Payday Loans

What Are The Eligibility Criteria For No Credit Cash Advance?

As the term suggests, no credit cash advance programs do not require you to have a very good credit score. Even if you have poor or bad credit, you can still qualify for these lending solutions. That is obviously a wonderful feature because people with bad credit usually have to face a great deal of difficulty in getting their applications approved for conventional loans. On the other hand, no credit payday loans promise instant approval through a very simple process. The entire process is not only easy but is also very fast because of the simple eligibility criteria. But, despite all these great features, if 16 states have banned payday lending and if the Federal Trade Commission warns consumers against it, it means there is something definitely fishy out there. So, you have to be very careful with your decision if you are thinking about borrowing these short-term cash advances.

Who Can Qualify?

Though bad credit is not a problem when it comes to qualifying for no credit cash advance loans, there are still some basic qualifying requirements that you must fulfill. For example, you must be at least 18 years old. You must also be a US citizen. You must have a decent employment record – at least six months in your present employment. Most importantly, you must also have a checking bank account in your name; this is the account, where you get your salary credited every month.

The Basic Process

The basic process is very simple. You can visit the official website of the payday loan company you want to borrow the money from. You can fill out and submit a simple online application form, providing some basic details that should prove that you meet the eligibility criteria for no credit cash advance loans. Your application is reviewed. The lenders verify the information provided by you. And, all these things happen very fast. In most cases, the approval comes within a mattrer of just a few hours. The maximum it can take is two business days – 48 hours. Though these short-term loans are unsecured loans, it requires you to submit a postdated check to the lender. The lender will send this check for collection on the set due date to get their money back. Alternatively, some lenders require you to authorize them to withdraw the money directly from your bank account on the scheduled due date. Lenders do this to secure the loans issued to borrowers. This way, you can say that these loans are practically secured ones.

What Happens When You Do Not Repay In Time?

It is very important for you to keep in mind that no credit cash advance loans charge extremely high rate of interest. These loans are issued for a very short period of time, but you must expect to pay somewhere around $40-$60 for every $100 of loan borrowed by you for a period of 14 days. Failure to make timely repayment results in hefty amount of penalty charges. Besides that, you are also charged additional interest at the same high rate for every single day of delay. This is how the majority of payday loan borrowers are trapped into a viscous cycle of debt.

Overall, qualifying for a no credit cash advance loan is not a problem; any one can qualify for it, as the eligibility criteria are very simple. The main problem is that these loans have been designed in such a way that they look like a very attractive short-term financing solution, but as a matter of fact, these loans are quite predatory in nature. You one small mistake can put you into serious debt trouble.

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