How Do Payday Loans Work?
Whether you are applying for payday loans online, in a store or over the phone, Speedy Cash is here to give you an easy application process. We will help you through the payday loans process every step of the way.
Getting a payday loan can be as easy as 1, 2, 3!
Actual Speedy Cash customers explain why they choose Speedy Cash for their personal lending needs!
How do I Get a Payday Loan?
To put the need for a payday loan into perspective, say you’re on your way to work and your car breaks down. You used the rest of the money in your bank account to pay to get your car towed, but now you don’t have enough to pay to get your car repaired. You don’t need a lot of cash, and you don’t need it very long, you just need some cash to get your car back on the road before pay day. A payday loan could provide you the cash you need. You borrow a small amount of money, and pay it back – along with the fees – on your next pay day.
Payday lenders like Speedy Cash offer multiple ways to get a payday loan, so you can choose the option that most convenient for you. Whether you choose to apply for a payday loan online, in a store or over the phone, payday loans have the same basic process.
The need for fast cash can come up at any time, so many lenders offer an application process for online payday loans that allows borrowers to apply 24/7 from your smart phone, computer, or tablet for a convenient and secure process.
If your payday loan is approved, then your money will typically be direct deposited to your checking account, and your loan payment will be due around your next pay day. Most lenders offer an AutoPay option where your payment can be automatically processed on your due date.
If you prefer to speak with a representative in person, you can also apply at a payday loan store. You will fill out a paper application, and if approved, will write a personal check for the principal loan amount plus the finance charge and get your cash on the spot (some lenders will provide a money order rather than cash).
The store will hold onto your check until your due date, and will deposit your check on that date. When taking out a payday loan at a store, you can also choose to go into the store and pay off your loan in cash before your check is deposited. Some payday loan stores – including most Speedy Cash locations – also accept a debit card or checking account information as a form of repayment if you would prefer not to write a personal check.
Many payday lenders have a loan by phone service where a representative will help you complete the application process over the phone. During the application process, you will provide information for your checking account, which will typically be used for both getting your loan funds to you and repaying your loan.
Once your application is complete, the lender will provide you with a lending decision over the phone. If approved, you will most likely have to go online to sign your loan documents. Once you have agreed to the loan terms by signing your documents, your money will be direct deposited to the checking account that you provided during the application process. Just like with online payday loans, most payday lenders – including Speedy Cash – will give you the option to enroll in AutoPay during your application process. If you agree to AutoPay, then your payment will be automatically processed (using either your checking account information, or debit card information) when your loan comes due.
Requirements to Apply for a Payday Loan
Most lenders have the same basic requirements to apply for a payday loan. Some lenders may also require minimum time at your current job or a minimum amount of income to qualify for a payday loan.
When applying for a payday loan, most lenders will require the following information:
Including your phone number, home
address, email address, birth date
(showing that you meet the minimum
age requirement), and a valid ID
Including your pay frequency, gross
(before taxes are taken out) and net
income (after taxes are taken out),
and employment information
Including your checking account
number and routing number
How Much Money Can I Get With a Payday Loan?
The amount that you’re approved to borrow can be based on a number of different factors, but payday loans typically range from $50 – $1,000.
The following items could impact the amount that you’re approved to borrow, based on the payday lender:
the maximum loan amount
Understanding Payday Loan Rates and Fees
Payday loans generally charge a fixed fee on the principal amount you borrow. Rates and fees vary based on the type of lender, the location that the loan originated in and corresponding state regulations. Some lenders may charge additional fees, such as loan origination fees. It is important to read the loan agreement carefully to be aware of such fees and other costs before you take out a loan.