There is often the need to meet some short term financial requirement. While you might have some savings set aside for a rainy day, you might need a loan urgently to invest or use for a short term need. This means that you need money urgently for which you don’t have the cash now. Installment payday loans are the option designed for such a need.
Installment payday loans are ideal for salaried individuals who might find it hard to meet some short term financial needs. The loan option is a modified version of the regular payday loans, and the installment loans are available within 24 hours of the submitted loan request.
How Do Installment Payday Loans Work
The installment payday loans are requested for and made available for urgent need. The loan amount is paid back to the lender – QuiddiCompare in example, through a post dated check process. This check is issued by the borrower from their account. This way, the check acts as a guarantee given by the borrower to the lender that the borrowed amount will be returned as per due.
When the salaried individual receives their next paycheck, the post dated check is duly cashed. The cashed amount paid to the lender includes the original amount which was lent out and also includes the additional fees for the service.
It is a good idea to have a thorough understanding of the fees and requirements charged by the installment payday lender before making a commitment, just as you should with any other lending option. The installment payday loans have been designed to accommodate the urgent needs of those who have need of immediate cash for any short term need.
Pros of Opting For an Installment Payday Loan
There are a number of reasons which are counted as great benefits of the installment payday loans. Some of them are,
- Ideal option for handling the cash crunches and immediate short term needs for salaried individuals
- The borrower can get a loan amount of $1000 or as decided by the state law, approved easily within a day
- The borrower is free to invest the payday loan amount in any opportunity they want
- The payday loan makes it possible to pay off any short terms debts on an urgent basis easily
- The post dated check process ensures that the loan amount is paid off on the due date without error, thus helping one ensure a good credit rating by paying off their short term loans on time
Hence, the installment payday loan is the solution to the worries of all those salaried individuals who find themselves stuck with the need to pay off a debt, pay off an emergency expense or make a short term urgent investment now, and cannot wait for the next due paycheck.
Not only that each bank has its own policy, different offers and terms and conditions of opening an account, but there are also various types of bank accounts, all of which are suitable for different purposes. In this article, we will deal with the most common types of bank accounts, their basic features and their main purposes.
Basic checking accounts – basic checking accounts are used when you need the access to your funds on daily basis, and also if you need to receive the funds from time to time (for example, monthly paychecks are often deposited onto an individual’s checking account). These accounts include no or very low monthly fees (such as a maintenance fee), the number of monthly transactions is unlimited, as well as the balance you can have on the account. You can withdraw the money from this account at any time, and it can be connected to a debit card you can use for ATM withdrawals or all sort of purchases.
Interest checking accounts – interest checking accounts, as the name says, come with an interest that is cumulated yearly on the amount you deposit onto the account. However, these interests are not too big (from 0.10% to 0.90%), so if you want to earn money from the interest, it is a better solution to deposit the money onto a savings account.
Savings accounts – savings accounts are used for depositing money you need to save and which you do not want to use from day to day. They usually come with an interest, so when you withdraw the money from the account, it will be increased for the percentage of the interest. These accounts are not suitable for daily use of money, since they usually come with withdrawal restrictions which disable you from withdrawing money for 3-6 months or even longer.
Certificates of deposit – this type of accounts is another way of depositing money for saving. They come with withdrawal restrictions that last from 6 months to 5 years, and they include penalties if you withdraw the money before the prescribed period. Because of this, they usually have higher interest rates than savings accounts, so they are useful when you want to save a certain amount of money you are willing to give up until the withdrawal restriction period expires.
Individual retirement accounts (IRAs) – this is a type of savings account which is used for saving money for a retirement. There are traditional IRAs and Roth IRAs, and the difference is in the tax payment. Traditional IRAs require you to pay tax on your savings later, while with Roth IRAs you are obliged to pay it now.
Brokerage accounts – this type of accounts can be used for investing your money in a different account than IRA, or in case your IRA has been maxed. However, it is most commonly used for investing in the stock market – for buying and selling stocks, bonds, mutual funds and other types of investments.
Payday loans have presented themselves as a quick and easy solution for those people who are struggling for the cash. People would rather file an online application for a loan, then deal with a local lender and number of documentation required for that process.
Here are the three best payday loan companies regarding their service and relationship toward the clients.
This is a company specialized for payday loans, but recently it has expanded its branch. Now their service is available across 17 different states of U.S. Largest amount that can be lend is 35,000$ and this company has the best interest rates than any other. This company will allow you fast payday online loans, without checking your credit score, it doesn’t matter if you have poor, bad or low credit history. This company will allow you $20,000 as an instant cash, but you can still borrow $35,000 in long term conditions.
