Fast Cash Payday Loan How Expensive Are Payday Loans

Fast Cash Payday Loan How Expensive Are Payday Loans



Fast Cash Payday Loan - How Expensive Are Payday Loans?
Payday loans offer fast cash with no credit checks for relatively small finance fees .​
The important thing to​ remember with rates is​ that you​ are only paying them for a​ few days,​ not years .​
In the​ end,​ you​ should be paying fewer finance fees than with a​ credit card or​ loan .​
However,​ if​ you​ roll over you​ payday loan over several pay periods,​ your loan can get very expensive.
APR – a​ Comparison Tool
According to​ the​ US government,​ payday loan companies are required to​ disclose the​ annual percentage rate (APR) of​ a​ loan before you​ sign any agreements .​
While this makes sense for long-term loans,​ a​ payday loan on​ average is​ paid off in​ 17 days.
While an​ APR doesn’t tell you​ the​ true cost of​ the​ loan,​ it​ is​ a​ helpful tool to​ compare lenders with .​
An APR is​ suppose to​ include both fees and interest rates .​
By simply finding the​ lowest APR,​ you​ will find the​ best rates on​ a​ cash advance.
Finance Fees
Finance fees come in​ the​ form of​ interest rates or​ flat fees .​
Finance fees vary,​ but $15 for every $100 borrowed is​ average .​
Some lenders waive part of​ the​ fee for first time borrowers,​ so it​ pays to​ shop around.
Save on​ Fees
You can save on​ fees by paying your loan back as​ soon as​ possible .​
Some lenders charge a​ finance fee by the​ day where others charge for a​ pay period .​
Ideally,​ you​ want to​ pay your loan on​ the​ first day you​ get your paycheck .​
Most online lenders will automatically deduct both your cash advance amount and finance fee.
If you​ can’t pay the​ entire amount,​ then pay at​ least a​ small portion of​ the​ principal .​
Call your lender and ask about rolling over the​ loan to​ avoid any late fees .​
Don’t bounce a​ check to​ your lender as​ you​ will only rack up fees.
If you​ plan on​ using payday loans for several periods,​ a​ better idea is​ to​ look into a​ credit card or​ line of​ credit .​
For long term loans,​ you​ will find better rates than with a​ cash advance.




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