What is a payday loan?
Payday Loans are short term personal loans that use your paycheck as collateral. They are also known as cash advances. For many people, a payday loan is an easy and quick way to obtain emergency cash between paychecks. These loans are typically electronically deposited into your checking during the next business day, although this varies depending on the lender, and when the loan comes due they are also electronically repaid. Loan amounts vary from as little as $100 to as much as $1500; however, $500 is a more typical maximum.
What are the qualification requirements for a payday loan?
The exact requirements vary from lender to lender, but they are all generally similar to the following:
You must have a job or receive regular income.
You must be at least 18 years of age.
You must be a US citizen.
You must have a checking account with direct deposit.
You must make at least $1000 per month.
Don’t worry if you have had some financial troubles in the past; you may still qualify.
Do I need to fax in any documents?
Again, this also varies from lender to lender, but the payday loan industry is very competitive so most online payday loan lenders are moving to a faxless system. If you do happen to get a loan from a lender that does require faxing, you may be asked to fax in one or more of the following items:
A copy of your most recent bank statement.
A copy of a voided check.
A copy of your most recent pay stub.
A copy of a valid ID – drivers license, state ID, or military ID.
Currently, faxing is more the exception rather than the rule, so you probably will not need to fax anything.