Payday loans have infiltrated every neighborhood and income level. Payday lenders, critics allege, target low-income borrowers who are so desperate for funds that they are willing to pay exorbitant interest rates. These small-dollar, high-cost loans usually charge triple-digit annual percentage rates (APRs), and payments are typically due within two weeks—or close to your next payday.
However, no matter how easy getting a no credit check loan sounds it’s safer and easier to get yourself a loan with a credit check. Our short-term loan application process is quick and easy. One of the unfortunate drawbacks that come with these quick payday loans loans is that many payday lenders are out to prey on their borrowers.
Before committing to the jaw-dropping interest rates attached to most payday loans, consider your options. Perhaps the only redeeming factor of payday loans is that you have speedy access to getting cash. While there is no set definition of a payday loan, it is usually a short-term, high cost loan, generally for $500 or less, that is typically due on your next payday.
Being prepared with an emergency fund gives you confidence that you can tackle any of life’s unexpected events without adding money worries to your list. If you can’t keep up the payday loan cycle and you fall behind on payments, you’ll eventually default on your loan and your credit score could tank.
That way, the next time you’re strapped for cash, you won’t have to choose between bad debt and even worse debt. It is also not that difficult to get a payday loan. You will need to meet credit, CalHFA income limits and loan requirements of the CalHFA-approved lender and the mortgage insurer.