CASH ADVANCE LOANS

What are Cash Advance Loans, and How Are They Different from Other Types of Loans?

In simple terms, a cash advance loans mean you are getting cash now, on credit, based on future income.  If you have a paycheck or income on the way, but there’s an emergency and you cannot wait — cash advance loans are a way to access your future funds now to give you cash-in-hand when it’s most needed.  But why is a cash advance unlike other kinds of loans?

A cash advance loans are unlike most other types of loans because you are essentially borrowing against your own money.  You don’t need collateral or an extensive credit history to secure a cash advance; instead, the lender relies on your steady income to show you can pay off what is owed.  If you have consistent income, but you need some cash between paydays, a cash advance loan is a great way to obtain a financial tide-me-over until your next paycheck arrives.

Additionally, while traditional loans are paid back over a longer period of time with an interest rate, cash advance loans are typically paid back once your expected income arrives and you pay back the original amount plus the lender’s fee.  This also means that cash advances are more short-term than many loans, which makes them a fantastic choice if you are trying to avoid long-term debt.

What is Cash Advance Loans Fee?

The cash advance loans fee is the amount the lender charges for the service of providing your cash advance.  This is in place of the interest rate you find with most loans.  An interest rate is amortized monthly or annually over the lifetime of a loan, but since a cash advance term is so short, the cash advance fee is more of a flat fee.  Rates can vary, depending on the amount and other factors, but they are easily affordable and generally lower than with many alternative loans.

Why Should I Get Cash Advance Loans?

There are so many ways of borrowing money that sometimes it can be a little daunting to determine what type of loan you should apply for to match your specific needs.  There’s a time and place for everything, but while other loans have their own advantages, here are the 3 main benefits of getting a cash advance:

They are Fast

Application can put money in your bank account by the next business day.  The process is simple: apply, get approved, sign the loan documents, and receive your money.  From start to finish, the whole process can be completed within 24 hours.

They are Simple

It involves less hassle and a smaller commitment than many traditional types of loans.  Cash advances are typically smaller amounts, under $5,000, that don’t take years to pay off.  You are borrowing against your next income cycle, so once you get paid, you could pay off the advance, and the cash advance fee, and you’re done!

They are Convenient

Try to remember a time when you were temporarily in a tight spot financially.  Maybe you had to catch a pricey flight for a family emergency, or had to take some unpaid time off from work.  You knew you had a paycheck coming, but money on the way doesn’t help with expenses now. Wouldn’t it have been convenient in that situation to have somebody just hand you your paycheck early?  That’s the convenience of a cash advance: you don’t have to wait for your money.