Dog Questions

To say that the service offered by payday loancompanies is hassle free understates the case. In a sense, it could not be easier. You ask. If you’re still breathing when you finish asking, the companies give you the money. Well, it sounds too good to be true. So let’s take it apart and see what makes it tick. To start the whole process, you have to be an “adult”. States pass laws to make sure that people are protected from their own inexperience. As children, you are not allowed to borrow money. So, if you want to borrow, you must have celebrated your eighteenth birthday. States also limit how much you can borrow through an instant payday loan and cap the interest. Then you must be in work. This has to be a steady job, not part-time or occasional. Remember the point of the loan. It’s for those emergencies when you run short of funds between pay days. That means reasonable track record with the same employer. The amount you can borrow is limited to a percentage of your regular pay. Different companies have different rules, but the practical reality is that there must be more than enough to repay what you borrow plus the fee/charge when your next pay comes in. That means, of course, you cannot borrow for long periods of time. You’re only borrowing until your next pay day unless you get agreement to roll over to the next month. Finally, you must have a checking account. So you have used this site and applied for your payday loan online, answered the few general questions, and picked out a company. What happens next? Very little. In the good old, bad old days, you would have run round your home collecting payslips, bank statements and any other documents the loan company wanted to see. Then you would have spent a happy half hour or so getting everything faxed to the lender. By return, an agreement would have tumbled out of the fax. You would have signed it and sent it back. Now the only requirement is that you give details of your checking account and an authority for the lender to deduct the agreed amount from your account on the due date. Let’s just tick off the advantages of a fast cash advance:

When you look around the TV stations and the newspapers, there’s one story everywhere. It’s this long-running story of the credit crunch, except now we’re seeing Wall Street take a hit. Some of the biggest names are in deep trouble. The Fed is pumping money into the banking system. Well, never mind what’s happening up there, what’s happening to you? You’ve been working. It’s not a glamorous job like these high fliers but, up to now, it’s paid the bills. But there’s a problem. Perhaps you’ve been caught with a medical emergency and a bill from the hospital, or your old car finally quit on you. Whatever the reason, you don’t have the savings to cover it. You don’t have a credit card or it’s maxed out. The only way of saving yourself is to get a fast cash advance from somewhere. The ideal was your employer giving you an advance but, when you asked, you found there’s a policy against it. No advances to anyone. That means you’re looking at a payday loan online- your credit score isn’t good enough to go to your bank for an overdraft. But what about the credit crunch? Does that affect you on Main Street? The answer is a definite “no”! The fact that Wall Street is in trouble has absolutely no effect on the market for loans to you. They are completely different markets. Strangely enough, the people most affected by all this are the better off. Those guys with the higher credit scores who used to be able to get a loan just by breathing will now find the going a lot tougher. Shame! Why is this? Well, the loans to you are very short term. Under normal circumstances, this is from one to three weeks with everything repaid when your next pay check come in. There’s no need for a full credit check - in fact, the loan companies never worry about credit scores. Their security is in the authority you sign to deduct the sum due from your checking account on your next pay day. So all the lenders are interested in is that you have a steady job and it pays you enough to repay the whole sum owing at the end of the month. In fact, cash advance payday loans have been growing rapidly as a really strong performing market. Believe it or not, the more you borrow from the banks and finance companies, the more you are propping up Wall Street. Bet that makes you feel a whole lot better.

In a perfect world, people would always be able to live within their means, and have some money set aside in case of emergencies. The reality tends to be different with many living hand-to-mouth from one month’s end to the next. Even the idea of being able to save brings a sad smile. There’s just no slack. In such situations, the ability to borrow money gives people a buffer. Instead of money always being in short supply, you can budget without the same pressure. Except that, with the credit crunch making life even more difficult for borrowers, the odds are you’re denied access to bank loans - usually the cheapest form of finance. With the only option a payday loan, you need to move with caution. The interest rates are really high. If you can avoid borrowing, you’re saving major dollars. So there are two ends of the street. The one starts with your pay or salary. Is there any way you can add a few extra hours of overtime, or can you qualify for a bonus? You should also remember that some employers will make an advance against pay. This is the same as a payday loan except you’re not hit by the fees and charges. If your current employer cannot help you out, can you earn a few extra dollars with part-time work? If there’s a pressing need, do you have anything you could sell in a yard sale. Even $100 from clearing out your garage might help avoid a loan. If every possible source of extra money is tapped out, the alternative is cutting your outgoings. It’s hard and sad to have to look seriously at economising, but when you consider the alternative of high interest payday loans, a little pain now is better than forced pain in a few months time when the interest rates really bite on the loans. When every option has been tried and you’re forced to look at a loan, take the smallest possible amount at the lowest rate you can find. Never treat payday loans casually. The fees and charges can sneak up on you when you’re not looking and bite you hard.