You broke down on the highway and you need $300 to fix it. The electric bill is due, but you need to pay it three days before you get paid or face disconnection. If you’re one of the 60 percent of America’s hourly wage workers, then you’ve likely thought about using a payday loan at some point.
You’ve heard about guaranteed personal loans online, but don’t understand what they mean by “guaranteed.” Perhaps you’ve got bad credit or a bankruptcy on your credit report and don’t think there’s anything that can be done.
Despite all the issues, you’re likely able to get a payday loan advance to cover your immediate expenses, but don’t be fooled by the word “guaranteed”
There’s No Such Thing as “Guaranteed” Payday Loans Online
There is no way any lender can give you 100 percent assurance that you’ll be approved for a bad credit loan. It’s true that payday loans no credit check have considerably more lax standards than a bank, but they still have eligibility requirements.
They may entice you words like guaranteed, but if you’re unemployed and have no way to pay it back, then you’ll probably not be improved. For many people, it’s almost guaranteed that you’ll qualify for the loan, but they can’t give you a guarantee because they all have some type of eligibility requirement.
What Do Guaranteed Payday Loan Lenders Care About?
When you go to a bank, the first thing they do is check your credit score. This is a score that takes everything you’ve done since you started building credit and generates a score. The higher the score, the more likely you’ll be approved for a loan.
Same day payday loan lenders are not banks. The likely care little about your credit and don’t need any type of collateral. They’re most interested in your ability to pay back the loan.
They’ll want to know your income, when you get paid and how long you’ve been employed there. These are all factors that go into their approval process.
Understand the Terms of Your Loan
Once you’ve been approved for the no credit check loan, understand the terms and conditions. There’s a large contract with lots of legal jargon on it, but make sure you understand how much you’ll be paying and what charges and fees they’re assigning.
A payday loan is usually until your next paycheck. At that time, you come in and pay off the loan. If you cannot pay off the full amount, they’ll usually work with you to extend the payment. Be careful you don’t get into a cycle of debt.
At least payoff something on the loan each time you make a payment. The longer you extend the payment out the more interest accrues.
Payday Loans Are a Viable Alternative
When you need emergency funds fast, cash loans are a viable option as long as you understand how they work. Guaranteed payday loans online still have eligibility requirements you must meet no matter how minor they are.
If you want to learn more about payday and installment loans, then please feel free to explore our site. Here are some other articles you might find helpful: