It is estimated that approximately 12 million Americans use payday loans to cover their emergency cash needs between paychecks. However, several states do not allow local payday stores, which leaves residents living paycheck to paycheck with no local fast cash relief.
Those living in states such as Georgia, Massachusetts, Arizona and Ohio, are among those who cannot stop by a nearby cash advance lending store and receive a payday loan - and many in those state may note even know that such short term loans exist. Previously, they would have to travel to a neighboring state to get a quick payday cash advance to cover their expenses between paychecks, but with the onset of online payday lending, many may now quickly get the cash they need to meet ends meet without traveling out of state.
Online payday advance sites such as USA Payday which operate over the Internet are able to offer cash advance loans to residents of states previously 'dark.' Various states stipulate loan terminology and terms, location and registration of the lending company, and interest rates, but for residents of states such as New Jersey previously unfamiliar with payday loans or those in which these loans have been recently outlawed, online payday loans can help them meet emergency cash needs.
Payday loans are short term, small dollar loans ranging from $100 to $1000. These loans are meant to be used to cover unexpected or emergency expenses, and are not really long-term solutions for chronic debt problems. They are smaller loans than a bank would generally make and are approved in a shorter period of time since re-payment is secured against a paycheck. The cash advances carry higher fees than traditional loans, and are to be repaid on the borrower's next paycheck - ideally in two weeks.
Applying online is private and confidential as opposed to walking into a payday loan store. Once approved, the loan proceeds are deposited directly into the borrower's bank account. A bank account and steady source of income are required.
Faced with unexpected expenses such as medical bill, leaking roof, or other home repair, finding a cash advance may be the more palatable solution to the alternative - of not meeting monthly recurring expenses such as child care, utilities, or a care loan. Many Americans who live paycheck to paycheck may never reach the ideal goal of having some sort of emergency cash fund. Using online cash advances to get quick emergency cash when they need it may be an alternative for residents of states in which payday loan stores are not permitted.
Those living in states such as Georgia, Massachusetts, Arizona and Ohio, are among those who cannot stop by a nearby cash advance lending store and receive a payday loan - and many in those state may note even know that such short term loans exist. Previously, they would have to travel to a neighboring state to get a quick payday cash advance to cover their expenses between paychecks, but with the onset of online payday lending, many may now quickly get the cash they need to meet ends meet without traveling out of state.
Online payday advance sites such as USA Payday which operate over the Internet are able to offer cash advance loans to residents of states previously 'dark.' Various states stipulate loan terminology and terms, location and registration of the lending company, and interest rates, but for residents of states such as New Jersey previously unfamiliar with payday loans or those in which these loans have been recently outlawed, online payday loans can help them meet emergency cash needs.
Payday loans are short term, small dollar loans ranging from $100 to $1000. These loans are meant to be used to cover unexpected or emergency expenses, and are not really long-term solutions for chronic debt problems. They are smaller loans than a bank would generally make and are approved in a shorter period of time since re-payment is secured against a paycheck. The cash advances carry higher fees than traditional loans, and are to be repaid on the borrower's next paycheck - ideally in two weeks.
Applying online is private and confidential as opposed to walking into a payday loan store. Once approved, the loan proceeds are deposited directly into the borrower's bank account. A bank account and steady source of income are required.
Faced with unexpected expenses such as medical bill, leaking roof, or other home repair, finding a cash advance may be the more palatable solution to the alternative - of not meeting monthly recurring expenses such as child care, utilities, or a care loan. Many Americans who live paycheck to paycheck may never reach the ideal goal of having some sort of emergency cash fund. Using online cash advances to get quick emergency cash when they need it may be an alternative for residents of states in which payday loan stores are not permitted.
About the Author:
Bradley Hart is a communications manager for USA Payday, an online resource for consumers needing payday loans orpayday loans to carry them over between paychecks. Bradley is a frequent contributor to magazines and blogs in the area of financial services, consumer credit, and payday lending. You can comment on this article on Bradley's blog at USA Payday.
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