How to Easily Identify Good Payday Loan Creditors In Your Area

admin
June 22, 2017

Payday loans are one of the most controversial types of loan and are considered illegal in some countries in South East Asia. Salary loans have been characterized as one of the most unreasonable types of loans that a debtor can take. It has a bad reputation for high interest fees and personal loan lenders charging fees that cause the borrower to have a difficult or maybe have the inability to pay back the loan that was made.

How to Easily Identify Good Payday Loan Creditors In Your Area

If you need to take a payday loan, it is very much at your own risk. Here are a few tips on how to easily identify good payday loan creditors in your area and the things you can do to avoid bad creditors when applying for a payday loan.

  1. Ask for The Fees and Interest Rate

You need to make sure that the fees and interest rates to be paid are clear and transparent to you. It is not enough that they inform you the interest rate and the fees that come with the personal loan. Ask how it is computed and how the amount was arrived. Make sure you are aware of how much you need to pay.

  1. Check Permits and Feedback

With the digital age in place, it is quite easy to check the background of a business entity. Avoid transacting with creditors who have no transaction feedback and have no history of operations within arm’s reach. You need to make sure that you are aware of the financial company’s background to ensure that the creditor does not intend to charge you excessively.

  1. Follow Your Gut

Like any other decisions you have to make, ensure you are comfortable transacting with the lender. If there is anything that is causing you to doubt the transaction, go find another lender who you feel comfortable working with. It is not worth it to push through with a lender who will charge you excessively of your hard earned money.

Managing Payday Loans

admin
April 22, 2017
payday loan

Payday loans are one of those financing tools that can bury you in debt without you noticing it. These types of loans are typically for small amounts and often due on your next payday. This is usually paid through a single payment through post-dated check on the borrowers next payday, typically due within two to four weeks from the date of the loan. The proceeds can be provided through cash, check or transferred to your account.

payday loan facts

These types of loans are very much discouraged as they apply unreasonable interest rates up to an annual percentage rate (APR) of four hundred percent (400%). Here are some of the tips you may need in case you need to apply for one.

  1. Do Not Apply for a Payday Loan on Consecutive Months

A payday loan should only be applied for if it is the only option available. Use it to pay for your expenses and other monthly costs that you may need to settle. It is highly probable that you will be short on cash to cover your monthly expenses as most of your salary is used to pay the payday loan availed the previous month. Avoid applying for another loan the following month. Instead, try finding another way to lower your expenses.

  1. Do Not Apply for a Loan More Than 30% of Your Net Salary

Make sure that your loan does not consume your entire month of salary. This might make you work on limited budget but still having enough to pay your priority expenses like food, mortgage/rent, utilities, etc. It will also give you a chance to look for other sources to pay for incidental expenses or at worst, delay or hold off payment for next due dates.

  1. Look for Other Sources of Income

With the digital age, you can generate income from the comfort of your own home. If you find yourself needing to apply for a payday loan, this is also an indicator that you need a higher income that can cover all your expenses. After classifying expenses and eliminating unnecessary ones, you will need to create another source of income. An alternative option is to find a job that pays you high enough to cover for your expenses.

Advantages of Payday Loans

admin
March 22, 2017
advantage of payday loan

Payday loans are the one of the most applied for. Despite of it having unreasonable interest rates out in the market, this type of loan is the most sought for to address immediate needs. This is the reason we are sharing the advantages of getting a payday loan and why it is so popular. Identifying this advantage can help when to get a payday loan and when to pass on it.

how payday loan works

Sharing with you 3 advantages of getting a payday loan:

  1. Easy Application

A payday loan has minimal requirements and does not have stringent qualifications to apply for one. Having established you have a stable job and a fixed salary that comes in every month more or less qualifies you to be granted a payday loan. There’s not much required from the borrower since the lender often requires a post-dated check to cover the amount that has been borrowed.

