A cash advance is a short-term loan that lending agencies and payday loan companies offer for things like medical bills and car repairs that come up unexpectedly. It doesn't need a credit check or a check of your background. Getting a cash advance is a pretty easy process. Online applications can be filled out, and the information needed includes information about yourself, your job, and your bank account. The money is put into the borrower's bank account as soon as the loan is approved.
Usually, there is no grace period for paying back cash advances, and if the due date is missed, interest starts to add up right away.
Since cash advances are not secured by anything, the interest rate can be as high as 20%. The high interest rate and short time to pay back the loan may even force the borrower to take out another loan. So, people should only take out these loans when they have to, so they don't get stuck in a cycle of debt. Cash advances can help people avoid late payment fees and even penalties for checks that don't clear the bank. They also help people avoid having bad things show up on their credit report.
Even if you have bad credit, you can still get a cash advance. To get a cash advance, you usually need to make at least $1,000 per month, be at least 18 years old, and not have been late on any short-term loans in the past.
How much you can borrow depends on where you get the loan, but it's usually around $1000. People who are borrowing for the first time may be able to get a bigger loan. The fees depend on how much you borrow and how long the loan is for. Some lenders charge a flat fee no matter how long the loan is for.
Most cash advances have to be paid back when the next paycheck comes in. Most of the time, the loan doesn't last longer than 18 days. Lenders also give people the option to refinance their loans if they can't pay them back by the due date. Some lenders let you refinance up to four times, while others let you extend the loan for up to 31 days from the day you get the money. The borrower can pay back by giving the lender a check with a future date on it, or the amount plus fees can be taken out of the borrower's account automatically on the due date.
Before getting a cash advance, you should do some research online to learn about the general terms and conditions. You should also compare cash advances to other options, such as salary advances and an account with overdraft protection.
