Money is the biggest necessity in life today. And earning it is even a tougherjob. But with Payday Loan now you walk into almost any street and get $100, $200 and $500 within five minutes. Some even allow for $1000. Such loan programs which offer instant money are called Payday loans. The other name for these programs are "Quick Cash", "Quick Loan", "Car Title Loans" and "Cash Advance". Though the concept is new, it is fast sprouting up all over the country.
Need some quick cash?
Stop by and in just five minutes, you can be out of the door with $100, $500 and even $1000.Such loans are getting popular day by day, the reason being their easy availability. A cash advance or payday loan is usually secured by a personal check. Some companies want your bank account or credit card information in addition to or instead of a check. You need to write a check so that an agreed amount can be withdrawn from your bank account sometime in the future. It usually takes 14 days to pay off such loans. After completing the agreement, you are given an amount that is less than what you have agreed to pay. The difference is the "fee" for the loan service.
Is it a good deal?
- In a way it is the best deal as during urgency you don't need to ask your friends, relatives and neighbors for such a small amount.
- If you are sure you can repay it within 14 days, you don't have to care much about the fees and interest rates. The normal charges are some 10% to 15%; if you take $200 as cash advance then you will have to pay $220 or $230 within 14 days.
- It is basically a big help during emergency. Sometimes it works for you, you want the money and there is no other gateway to escape, go and take a cash advance.
The philosophy behind this theory is very simple - "more risk more money". The risk in cash advance is very high, as they don't require any mortgage or security. Thus, they expect a high return by offering the borrowers an interest rate of 15% for a 14 day loan. That amounts to 3785% compounded interest yearly. No wonder lenders are happy to offer you such loans. Suppose you take a loan amount of $100 and you pay them back with an extra $15 in two weeks. Again, if you take another $100 as loan along with the $15 extra you paid, and you keep doing this for one year, then the loan amount of $100 will turn into $3785 by the end of the year. This is business but it is not much of a hassle for you if you are ready to repay it within 14 days. This is very convenient for you when money is urgently required. This is very convenient for you when money is urgently required.
But in spite of all the conveniences, our careless acts often take us into trouble. Debt consolidation is a much better way to get rid of your debts when compared to bankruptcy. We are undoubtedly the experts in this sector and are eager to bring back your happy days. In order to live a debt free life, fill our free quote to get all the options in this arena.