  1. Does Not Require Credit Report

If you are a person who has acquired a bad credit standing, a payday loan may still help you for an amount of cash your immediate needs. In support of the first advantage above, a type of loan being easy to apply for also means the lender skipping validation of your credit standing. As long as you can provide the post-dated check as a guarantee, most likely the loan will be approved.

  1. Help Your Credit Standing

On the plus side, if payday loans do not require the lender to check your credit report, it helps build good credit standing. With fast and easy application of payday loans, you can pay your priority expenses that affect your credit report. This includes mortgage, personal loans and credit card due.

Although it is highly discouraged, payday loans offer advantages that can benefit the borrower. Like any other loans, it is properly managing your loans that will always play an important role in ensuring you don’t get a low credit score.

How Payday Loans Can Get Us into Debt

admin
February 22, 2017

Payday loans can prove to be advantageous when there is a need to pay for our expenses during times that we come short of the funds we have. What we need to watch out for is getting ourselves caught up having a loan up our sleeves that becomes difficult to manage. Payday loans aren’t any different.

Like any other loan, payday loans require interest payments as “rent” for the money being borrowed from licensed money lenders in singapore and singapore pawn shops. Unfortunately, payday loans are one of the types of loans that has a very high interest rate. Here are three things to watch out for to avoid getting into debt with payday loans.

  1. Getting Payday Loans Every Month

should you get a payday loan

If you are consistently getting payday loans every month, this is a clear indication that your income is not sufficient enough to pay for your monthly expenses. Consistently borrowing every month not only creates a snowball effect on the amount you need to pay but it also diminishes the amount you take home from your salary. This is the right time to think about getting a higher paying job or creating multiple sources of income.

  1. Getting into the Habit of Payday Loans

Sometimes, it becomes a knee jerk reaction to pay your expenses with a payday loan instead of looking for a different source of income to cover on the shortage your salary provides. There may be times that you are able to recover from paying off your payday loans but being dependent on it will sooner or later create a debt that is too big for you to handle.

  1. Payday Loans involve High Interest Rates

Payday loans have unreasonably high fees and interest payments. We should be aware that we know the numbers when taking a payday loan or any other kind of loan. It is important that we have computed and identified how we can close off the loan without digging ourselves deep into debt.

It is very important that we are aware that getting deep into debt is not limited to mismanaging a payday loan but mismanaging your income, expenses and any other loan that you may have obliged to pay for.

Hints and Tips for Getting a Payday Loan

admin
January 22, 2017
payday loan benefits

There are times where we face financial challenges that often push us to the wall. During these times, we often end up having to apply for loans despite of knowing that we can end up deep in debt. Here are a few tips that you can take note of to ensure that you can manage your loans well and avoid falling into the trap of getting buried deep in debt.

benefits of payday loan

  • Shop around for payday lenders. It is often wise to check out what different lenders can offer you. Make sure that you find out which licensed moneylender in singapore can offer you the best deal. Don’t ever dive into getting a payday loan without making sure that you get the best offer in the market.
  • Only borrow a payday loan that you know you can pay back quickly. Never borrow an amount you know you cannot handle when deducted from your salary.
  • Always prioritize borrowing from financial institutions such as banks or credit union. These financial institutions offer the lowest interest rates in the industry. These institutions are often regulated by the government which ensures that you are being charged a reasonable amount of interest and fees.
  • Avoid taking payday loans if you don’t have reserve cash or certainty on additional income you may receive next month on top of your salary. Always make sure that payday loans can be repaid without sacrificing your entire salary. Else this will cause you to revolve your credit that may cause a snowball effect in accumulating debt.
  • Make sure your checking account is covered with overdraft protection. Additional fees arise soon as creditor’s collect the post-dated check you have issued upon making a singapore personal loan. If your issued check, amounts to bigger than the balance of your account, overdraft and high fees are incurred.

Try eliminating incidental expenses such as daily coffee. Minimizing the things you spend for everyday and getting extensions on your bills can help.