Getting an Online Cash Advance

By D. Cammarota

Payday loans and cash advance loans are nothing new, but increasingly, people are seeking cash loans online. While the process is not much different than going to your local check cashing store or cash loan office, there are a few things to know and to consider before seeking a cash advance online.

Since you are not able to meet with a cash loan officer face-to-face, the first step in seeking an online cash advance is to be sure you are dealing with a reputable company. In every state, all lenders are required to be licensed and this can be easily determined by calling or going to your state's Department of Financial Institutions. While you are there, it is a good idea to ask what the laws are governing payday loans in your particular state so that you can avoid possible usury rates and unfair charges. Reading first-hand consumer reviews about whichever cash advance establishment you are considering is also a priceless resource and very smart first step.

Once you have found an online lender you feel comfortable with, be sure to read all that is available on their website regarding the loan. Having all of this information at your fingertips is actually an added advantage to obtaining an online cash advance. You don't need to wade through all of the rules and regulations like you would need to do when going to a brick-and-mortar shop. The information published on their website, if carefully read and accepted, can be an added measure of protection for the borrower in the end.

The rules of eligibility should be very clear, but if there are any questions, don't hesitate to call the company (never do business with a company that does not offer phone support). Once you have determined your eligibility, the process of applying for an online cash advance is usually rather simple. Take note that some online lenders require documents to be faxed, so if you are home bound, do not have a fax or simply do not wish to bother with the time and expense of faxing, look for a "faxless" online lender. The amount you can borrow online often depends on the type of loan you are seeking, your personal financial and employment circumstances and your state's maximum allowable loan amount. However, most states allow at least $2000.00 which can hopefully get you over your financial hump.

Online cash advances are great ways to get cash in a pinch - especially for those with less-than-perfect credit. Keep in mind that while the vast number of cash advance loans do not report to credit bureaus, the credit bureaus can obtain the information if they wish. Even if you make good on the loan, sometimes simply applying for an online cash advance can affect your eligibility for other types of loans down the line (they see it as you not being able to make ends meet). Also, while a default on an online cash advance may not directly affect your credit, it will down the road as legal action is taken that can result in a judgement against you. This unpaid judgement does end up on your credit report and can result in garnished wages and the freezing of any assets or bank accounts.

It is important to do as much homework as you can and take borrowing from any lender very seriously. Making good on your online cash advance ensures this as an option any time you are in a cash bind and need money quickly.

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