At some point or another, everyone falls on hard times, even while in college. This is just an unfortunate and unavoidable part of life. Anything can happen, such as unexpected medical expenses, car troubles, or something else entirely. These problems can only be exacerbated when you don’t have the extra cash on hand to get through these tough times.
Of course, you’re not without options. If you need money quickly, you can always consider applying for payday loans online with one of many trusted lenders, such as the Personal Money Network online lending platform. The big question is, how do you find the best lender for your needs?
What Are Payday Loans?
Before you can start looking for lenders, you should be completely aware of just what a payday loan is if you have never taken one out before. Basically, payday loans are a good option for people who are short on cash and need the funds now.
The average size of a payday loan can typically be from as little as $100 to as much as $1000. They’re called payday loans because you typically have two weeks to pay them back, and of course, the term payday loan stems from the fact that most American workers get paid bi-weekly.
Payday loans typically work one of two ways:
- You write a check in the amount of the payday loan to the lender, which will be cashed on the date your loan payback is due.
- You provide your bank account information to the lender, who will then charge your account on the day the loan is due to be paid back.
To qualify for a payday loan, you will have to provide a few key pieces of information to the lender you choose. These can include things like your government issued identification, along with proof of employment and income.
Now that you know exactly what a payday loan is, you should know how to find the best lending company for your needs, so that you can get the money you need. Follow some of these tips to find the best lender for you.
Do Your Research on Interest Rates and Any Applicable Fees
As with other financial matters, like establishing a line of credit, payday loans come with interest rates and other fees that you will want to be informed of before you borrow money. You’ll want to keep in mind, also, that payday loan interest rates are usually quite a bit higher than normal, longer-period loans, since they are due to be paid back in a shorter amount of time.
Every payday loan platform has their own unique interest rates and fees, so make sure you research each and every company you are considering borrowing money from. You should also note that some states actually have a cap on percentage rates for loans legally, though some lenders may include extra fees in the loan agreement to get around that.
Make Sure You Research Any Potential Lending Platform’s Reputation Online
Doing business with a loan company is unique from other online platforms you may use, as you are giving quite a bit of personal, sensitive data to the company. This means you want to make sure you are borrowing with a company you can trust.
Make sure you do your due diligence on any company you consider borrowing with, and read reviews online on reputable platforms like the Better Business Bureau, the U.S. Securities and Exchange Commission, or just by doing some classic Googling to find reviews from previous customers. You might not want to do business with companies who have been repeatedly hacked or breached, as this could put your own personal data at risk.
Do They Follow Lender Best Practices?
Many online loan platforms are members of organizations known as the Online Lenders Alliance (OLA), or the Community Financial Services Association of America (CFSA). Online loan platforms wearing this badge of honor on their website show that they can be trusted, as every platform listed by these organizations follow a stringent set of best practices to ensure that consumers are treated fairly.
When you need cash quickly, there aren’t many quicker or better options than taking out a payday loan online with a trusted company. As long as you follow these tips on finding the best and most reputable lending platforms, you will get the money you need, when you need it, no matter what kind of situation you are facing financially.