Basic Guidelines for Taking Out Cash Advance Loans


When you are low on cash, you may have to stop and consider some different loan options. Taking out a cash advance can help you get through a tough financial crunch. There are pros and cons to a cash advance, as these are unsecured loans that do not require credit checks or collateral, but charge high interest rates, so considering one carefully is important. There are some basic guidelines to follow when taking a cash advance out to suit your financial needs.

You will start out your application process by giving the company your personal information. This will include your name and address, phone number, email address and social security number, to name a few. Make sure that the company you use ensures that your privacy and safety information is highly protected. Companies can do this by using encrypted technology that sends your information straight to the bank, and does not store it anywhere on their website or computer. If you are unsure of this information, speak to a representative of the company before divulging your personal information.

After you complete this part of the application, you will be asked for your employment information. This will include your job and how long you have worked for the company, as well as the number of hours you work per week, how much you make and when you are paid. Many companies prefer that their customers have worked at their jobs for at least 30 to 60 days before they lend them a cash advance. Some businesses also allow their borrowers to use other sources of income to apply for a cash advance. This may include social security benefits, pensions or even structured settlements. The more money you bring in, the more you may be allowed to borrow, so use any income that you can.

The next guideline for taking out a cash advance loan is to give the company your banking information. This will be either your checking account or savings account. You will provide the account number to the account you want your money wired to, as well as the routing number of your bank. This is how you will get your loan once you are approved. It is also the way the company withdraws your loan when you have to pay it back, plus fees. Many times, the company will want the account that your paycheck is deposited into, so they know the money will be there.

You can generally borrow amounts anywhere from $100 to $1500, depending on a few factors. The amount of money you make is one. Depending on what you make, you can borrow an amount that the company thinks you can easily pay back. There are state regulations to payday loans, however, so you may only be allowed to borrow up to a certain amount. Remember, this amount will have finance fees tacked on, which can be anywhere from $7 to $30 for every $100 that you borrow. When the loan is due, so are the fees, so be sure to borrow an amount you are comfortable paying back on time.

When the loan is due, you may find that you cannot pay it back on time. You might be able to ask for an extension, or a roll-over, if this is the case. An extension will allow you to postpone paying the principle payment of the loan until your next payday, as long as you pay the finance fees on it. This option is useful if you really can’t pay the loan back, but be careful that you do not get caught in the trap of having to take out repeat loans. The fiance charges can really add up in time.

Cash advances can be great to pay off bills, have extra spending money, or to use for a vacation. Carefully consider your options before applying to make sure this type of loan is right for your budget.

This post was written by

jason – who has written posts on Budget Clowns.
Father of three and married to a lovely women. Always looking for ways to save money, and invest it properly for my children's future.

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