The concern “Can I get payday loan with bad credit?” prevents many people from applying for loans. If you need short-term cash, you may be relieved to learn your credit is not likely to be an issue.
Payday loans are based on your income. Whether you have a job or another source of income, the amount of money you earn is the main factor that will decide your eligibility.
Your lender will take the amount you earn, and how often you are paid, into consideration. This is how the lender decides how much money he can offer to you in a payday loan.
Your income and pay dates also help the lender determine the length of time you can hold the loan before it must be repaid. In most instances, payday loans are due on the borrow’s next pay date. However, if you need a different arrangement, you can discuss it with your lender before you sign the loan contract.
As your income is the lender’s guarantee of repayment, most lenders do not perform a traditional credit check. This means your credit history and current credit score are not relevant to receiving a loan.
Instead of checking credit histories, the lender may check consumer reports. The purpose of this is to find out whether or not you have defaulted on payday loans in the past. If you have not paid previous loans on time, you may have difficulty obtaining a loan today.
Bad credit will not prevent you from obtaining a loan. If you have been responsible in repaying loans, or if you have never taken out a payday loan before, you do not need to worry about your credit history. As long as your income meets the eligibility requirements, applying for a loan and receiving your cash should be an easy process.
When you are considering payday loans and credit, there is an additional point that may be of interest to you. If you receive your loan, and make a point of repaying it when it is due, it will have a positive effect on your credit. You may actually see your credit score improve when you are responsible in repaying loans. You will see there are many benefits to a good credit rating.
If bad credit is your concern, it need not stand in the way of obtaining fast, short-term cash. Simply fill out the application, and prepare to hear from the lender. If the application is fully completed, you will know within a short period of time whether or not you are approved for a loan. The funds will arrive in your bank account, and you can use the money however you choose. Everything about payday loans is completely secure, and one hundred percent confidential.
While most types of loans do require good credit, payday loans are in an entirely different category. Almost anyone with a steady income is eligible. It is definitely the best source of short-term cash whenever you need money before your next pay day.