Tag: APR

Get the Facts Before You Borrow Payday Loan 101

September 22, 2019 Off

In the current economic climate, alternative means of obtaining
money to make ends meet are becoming increasingly necessary. Some
alternatives include borrowing money from friends/relatives; cash
advances from employers; pawning personal effects and payday loans.
Also known as a check/cash advance loan or deferred deposit check loan,
the payday loan is the most popular among these. As payday loans grown
in popularity, more and more people want to know just what a payday loan
is, and if it is the right solution for their situation.

SO, WHAT IS A PAYDAY LOAN?

A
payday loan is an unsecured, short-term loan of anywhere from a few
hundred dollars to as much as fifteen hundred dollars in some instances.
A borrower generally secures the loan by post-dating a personal check
for a specific amount of money to be posted against their account on
their next pay period. Payday loans are designed to help out in
situations when you need quick cash to cover an unexpected bill or an
emergency situation until your cash comes through or is made available.

A
payday loan is NOT a revolving line of credit. It is short-term and
that is a key factor in this type of loan. The idea is to take out the
loan to cover a small bump in the road or to smooth out any rough
financial edges until your next payday. If you are thinking of the
payday loan as way to repair a much bigger financial problem, the advice
is to STOP! A payday loan can create bigger problems down the road
when used as part of an overall troubled cash flow situation.

SO, WHAT IS A PAYDAY LOAN?

The
most important thing to remember about payday loans is that they must
be repaid on time in order to avoid paying insane fees that could
potentially equal or surpass the amount of the loan itself! It is the
renewing of the loan and failing to repay it on time that can create a
major financial dilemma for the borrower.

Most loans have a
repayment period of four to eighteen days depending upon the terms
negotiated with the lender. The repayment schedule and the method of
repayment is arranged at the time the loan is disbursed. More often
than not, the borrower will agree to pay the loan in full with cash on
or before the due date. Additionally, some lenders may opt to collect
on the loan by depositing the borrower’s post-dated check against
his/her bank account on a mutually agreed upon date.

With payday
loans, there is a fixed rate fee calculated into repayment on each loan
disbursed. The average rate is $15.00 to $20.00 dollars per $100.00
dollars borrowed. Due to the nature of the quick turn-around time of
payday loans, the annual percentage rate or (APR) is generally very
high. It is not uncommon for the (APR) to be 100%, 200% or even as high
as 400% in some cases.

If a borrower is unable to repay a loan at
the scheduled time, the lending institution may agree to rollover the
loan allowing more time for repayment. The drawback to rolling a loan
over is that additional fees are added to your account. For example, if
the fee to borrow $100.00 is $15.00 and the borrower rolled over the
loan three times, then the new fee would be $60.00. That is the
original $15.00 fee plus three times that fee itself added to each
$100.00 borrowed.

WHAT ARE THE REQUIREMENTS FOR A PAYDAY LOAN?

Generally,
the only major requirement for a payday loan is that you have a job.
Your job is your assurance that you will be able to repay the loan. It
is expected that you will be receiving a paycheck, and therefore, the
money to cover the loan. Good credit isn’t necessary or even required
for the payday loan to be approved. The lending institution only wants
to see that you are employed and have a steady income. In essence, your
job is your collateral

Getting a payday loan is actually a simple procedure.
You apply, and if approved, sign paperwork that indicates your promise
to repay the loan on the lender’s terms. Be sure to take the time to
carefully read the terms of the loan and do not be afraid to ask
questions about what those terms mean. Often, these kinds of contracts
are written in a legalized, financial jargon that is not easily
understood by the average consumer.

BORROWER BEWARE!

