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How Large Should My Payday Loan Be?

  • 3 MIN READ|
  • 0 Comment |
  • 2079 |
  • by Joseph Priebe|
  • May 8, 2014 |
  • Loans

How much should I borrow with payday loans?

When you need money now and use payday loans as a means to cover expenses, it's important to choose loan amounts that do not substantially leverage future income. While a cash advance helps right now, applicants are digging a financial hole for themselves if they don't account for the diminished value of their future paychecks. The first step to determining how large a loan should be is figuring out what the money will be used for.

For example, if an applicant plans to use the cash to pay a bill, he or she should see if there is a minimum payment to avoid paying the entire balance. Taking the time to consider this factor eliminates leveraging a paycheck too heavily. Developing a budget for a smaller payday helps avoid the need to apply for additional loans to make ends meet. Consider which expenses don't need immediate payment and hold off on them until the next paycheck clears.

CASH 1 gives loans based on how much an applicant earns. The company only charges a small fee for each transaction, so consumers will have more money left over for future use. During difficult financial times, payday loans give borrowers the money they need to cover expenses. The cash gives borrowers the ability to pay bills, rent, repair vehicles and remove debt, but individuals need to be careful when considering any form of credit.

Short-term credit can be a useful financial tool, helping people avoid missed payments and late fees. Payday loans are quick and easy to acquire, making them a good solution when you need need money fast bad credit. The loans are available to anyone with regular income, regardless of credit history, and provide cash within 24 hours.

However, borrowers should only use payday loans during financial emergencies, as payday loans should not be used to make purchases borrowers could not otherwise afford. Maintaining a debt-free lifestyle requires carefully managed spending. Short-term credit can assist with paying bills and other expenses between paychecks.

Borrowers should always consider their options carefully. Payday loans are just one of the many options available to help during tough financial times. The loans are meant to be a short-term solution, designed to ease financial stress for a period of time. The money available through payday loans can help reduce stress if used carefully.

Payday Loans Get Borrowers through Tough Times

Individuals in tight financial situations may want to consider payday loans as a way to receive needed cash to help cover sudden expenses. Short-term credit can help in a number of financial situations. The money can be used for unpaid medical bills, to cover rent or pay overdue bills. The freedom to use the cash as needed makes it a viable alternative to other forms of credit.

Payday loans should be used only as intended, as a tool in times of financial hardship like eyeglasses financing, car repairs or for utility bills. Borrowers are discouraged from using the money to make purchases they could not otherwise afford. If used correctly, payday loans can bridge the gap between paychecks to help borrowers avoid costly late fees or missed payments. Approval processes for loans takes about an hour.

There is no traditional credit check, and borrowers can agree to a variety of repayment options. Typically, the borrower agrees to repay the cash advance loans with his or her next paycheck, but installment payments can also be set up and the loans can be rolled over with a small fee. The speed and flexibility of payday loans make them a valuable financial tool for hundreds of Americans each month.

Consider Your Budget When Borrowing

For consumers who use payday loans as a means to cover expenses, it's important to choose loan amounts that don't too-substantially leverage future income. While a cash advance helps right now, applicants are digging a financial hole for themselves if they don't account for the diminished value of their future paychecks. The first step to determining how large a loan should be is figuring out what the money will be used for.

For example, if an applicant plans to use the cash to pay a bill, he or she should see if there is a minimum payment to avoid paying the entire balance. Taking the time to consider this factor eliminates leveraging a paycheck too heavily. Developing a budget for a smaller payday helps avoid the need to apply for additional loans to make ends meet. Consider which expenses don't need immediate payment and hold off on them until the next paycheck clears.

CASH 1 gives loans based on how much an applicant earns. The company only charges a small fee for each transaction, so consumers will have more money left over for future use.

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