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Cash Now
Obtaining Cash now is no longer just wishful thinking. Cash now advances are unsecured short-term loans given out to borrowers who literally need cash now to cover sudden or unexpected expenses. Also known as “Check Loans,” “Payday Advances,” “Quick Cash Advances” or “Payroll Advances,” [LINK] cash now loans are given out to virtually anyone who applies, regardless of your financial standing or credit history. All you need is a proof of steady income and a permanent residence, and most lenders will let you walk away with cash in hand that very same day, to be repaid when your next paycheck arrives.
What makes cash now attractive to many borrowers is the ease with which it can be obtained. A borrower can go to a check casher, or even apply online for cash now advances, fill out a simple application detailing personal, employment, and bank account information, write a post dated check to the lender, and walk away, cash in hand. There are no background or credit checks required.
The fact that many lenders now allow borrowers to have funds deposited (and later repaid) directly from a borrower’s bank account, means that borrowers only have to go as far as their computer to obtain their cash now advance. If you know you are short on rent, or have a sudden expense that must be covered immediately, a cash now advance might get you out of a tight spot.
However, there are some pitfalls to watch out for. Cash now advances have a low ceiling; $300-$1,500 is all most lenders are willing to shill out. Cash now advances also have extremely short repayment periods, usually 14-30 days or however long until a borrower’s next paycheck arrives. These types of loans also have extremely high interest and annual percentage rates (APR), meaning that a borrower will have to pay back more than they borrow, simply for the convenience of obtaining cash now. If a borrower fails to repay a the advance when his next paycheck arrives, it gets rolled over into the next pay period and all service fees, interest rates and APR get factored in a second time. Since there is no legal restriction as to how high a service fee can be applied to cash now advances, after just one or two defaults, a borrower can end up in a worse hole than he was in before.
If you know that you need a cash now advance, be sure that it is one of your last resorts, and be sure that your next paycheck will cover the cost of the advance and all applicable fees. Never borrow more than you need to cover the immediate expense, and never take out a second advance on top of one you have not repaid. If you still need money after obtaining a cash now advance, seek other options. Whenever you apply for cash now, make sure you mark down the cost of the advance in your checking ledger immediately after you write that post-dated check to the lender. Never let sloppy math put you in a hole of debt.
Finally, if you’ve already exorcised your cash now option, budget your next paycheck accordingly. It is better to have to scrape your way through one reduced paycheck, than it is to have scrape your way through many down the line, when the cost of your cash now advance has multiplied several times over. Cash now can be a blessing, but only if you use it wisely.
Topics: Payday Loans |
