Payday loans are great last minute loans for anyone who needs the money quickly for an emergency. This is because they are the easiest loans to apply for, and the money typically gets directly deposited into your account within 24 hours. However, before you make the leap and apply for a payday loan, here are five things to consider:
- Payback: Before applying for a payday loan, you will want to know what the terms are for paying the loan back. This way, you can be sure that paying back the loan is made easy. After all, you don't want to end up with a loan you cannot afford to pay back because you were not able to meet the terms. Typically, the terms are that the loan will be paid back with your next paycheck, which means it should be paid back in full within two weeks if you get paid semi-monthly.
- Amount: The amount that you can apply for with a payday loan will vary and they usually base it on the amount that you receive for each paycheck. However, you don't want to apply for the amount of a full check if you know that you cannot afford that because you have other bills you need to pay for with your upcoming check. It's best to apply for the absolute minimum that you need to get yourself back on your feet in whatever financial emergency situation you find yourself in.
- Fees: When it comes to applying for a payday loan, there are sometimes fees that come with it. It's important that you understand what these fees might be and from there compare between different payday loan companies to determine which company will cost you the least amount in the end.
- Direct Deposit: As mentioned, most payday loan companies will direct deposit the funds within 24 hours. Some will pay cash, but you should be careful to accept it this way because then you are carrying a large amount of cash, which can easily be lost or stolen without a trace. This can definitely be risky, so be sure that they have the direct deposit option.
When you consider these four things, you can be sure that you end up with a payday loan that is best for you now and in the future. You can be sure that you have the money that you need right away without too much more to worry about with it.