Emergency Payday Loans
Payday loans can be viable options for individuals who are struggling to make ends meet. Payday loans can be fast and can be more flexible than traditional loans from banks and credit unions. These loans are taken out against a borrower’s paycheck and are typically taken out for two to four weeks. Loan amounts can range from $100 to $1000.
Individuals who opt for emergency payday loans online typically do not do so in order to purchase non-essential items, but rather, for unexpected expenses that require immediate attention.
Emergency payday loans from direct lenders can provide relief and ensure that pressing monetary issues are dealt with in the short term. Consumers can then pay their loans back, with interest, at the time of their next paycheck.
Payday loans tend to have high interest rates and rollover fees that can make them expensive. To this end, such loans are only recommended for emergency situations and for instances in which all other loan options and lines of credit have been exhausted.
What Sort of Emergencies Can Payday Loans Be Used For?
Short-term loans can be used for a variety of financial needs. These might include:
- Car repairs: Car repairs can be costly and often necessitate immediate attention.
- Home repairs or appliances: Damages around the home can be a hindrance to daily function and often crop up unexpectedly.
- Medical bills or treatments: Health expenses can be costly, especially when they are unforeseen.
- Outstanding financial debt: While not typically advised payday loans may be needed to cover prior debts.
As noted prior, payday loans can be risky and should only be used for short-term expenses. In some cases, short-term loans can have interest rates of more than 300%, often causing borrowers to roll their loans over and incur steep fees.
Reports have found that more than 80% of payday loans are rolled over and that 70% of borrowers use their loans on recurring expenses, rather than on short-term emergency cash needs. In some cases, borrowers are forced to take out additional loans to pay for previous ones. Experts advise that borrowers only take out a payday loan if they are able to afford it.
What About People With Bad Credit Ratings?
Borrowers should be wary of companies or lenders that offer “payday loans for bad credit” or “no credit payday loans”. Such claims are false as lenders do, in fact, consider an applicant’s creditworthiness and debt-to-income ratio to determine loan eligibility.
Those seeking alternate opportunities can consider the following:
- Federal assistance: The U.S. government offers a number of benefits to those who are unemployed. These include the Short-Term and Long-Term Disability Insurance which provides disability insurance to those who are unable to work due to an illness or being injured.
- Temporary Assistance for Needy Families (TANF) can also be useful to those experiencing temporary financial difficulties. The program can provide food, housing, home energy, child care, and job training to families until they are able to sustain themselves.
- Local assistance: Some local churches and credit unions offer financial assistance and coaching to residents who are facing monetary difficulties.
- Friends and family: Borrowing money from trusted friends and family members is an option for those who might not want to operate within financial institutions.
- Cutting discretionary spending: Experts advise that consumers save money by cutting unnecessary spending expenditures, in order to avoid opting for shorter-duration funding.
How to Find an Emergency Payday Loan
Our service can help individuals find the right emergency payday loan for their specific situations. Applicants must be U.S. citizens or permanent residents, aged 18 or over, to fill out our free and secure questionnaire.
Consumers should be sure to check their state’s payday loan laws before applying, as every state has its own set of loan restrictions.