Personal payday loans are short term loans which are designed to serve an individual’s immediate monetary need. This form of a cash advance is usually available until the borrower’s next paycheck. Obtaining a personal payday loan is fairly simple and can also be done via the internet. Here is a brief on these cash advances.
Eligibility For Personal Payday Loans:
Qualifying for personal payday loans require the fulfillment of certain criteria. These criteria are very easy to meet as compared to the norms laid down for a conventional loan. Here is what you need:
• You need to have a legal citizenship of the country you apply in
• You need to be eighteen years of age or more
• You need to have a regular job or source of earning
• Your income needs to be more than $1000 per month
• You need to have an active saving or checking account
Some lenders also demand the applicant to be working in the same company for at least ninety days, to qualify for a personal payday loan.
Loan Amount:
The total amount available to a borrower may vary from lender to lender and also according to the borrower’s monthly earning. Typically, the lending amount does not exceed $1500 and the bracket above that is only available to individuals who can give collateral and show a handsome monthly salary. The interest rates for these loans are quite high. For every $100 to $300 borrowed the lenders charge $10 as interest. Moreover, if by any chance the borrower is not able to make the payments on time he/she will further have to deal with heavy penalties and charges. This could in turn lead to elevation in the total amount payable.
Irrespective of the various drawbacks in terms of interest rates, these cash advances do have several advantages. For instance, they are usually unsecured in nature; hence one is not required to submit any collateral to acquire them. Moreover, the lenders of these cash advances do not ask the borrower to fax them documentation. All the borrower has to do is provide information related to his/her employment and some personal details. The processing of personal payday loans is extremely speedy. The cash is available to an individual in a day’s time.
One of the biggest rewards of going for a personal payday loan is that you can use the loan money as you wish. There will be no restrictions from the lender on the usage.