If you
feel the lender’s representative is not able to fully answer your
questions, please say so! If the terms of the loan are not clear to
you, do not take the loan until you fully understand them. Teachers
always say that the only stupid question is the one you don’t ask. This
is true! Again, if you do not understand all the terms of the loan, do
not sign paperwork until those terms have been fully explained to you.
Otherwise, you are legally bound by those terms that could prove
disastrous for you if you fail to act in accordance with the terms of
the loan. We would like to think that everyone is above board, but not
all lenders are. Unfortunately, there are unscrupulous lenders out
there who intend to make a profit at your expense.

It has been
noted by the NAACP and the Department of Defense that payday loan
offices have strategically opened offices near military bases and in
socio-economically disenfranchised areas where the demographic is
largely African American and Hispanic. Many reputable financial
institutions, consumer groups, and civil organizations are doing all
they can to shut down payday loan offices, but their efforts to date
have been largely unsuccessful.

BORROW IF YOU NEED TO, BUT BE SMART ABOUT IT!

With
the often strict guidelines used by reputable lenders, many people are
getting caught up in the cycle of payday loans because of their
immediate benefits. When emergencies occur and cash is needed, payday
loan companies offer fast, hassle free cash. More often than not, most
have no minimum credit requirements and do not perform background
checks. In most cases, all that is needed to secure a payday loan is a
recent pay stub and proof of a checking account. In these regards,
payday loans and cash advances do offer consumers financial options in
emergencies. On the other hand, more and more people are getting caught
up in this vicious cycle of borrowing which can lead to financial ruin.
This is not good, especially considering that the loan was probably
taken out to avert a financial disaster in the first place. With pros
and cons like these, it would seem that the best advice would be to
borrow if you absolutely must, but do so with extreme caution.

Being
proactive is probably the best strategy or, as conventional wisdom
holds, “an ounce of prevention is better than a pound of cure”. Take an
honest look at your family finances and come up with creative ways to
not have to borrow. Consider trimming the fat out of your budget,
pledging to save a little money from each paycheck, and reducing credit
card and revolving debt.

A little effort on your part can make a
huge difference not only in your financial situation, but in your
quality of life as well. Nevertheless, if you must take out a payday
loan, remember the following key points:

– Payday loans are NOT revolving lines of credit

– Repay your loan on time!

– Do not plan on rolling your loan over. Plan, instead, to pay it off

– The only “stupid” question is the one you don’t ask

– Payday loans have terms & conditions of repayment. Know and abide by them

– Payday loans can ruin your finances and jeopardize your job if you are not careful

– An ounce of prevention is better than a pound of cure

By admin

Unsecured Consolidation Loans – the Answer When Debts Threaten Financial Equilibrium

September 14, 2019 Off

Consolidating debts through an unsecured loan- this is the
primary aim of unsecured consolidation loans. For tenants and other
non-homeowners, unsecured consolidation loans are one of the most
popular methods of debt elimination. Debts are a menace for all. No
person can claim to have never been traumatized through mounting debts.
When the amount of debts increase, then borrower is forced to look
forward to assistance through unsecured consolidation loans.

When
borrower pays large debts from his own resources then there are fears of
him being trapped in a vicious circle of debts. A vicious circle of
debts is a chain of events that further worsen the condition of debtor.
Additionally, all opportunities for the debtor to come out of the trap
are closed or made very difficult. Thus, it is very necessary that
people must make use of unsecured consolidation loans.

Through
unsecured consolidation loans, debtor at once gets freedom from all
kinds of debts such as credit cards, gas and electricity bills, store
cards, house rent etc. Several big and small loans too can be repaid
using the proceeds of unsecured consolidation loans. The advantage of
using this method of debt management is that borrower need not pay
anything at that particular point of time. Repayments that will be used
to repay the unsecured consolidation loan will begin after sometime,
recurring monthly or any other period decided by the borrower himself.

The
clause of collateral distinguishes unsecured consolidation loans from
the other loans. Borrowers need not keep any collateral to get the cash
advance while drawing unsecured consolidation loans. This is why tenants
and non-homeowners so easily qualify for these loans. Homeowners are
free to use any variety of loans to satisfy their purpose. Loan
providers prefer lending to the homeowners even when home is not
collateral. It has been noticed that homeowners are able to avail of
better deals in unsecured consolidation loans than the non-homeowners.

