It is true there are a lot of negative reasons why you should not use payday style loans, but when you have little choice regarding a late payment or dental emergency this type of cash advance can save you. Like any type of financing there will be negative sides, so instead of focusing on all of the reasons you shouldn’t get help when you need it let’s see how a cash advance can be useful.
- A cash advance can pay out $100 to $1500. The amount offered in this type of loan is dependent on how much you make in a month. You have to make at least double what the loan amount will be for. If you stay with taking out only what you need in the emergency situation it is even more useful.
- With cash advances you get immediate finance, which means you can pay your bills on time or get your car fixed. With bank loans you have to wait at least a month for the loan to be closed and a check to be issued. In that period of time your debts could be sent to a collector.
- The last sentence for useful reason 2 can also be its own useful reason for having a cash advance. If you pay your bill on time with a cash advance the creditor will have to report your account in good standing. You also keep yourself from the hassles of debt collectors. Any late or missed payment will be a black mark on your credit history, which can affect lending in the future.
- Most cash advance companies do not run credit checks. It makes it easier to get the financing you need.
- There are little questions in why you need the money or what you will use it for. Cash advance companies do not check that you paid your bill with the money. They don’t even ask you a reason for the advance.
If you have trouble getting mainstream loans or just need cash quickly cash advances can help you through the rough patches. It is important to note that in keeping a cash advance useful, you need to use it appropriately. Taking out a short term payday loan for a vacation you cannot pay off in a few weeks can create a debt situation that is hard to get out of. On the other hand, if you get the cash to pay a bill and have the income to pay it back there is no reason a cash advance cannot be useful.