Payday Loans are a type of short term cash advance, often with high interest. They are very popular with people who find themselves in financial difficulties or those who are experiencing a problem with bouncing checks and bills. Payday loans are popular because they are easy to get, quick and discreet. Also, there is no credit check. look at here Sunny Loans Macclesfield
Generally, payday loans are easy to qualify for and to obtain. Most of the information required includes personal information such as name, address, social security number and bank account number. There are no income verification requirements for payday loans. The only thing that is required is for the borrower to have an active checking account.
When loan proceeds are received, they are deposited into the borrower’s checking account within 24 hours. Payday lenders usually send a pre-date notice. This is sent to your employer so you won’t have any surprises when it’s time to pay your next paycheck. The amount of your loan is directly deposited into your checking account. There are no monthly minimums or fees charge. If you want to repay the payday loans, you simply write a check to the lender and the funds will be debited from your check.
Most borrowers have a set period within which they must repay the funds or face charges. Most states require the borrower to repay the entire amount of the loan, plus the interest and fees charged, on the date of the borrower’s next scheduled pay date. Some states allow the borrower to extend the repayment period, up to a maximum of ninety days, after the date of the final payment. If you extend the repayment period, the lender will then charge additional fees. Payday lenders may also charge a late fee if the borrower’s lender card is not in effect when the borrower makes the payment.
The concept behind payday loans is that a borrower with reasonable gross monthly income may borrow funds equal to or more than his or her estimated gross monthly income. If you satisfy the requirements of the payday loan lender shall be given a written contract. It is also important to read the fine print carefully because it contains important details such as how much interest will be charged, the repayment schedule (due date to date), how much the penalties will be, and what will happen if you fail to repay the payday loan. Payday loans aren’t the best solution for debt consolidation, but if you desperately need cash, it may be the only option.
The lender may require proof of your current gross monthly income. Some lenders may also request collateral from you such as your car or home in case you cannot repay the loan. The lender may also request an advanced copy of your credit report from one of the three credit reporting agencies (Equifax, Trans Union, Experian) in order to verify your current credit and financial information. You will also be required to write a check payable to the lender for the amount of the loan plus interest.
One important feature to look for when comparing payday lenders charge is the annual percentage rate (APR). The annual percentage rate is the rate applied to the interest on your loan. Annual Percentage Rate (APR) is the most significant factor that may influence your ability to get a loan. Payday lenders charge higher APRs for higher loan amounts and longer repayment periods. For example, a two hundred dollar payday loan would normally cost between seven and ten percent APR. Payday lenders also commonly charge higher APRs for late payments.
Payday loans are similar to other cash advance loans. They offer borrowers the convenience of getting the money they need fast, without the hassles of faxing documentation, and meeting the stringent requirements of the lender. Payday loans are convenient, quick, and effective way to meet short-term cash needs.