Several banks and financial institutions in the UK
provide unsecured consolidation loans. If it seems difficult to approach
these lending agencies directly, owing to a lack of time or
apprehension of refusal, then online application will be helpful. Most
lending agencies have their personal websites and accept online
application. Borrowers get to know more details about loans from a
particular lending agency, particularly through the use of loan quote.
Borrowers can search numerous loan providers who can process their
request for unsecured consolidation loans online.

However, a
problem that persists is how one decides about the reputation of loan
provider. Any loan provider cannot be endowed with the responsibility of
advancing loan. This problem can be lessened with the entry of brokers.
Brokers are mediators between loan providers and brokers, thus being
equally responsible to both parties. Brokers source the best deals in
unsecured consolidation loans for borrowers from the most appropriate
lenders. Brokers also become inevitable in cases where borrower has bad
credit. Unless a reputable broker moves the application of bad credit
borrower, he/she cannot hope to get loans through any of the big lending
agencies.

Savings in time is one of the most important features
of secured consolidation loans. Borrower can continue with his office or
other work while completing loan formalities online. Loan provider may
deploy some experts to help borrower with the debt settlement process.
These experts will negotiate and make payment to creditors on behalf of
the borrower. Certain creditors may reduce the amount owed, if proper
negotiation is carried on.

When taking up unsecured consolidation
loans, borrowers must be particularly vigilant about the clauses of APR,
pre-payment penalty and repayment. These clauses can, if not decided
properly become the Achilles heel. Use of expert advice while making
decisions can significantly improve the quality of decisions.

By admin

No Credit Check Car Loans – Get Car Loan with No Credit Discrimination

August 24, 2019 Off

Now-a-days owning a car is no more dignity or luxury but it is necessary. Every one of us may not have enough money to go for car; you may plan for borrowing loan. If you are suffering from bad credit and fed up with high interest rates of bad credit loans then go for no credit check car loans. These loans provide same platform for everyone ignoring credit rates.

As name suggests there is no bar on credit score, it doesn’t matter what ever your credit be. No credit check car loan is generally secured loan collateral being the car which you are going to purchase with loan amount. The loan amount must be used only to buy a car. The interest rates are same for all, people with bad and good credit. Lenders believe that you are going to buy new car, even you can buy second handed car but you have to mention it before taking loan. It is very important as the car you are going to buy acts as the collateral.

Statistics of no credit check car loans The amount ranges from 5,000 to 90,000, so as to cover a wide range of cars from normal to an expensive one. Interest rate ranges from 8%APR to 15%APR, and it depends on lender. Repayment time period ranges from 1 to 5 years. There are very high flexibilities in repayment modes; you can go for monthly installments. Availability You can find plethora of no credit check car loan lending institutions online. You just have to go online. Make a list of lenders and choose the best one as per their interest ratings, repayment time and mode of repayment which suits you best. The best advice for you is, collect advertisements of cars. You will find many offers like installment wise repayment without any interest and so on. Summary No credit check car loans are car loans which don’t care about credit of borrower and provide loans at same interest for everyone depending on repayment time period. Here you have full and clear information, what else you want to know? So stop collecting information about loans and borrow no credit check car loans from lending institutions and ride on your dream car.

Johnty Flemming is an MBA in Finance and has a rich experience of writing on topics related to finance. If you have any queries about quick cash payday loans, bad credit payday loans, fast cash advance loans, online payday loan service visit

By admin

Bad Credit Auto Loan Refinancing

June 1, 2019 Off

Is the higher APR on your vehicle weighing you down? Are you having a challenging time bouncing back from bad credit score because of the ballooning interest prices of your old auto mortgage? Don’t be concerned – you have choices. Bad credit auto loan refinancing now makes it probable for you to get pleasure from decrease costs and extended phrases, so that you can be concerned significantly less about your auto loan expenses and concentrate your power into rebuilding your flawed credit.

