How payday loans can be useful

© taberandrew (Flickr) Payday Loan Place Window Graphics
© taberandrew (Flickr)

Interest rates with payday loans
The thing to consider about payday loans is that they are designed for short term lending. To help with this, the interest rates are kept fairly low for the first 31 days and some companies even offer day-to-day interest fees to help encourage their customers to pay the money back quickly.

No credit history check
The best thing about these loans is that the companies don’t do a check into an applicant’s credit history.

This means that you could get the cash advance even if you have a bad credit history and you can help your credit history at the same time. The companies are more interested in what your current financial situation is like rather than your previous history since it is that that will tell them whether you are capable of paying the loan back.

Getting the cash advance
It is very quick to get a payday loan.

There are simple forms to fill out, which can be done in 15 minutes, and you can usually get an answer about your payday loan instantly. The money can be put into your bank within an hour with some loan companies but this will also depend on your bank account and the day and time that you apply.

A word of warning
Payday loans are not designed for long term borrowing and should only be used in the case of an emergency, such as a broken boiler or your car breaking down. You should look into other options before you turn to the loans and talk to your bank about arranging a short term overdraft first.