When Should I Use A Quick Cash Loan?
Many times you may find your finances out of control, no matter how you budget your cash flow can't keep up with your bills. Using a quick cash loan sometimes is a smart choice in CERTAIN circumstances.
Make no mistake , you don't want to use these loans as way of life - but they can be cheaper than other customer alternatives. Read on.
These quick cash loans ( sometimes called payday advance loans, fast cash loans or emergency cash loans are all the same) get bad press and are considered "expensive" simply because of the high APR that is charged to the customer.
Don't Worry About APR
This is somewhat misleading as these loans are extremely short term, usually due in 14 days which creates the illusion of being ridiculously expensive.
Here's why:
Fast cash loans are expressed in terms of cost per $100 borrowed and the fees for a typical payday loan store run about $15-$25 per $100 borrowed
This means that the APR is 391% when you borrow $100 and are charged a $15 fee.
Of course that seems like an outrageous payback rate because your thinking interest rate as opposed to real dollars.
Use as the Least Cost Alternative
The quick cash loan makes sense when it is used to cover an expense that, if not paid, would incur a higher cost or create a long term NEGATIVE impact to your credit rating.
For example, if you your mortgage and auto loans are due but you are short $200 this month in your checking account, the quick cash loan makes good sense.
The cost of borrowing $200 would be about $30-$40 which is expensive BUT tolerable when compared to not paying your bill at all. The impact to your credit score is devastating when you miss major bills like mortgage and auto loans which will drop your credit score by as much as 100 points which makes it real tough to get a low interest rate.
Neither option is perfect BUT paying $30-$40 to receive a few hundred dollars from a payday loan store can be the smartest thing financialy when you need fast cash to avoid destroying your credit and paying many late fees.
Keeping yourself out of financial trouble is the best solution however many times this is way beyond your control.
Get Set Up - To Avoid Stress
Why not get set up with an online quick cash loan provider?
This may be smart move because you will be literally seconds away from getting cash once you go through the application process. Even if you don't need the funds right while you are applying, going through the sign up process insures you won't be scrambling at the last second.
The application process only takes about 2 minutes online.
Typical quick cash loan provider requirements are easy: You need only to be employed earning $800- $1000 MO, have a valid checking account with direct deposit, and valid ID.
Also bad credit is not an issue - it makes no difference if your credit score is 300 or 800, The fees are the same.
The downside of quick cash loans is that you must pay them back on time - or incur rollover fees - which means you need to be an ultra responsible borrower and keen budgeter.
So when do you use a quick cash loan? Simple - use the quick cash loan when the alternative is more expensive, either in fees or to prevent credit damage down the road.
If your not sure you fully understand payday loans, you can review here - Quick Cash Loans
More Quick Cash Loan Information
When do I use a quick cash loan? - not sure when to use a quick cash loan?
How quick cash loans work - Think of it as advance against your salary - the cost being a steep interest rate, payable upon receiving your next paycheck.
How much can I expect to pay for a quick cash loan Think 'cost per $100 borrowed', not APR (annual percentage rate).