What can automobile loan refinancing do for your credit score? Refinancing your automobile loan can significantly minimize the price you are paying out and preserve you a good deal of money that you can use to pay out off the credit card debt that is creating your credit score rating sink, in the 1st place. Undesirable credit score vehicle refinancing organizations pay out off your current automobile mortgage, and then restructure the amount you even now owe to be far more manageable./p>

How lengthy does it just take? Most organizations can method your mortgage in as little as two working days, but it could just take you a excellent a single to two weeks to get every little thing in buy if you are not able to generate the documentary specifications proper away.

How much will you save? Thousand of dollars for each yr. Let’s say that you are at the moment having to pay off an vehicle loan value $16,000 at 21 percent curiosity rate. This implies that your month-to-month amortization is around $400 or more above 60 months. When you refinance to a 6-%-for each-annum deal, your regular monthly amortization could go down to $300 or significantly less. You save at least $one hundred month to month, or $one,200 a yr, or $six,000 in sixty months.

Will automobile mortgage refinancing be good for you? Probably. If you are a single of the a lot of individuals who pay out a lot more than 3% APR on a automobile loan, then you really should undoubtedly take into account refinancing. It’s easy to see why. Even just a single % deducted from your existing curiosity rate can translate to hundreds of dollars in price savings for each yr! Consider time to do some simple math, and you’ll be impressed at how significantly funds you can help save just by applying for automobile mortgage refinancing. It’s time you took cost. After all, it is your funds.
Bad Credit Auto Loan

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Get The Loan Of Your Choice Easily With Unsecured Loans!

May 26, 2019 Off

If you cannot afford to pledge any valuable asset as collateral against the loan, you can make use of low APR unsecured loans to pamper your needs! These funds will help you finance your personal needs whatever your need is whether to fund your home, car, wedding or holiday without a security backed. You are a tenant turned down on loans by others? You need not worry. You can find cheapest unsecured loan with help from financial experts.

Low Cost Unsecured Loans benefit you with:

Fast easy loans
Risk free with no collateral pledged
Payment protection cover
No credit checks
No hassle loans-paperless
Unsecured loans for no proof of income

Cheapest unsecured loan allows you to fix your interest rate at the low rates. With no collateral pledged you are unlikely to lose your home or your car if you can’t keep up with your loan repayments. You can be assured of your fixed monthly repayments even if interest rates were to rise.

You can avail of 40000 loan unsecured no early repayment charge with us! These finances help you fund your personal needs without being deterred by your bad credits. Breathe a sigh of relief! No ccj, loan defaults, mortgage arrears will handicap you from transforming your dream into reality.

Low APR such types of funds over 15 years can help you to repay over a stretched period of time. You are allowed to repay your loan over a long period of time. However, your interest rate will be attached to the monthly payments for 15 years. Choose the one that best suits your situation, if you can repay back in a shorter period of time you pay your interest rates for a short term. Weigh the pros and cons of any such unsecured loan homemaker before making your choice.

Online low APR unsecured loan expert can help you obtain unsecured loan tips. If you need quick cash, then you can avail 30 day pay day loan. These types of loans provide instant money up to $1000 with online approval. These types of funds are very easy to obtain. You need not fax any documents and go through any detailed credit check to become eligible for these finances.

These loans are borrowed till the next pay day, which ordinarily comes in the 30th day of the month. They allow their customers to get thirty day loans and money advances on the power of their next paycheck. All that a borrower needs to do is fill in a simple form and submit. The rest will be taken care of by the lenders. These types of funds are a favourite with borrowers.

Sadhana Dhanyal,content developer for finance domains. For more information: Flexible Loan
Get more information on: Unsecured Cash Loans

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