Instant Same Day Payday Loans Online
How do payday loans with same day deposit work?
Payday loans or short-term loans allow customers to take care of their urgent financial requirements by enabling them to obtain cash within a short duration. Payday loans are also called cash advance or check advance loans.
This is primarily because of the way payday loans work. When you take out a payday loan from a lender, you write a personal advance check for the borrowed amount plus the interest rate.
Lenders hold on to the advance check until your next payday when the borrowed amount, fees, and interest rates must all be covered in one single payment.
As opposed to traditional bank loans, lenders usually don’t go around checking your credit history in detail. This makes it easier for customers to get fast loans without having to wait for weeks or even months to get the loan amount.
Generally, payday loans have a very short decision time, which means lenders can approve your loans within a short period. However, no lender fully guarantees a same day deposit. This is due to the fact that lenders are legally obligated to perform at least a soft check on your account before they can approve a customer’s loan application.
Hence, lenders often use the term “next business day deposit” to describe the loan deposit situation.
However, if you meet all the requirements laid out by your lender, the decision time reduces by a considerable margin. Usually, top companies offer as quickly as 1-2 minutes of decision time.
In such cases, lenders can deposit the fund to your bank account the same day, if the process is completed before the bank’s cut-off time.
How to Qualify For Same Day Payday Loan Online
Technically, there is no way to guarantee a same day payday loan, mainly because lenders do not offer such services. However, if you want to increase your odds of securing a same day payday loan, your best option is to make sure you meet all the requirements laid out by your lenders.
Usually, for payday loans, lenders list out only limited criteria as opposed to conventional bank loans. In most cases, lenders only conduct soft credit checks on your credit account and verify your monthly income status.
Here is a list of standard requirements you need to possess in order to qualify for same-day deposit personal loans.
- You have to be at least 18 years of age. However, most lenders look for customers that are aged 21 or older.
- You should have a stable monthly income of at least $800 before taxes. But, again, lenders usually prefer customers who have a monthly income of at least $2000.
- You should have a valid proof of income like a direct deposit form or a pay stub.
- You must have a valid proof of identification like a driver’s license or a passport.
- You should have an active and valid bank account.
Pros of instant same day payday loans
Helps you get fast cash
The most significant advantage of payday loans is that they help you secure fast cash with minimal hassle. In most cases, lenders deposit the fund to your bank account within a stretch or a day or two.
These types of loans are ideal for taking care of emergency financial situations like paying your bills on time, urgent medical check-ups, or getting your car fixed.
Payday loans can translate into a same day deposit, allowing you to procure cash almost instantaneously. This helps you manage your finance structure by avoiding any late bill payments or shortage of cash when you urgently require it.
Unsecured loan
Payday loans are unsecured, which means you do not have to worry about risking any of your private possessions, which can include your home. In most cases, when you take out loans from your bank or other loan sharks, mortgaging becomes a standard practice.
As such, if you are unable to pay off the debts in time, it could jeopardize your personal properties. However, this is not the case for payday loans. These types of loans are normally unsecured, so you do not have to put up any of your prized possessions for a mortgage.
At most, you will be charged with some extra penalty charges for late payments.
Does not affect your credit scores
When you apply for payday loans, lenders do not care for your credit scores. So, irrespective of whether you have a damaged credit score, lenders usually agree to loan you the required amount. Most lenders are willing to provide bad credit payday loans with no credit checks as well.
Normally when you apply for loans, your credit scores automatically go down. However, in the case of payday loans, lenders usually don’t inform your credit bureaus. This, in turn, protects your credit scores and prevents it from decelerating.
Low eligibility criteria
Traditional banks require you to produce an endless number of documents before they can approve your loan. However, in the case of payday loans, lenders only ask for some basic requirements like valid ID proof and a monthly income.
Lenders usually perform only a soft check on your credit account to verify if you have a stable income. If your monthly income is beyond the threshold value of what they are looking for, your loan is most likely to get approved.
Short-term commitment
With payday loans, you only have to bear the debt for a brief period as these are short-term loans. Unlike other types of loans like personal or installment loans where you have to bear the debt for a year or more, payday loans last only for a short period.
The average loan term of payday loans usually lasts only for 2 (two) weeks. Of course, you can also increase the loan term by negotiating with your lender if you require a longer repay duration.
Cons of instant same day payday loans
High-interest rate
The major pitfall involved in payday loans is that they come with substantial fees and high-interest rates. This is mainly because lenders usually take up huge risks when they loan out a specific amount without conducting a standard search on your credit account.
Lenders compensate for taking up such financial risks by imposing a high-interest rate to ensure they do not incur a major loss. The standard interest rate of payday loans usually lies between $15 and $20 for every $100 borrowed.
As such, you may want to give it a second thought before taking a payday loan mindlessly.
Only a short-term solution
If you are looking for loan options that can help cover your financial woes for an extended period, payday loans are not an ideal choice. Payday loans are designed specifically to help you cover your emergency financial needs by ensuring fast cash.
They are simply a one-time solution to help you cover urgent cash requirements. So, if you need consistent financial assistance for a long period, payday loans do not cut it.
Alternatives to payday loans with same day deposit
If the risks involved in payday loans scare you, there are quite a few different alternatives you can try. Some of those include:
- Improve your credit score – This is quite possibly the best alternative! If you want to keep the risks involved in payday loans at bay, start boosting your credit scores and secure a better (and safer) loan.
Improved credit scores allow you to apply for personal loans that have a higher amount limit and a lower interest rate as well.
- Consolidate your loans – Consider getting a debt consolidation loan if you are dealing with multiple short-term loan debts simultaneously. Consolidating your loans will help you pay off multiple debts at once and will also lower the interest rate as well.
In the long run, debt consolidation debt can help you save you quite a substantial amount.
- Mortgage your home – Not the best option! But, if you are in a desperate financial crisis, mortgaging your home could make sense. Keep this alternative as a last resort if the two preceding option does not work out for you.
Summary – instant same day payday loans online
While there are quite a generous number of lenders that offer fast cash with payday loans, there are none that can fully guarantee an instant same day deposit. Your best option is to make sure you meet all the standard requirements.
That, in turn, will reduce the decision time, and increase your chances of getting a same day payday loan.
