan for your immediate needs.
Where To Look For Loans
A good place to look for low interest is at a credit union. Many credit unions even offer payday loans that have a lower interest rate than other types of lenders.
Some banks do offer bad credit loans, but you will generally pay more interest at a bank. Also, the bank will push you to simply apply for a credit card, as this is a better option for them.
However, most payday loans are offered through a separate service, and are not part of a bank or a credit union. Today, the most popular option for payday loans is applying online.
Advantages of a Bad Credit Loan
There are certainly advantages to applying for and receiving a bad credit loan. If you do not have established credit, such as a mortgage, or if your credit took a beating during the recession, you can still qualify for a bad credit loan. This type of loan, with a fixed APR and a fixed time of period you have to pay it off makes more financial sense than a credit card, which encourages you to keep spending.
By paying off the bad credit loan within or before the final due date, you will also help build your credit rating. The interest rate on a bad credit loan is generally lower than on a credit card. Do not be deceived. Many credit cards offer a ‘hook’, or a lower introductory APR so you will apply, but after a certain period of time the interest rate will soar. You do not need to worry about this with a bad credit loan.
Disadvantages of a Bad Credit Loan
There are definitely certain disadvantages to personal loans. The interest on a personal loan is not tax deductible. The interest on a secured loan, such as a home equity loan, is tax deductible.
Interest rates are generally much higher on a personal loan. You will pay much more in interest on a payday loan than on a home equity loan of the same amount.
The other disadvantage is that it is often harder to borrow larger amounts on a personal loan. These loans are usually for smaller amounts.
The Best Option For a Personal Loan
Regardless of the disadvantages, there are times that people need to take out a personal loan. The most popular option is a payday loan. You should remember that a payday loan requires regular payments, and if your budget cannot afford another payment, you need to reconsider the option of taking out a payday loan. The payments, combined with the interest, can be a burden on an already stretched budget.
Education is Essential
Make sure you educate yourself before taking out a payday loan. Friends and relatives that have used payday loans will have an idea of where the lowest interest rates are. But don’t rely completely on word of mouth. Do your own research as well. Also, do not make the mistake of taking out a payday loan for an unnecessary reason. This type of loan should only be used when you have no options left. It should not be used to buy the Jacuzzi you have always wanted. Remember, the interest rates are higher on these loans, and they generally have to be paid off pretty quickly. So it is not a decision to take lightly.
It is very easy for American citizens to apply for and receive a payday loan. There are many established vendors and other types of lending institutions that offer affordable interest rates and flexible repayment terms. It is up to you to find the one that meets your needs.
Should I Apply Online?
While there are many vendors available, at brick and mortar stores and online, many customers have found that online payday loans are quicker and easier than the traditional methods. One of the biggest advantages of applying online is you will get instant approval, which means money in your pocket a lot faster.
You do not need to fear the security of online vendors. Most of them are backed by McAfee or Verify or another trusted source of security. Just check on their site, as they will display these badges of security if they do indeed use these services.
Cash Loans Without Credit Checks Are A Lifesaver When You Need It
8 Jun 2012 | No Comments | posted by cash-fast.net | in Articles
An unforecasted situation may arise at one time or the other because such is life. This emergency could be anything from sudden medical problem or car breakdown when one has to go to work to earn the money or any other situation. Pay day is still far away. What does one do in such a tight corner situation besides getting stressed? Cash loans without credit checks are a life saver when you need it the most.
It is very important to budget the income in such a manner that after paying the grocery bills, electricity and water bills, car servicing and other regular monthly expenses there is little saving. With the times being so tough and recession staring in the face it is barely possible to make ends meet so saving is actually out of question for most people. Unexpected events do not ring the door bell and arrive but just crash through the roof. Money is required immediately to handle these kinds of emergencies that arise. Where to get the money from that too very soon is the first worry that comes to the mind.
Banks provide facility to extend loans to the account holders/borrowers. The banks check the credit rating and after much paper work disburse the loans after verifying the purpose of the loan. Most of the people in these tough times do not have a great credit rating so there are more chances of loans being refused. Banks do not even want to waste their time begging us for our patronage. The paperwork for taking a loan is lengthy and time consuming. Even if the loan is granted after all the credit rating checks and paper work, it does not serve the emergency purpose as it is not disbursed immediately. Say in the case of a sudden illness when immediate cash is required and there is no time for paper work in addition to the good/poor credit rating that one holds with the bank.
The cash loan money-lenders are the company where most people turn to in case of emergency cash requirement. These cash loans are also known as payday loans as the borrower has to pay them off within thirty days. The loan amount that one usually borrows in case of emergency does not exceed $ 1500. This loan is credited into the borrower’s account usually within twenty four hours after making the application. No credit checks are carried out and no lengthy paper work is required. All the borrower needs to show is a bank account and proof of being employed or having a job. These cash loans carry a small fees amount which one may consider like paying charges to the bank in case of an overdraft. Most of the cash loan lenders also provide online services which makes it most convenient to apply for the loan online and get the money in the account soon.
These cash loan lenders come to the rescue in case of emergencies as they disburse the cash loans without credit checks and are a life saver when you need it the most. This form of trouble-free, hassle-free loans has become a savior in today’s tough times for most people. Beware of not getting addicted to this form of simple and easy cash borrowing as it may lead you into a big financial crunch
