Short Term Cash Loans

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As its name suggests, short term cash loan has a short term of 12 months or less. Despite their high interest rates, short term loans or payday loans are applied for by many people.

And the reasons are because short term loans can be availed by anyone who meets all its basic requirements regardless of how good or bad their credit score ratings are.

$400 - 50,000
Bad credit
Approval rate
High approval rate
Deposit time
In some cases
Type of service
$500 - 10,000
Bad credit
Approval rate
High approval rate
Deposit time
In some cases
next day
Type of service
« Show more alternatives »

So what are the requirements for short term cash loans? And what are the pros and cons? We find out in this post.

What is a short term cash loan?

Short term cash loans are also known by other names, including payday loans or emergency loans. Generally speaking, short term loans are taken by people when they are met with certain emergencies while their financial situation is in bad shape. Unlike business loans or other types of loans such as car loans or a home loan, short term loans have higher interest rates.

If you want to apply for a loan, but your credit score is low, the chances of being approved are very thin. This is where short term cash loans come in. What’s even more tempting is that these loans are processed quickly.

There are different payday loan amount you can apply for depending on what your needs are.

Basic requirements for short term cash loans

For a short term cash loan, you are required to need the following requirements.

  • You should be 18 years or above
  • Not less than 800 dollars of monthly income
  • You should own an active bank account.
  • A valid ID proof – driver’s license or passport
  • Documents which validates your monthly income.

Pros of short term cash loans

You don’t have to put your valuable property on the line

Unexpected and unfortunate things can happen. People who fail to pay off their business loans even lose their home and other properties. But the good thing about a payday loan is that you don’t need to throw your property papers on the table to convince the lenders to get your loan application approved.

Get your stitches done on time

There are certain things which can be damaged severely if they’re not repaired on time. Short term cash loan does not take a lot of time to process. This means you can get access to cash quickly and make a timely intervention to whatever you need to do.

Higher rates of approval

Should you be concerned about your credit score when applying for a short term loan? Absolutely not. You may even find some lenders with whom you can negotiate the terms regarding the payment plan and the interest rate.

You can recover from it quickly

Student loans and business loans can cause you a lot of problems for many years. But the short term loan can be paid off within a year. Maybe you’ll have a hard time for a year, but it won’t give you a headache for long.

Cons of short term cash loans

You could be spending more than you think

There are various fees associated with payday loans. This includes administration fees or brokerage fees if you’re working with a connector.

High interests

Short term loans come with high interest. Although it can be a lifesaver, it’s also pretty expensive.

How to improve credit score

One of the most common reasons which is responsible for causing damage to credit health is making late payments. There are other reasons too, but quite a lot of people tend to make the mistake of making their payments after the deadline.

If you’re concerned about your credit health, but you’re finding it hard to make improvements, you probably have to point out the issues that are damaging your credit score. If you have a habit of shopping with multiple credit cards, maybe it’s time to change the habit and start shopping with cash.

Try following these steps to improve your credit score.

Check your credit score

Knowing your credit score is the first step. You will get to know which factors are doing the most damage by keeping track of your credit score. As you begin to evaluate your habits and omit the bad ones, you can bring a drastic change to your credit health.

Make timely payments

You probably know why lenders pay a lot of attention to your credit history. When you’re applying for a loan, the lenders check your score simply to find out whether you’re reliable or not.

If your score is good, they will assume that you are a reliable person who can handle his or her finances responsibly. When you make your payments on time, it does not hurt your credit score. So paying your bills ahead of time or on time is a good practice. This includes your student loan, car loan, credit card bills, and your utility bills.

It is also essential to adhere to the agreements which were settled

For instance, you may have agreed to pay 400 dollars for a certain product or service, but later on, you decided to pay 20 dollars less. Such actions can also leave a negative mark on your credit history.

Try to pay off all your debts and try to lower the credit card balance

Keeping your credit utilization ratio low is paramount for a good credit score. Paying off the debts and maintaining a debt range below 30% on a credit card is an excellent way to achieve this.

You can also try consolidating your debts to a single card if you have a number of credit cards. This will also improve your credit score to a great extend.


Now that you know the pros and cons of short term cash loans, you should be able to make a wise decision. If you’ve hit rock bottom, and you’re desperate for some cash, go ahead. Short terms cash loans are not the solution to your financial problems, but it can surely help you fix some issues which may save you from spending a lot of money in the future.

Make sure to ready yourself for the interests that will be waiting for you.

Quick Stats

Highest AmountHonestLoans - $50,000

Loan Terms up toQuickLoanLink - 7 years

Recommended income$2,000+ per month

Grace Chen
Article written by

Grace Chen

Grace Chen has 10 years of experience in the financial field and have been delivering excellent business content through her articles.

Grace graduated from the Haas School of Business, University of California and is currently the chief editor of Communicate Better where she has written and edited thousands of articles published in various media.