Avant will usually take 15 second to approve the loan. Interest rates go from 9.95% up to 39.95% APR. You will not need a proof of employment, this company will allow you to take a loan if you are self – employed, or you have some disability, or you are a social case. Regarding this company, you will have to return the firs loan before you are able to apply for the second.
Check ‘n Go
This is another lenders company which has gained the right to be called best online lender. They have lot of local departments which provide costumers easy access to a cash. You will only need to visit a department, talk to someone regarding your requirements, fill in an application and you will have $1,500 dollars at your disposal. You have the chance to use online application process, but that requires a bit of time, money will still be directed to your bank account in 24 hours. If you are urgent for the cash, the best solution would be visit one of their store.
On borrowed $100 you will be required to pay $22 of interest rate which represents 583% of APR. The evaluation process is very easy, you will be required to enter your personal information, income and information regarding a bank, you will need to validate your checking account, because Check ‘n Go will use it to deposit your money. The maximum arranged time to return a loan is 35 days.
This company was based in Utah and lasts since 1997. It has one of the best site on the market now days. This company doesn’t allow you to borrow/lend money, but help you find best online lender suitable for your needs. Based on filled in data, the site will provide you best lenders available online.
This whole process can be done within five minutes and the funds will be deposited at your banking account the next day. You can find loans here between $100 and $1,000. You don’t have to worry about scams, because the Cashadvance.com only works with lenders who have high reputation and who offer the best prices. Their policy is very transparent, on their web page you will be able to see advantages and disadvantages of payday loans.
There are many types of loans granted by banks and other financial institutions, and mortgage is one of the most common loans both individuals and businesses take for different purposes. There are several types of mortgages, and they generally function on the following principle: the borrower pledges a real estate property (usually a house) as the collateral in order to get a loan from a bank. He is obliged to pay the bank each month the installments of the principal of the loan and the interest. If in any case the borrower fails to repay the debt in full, the lender is entitled to selling their equity of the pledged real estate and repaying the debt using the money they got from the sale.
In addition to the above described principle of mortgage, there is only a type of loan called a reverse mortgage. It is available for the individuals over 62 years of age, and it functions based on this principle: you pledge your house against which the loan is secured. Instead of you paying the monthly installments to the lender, they pay the installments of the loan to you, while getting higher and higher equity in your home until they pay you the full amount of the loan. With such a mortgage, you are not required to repay the debt until you permanently move out of home, sell it to someone else or pass away.
With traditional mortgage, at the moment of making the agreement the lender holds full equity in your home, and you overtake the larger and larger percentage of equity as you repay the debt. With a reverse mortgage, you keep title to your house and it only represents a security to the loan. As time goes by, your debt to the lender increases, as well as the lender’s equity on your home. Once you move out, sell the home or pass away, the lender is entitled to selling the equity they have on your home, in order to make up for the money they borrowed you.
The remainder of the equity goes to the new homeowners in case you sold the house, or in case of your death, to your heirs. In case you outlive the period of the reverse mortgage, according to the Federal Trade Commission, you will never be obliged to repay more than the value of the house.
Just like other types of mortgages, the reverse mortgages also come in several forms. The most common form of reverse mortgages is the Home Equity Conversion Mortgage (HECM). They are among the most popular types of reverse mortgages because they are the only ones guaranteed by the U.S. federal government, and because they are free from many limitations other mortgage types pose, such as income limitations, specific medical requirements or limitations on how the mortgage money will be spent.
Reverse mortgages are mostly used by people who are “rich” in real estate but do not receive enough cash for their needs. It can be a good way of obtaining the additional amount of cash during the age of retirement, but before opting for this step, make sure to shop around different types of reverse mortgages and choose the one that provides conditions that will suit your situation and needs.
Since mortgage is one of the most common ways of getting a loan, it is no wonder that there are many different types of mortgages, and that they duration may vary significantly. Still, mortgage contracts are usually longer in lasting than the contracts for other types of loans, and their duration goes from 10 to 50 years. People tend to think that they are obliged to repay the mortgage debt in 30 years or even more, but there are many mortgage contracts which allow repayment within 10 or 15 years. In this article we will deal with comparison of the 15-year and 30-year mortgage contracts.
When it comes to a 15-year mortgage, one of the most obvious advantages is that the debt will be repaid much faster, and you will have the full equity of your home in 15 years, which is a relatively short period for such a large and serious amount of money. Another advantage is that you will save a lot of money on interest, no matter if you take a fixed-rate or an adjustable-rate mortgage. The amount of interest adds up over the years, and paying the interest for 15 instead for 30 years will save you a lot of money in the long run.
However, there are the disadvantages of 15-year mortgages as well. The value of the house is the same no matter if you repay the debt over 15 or over 30 years. Therefore, the monthly payment will be higher if the repayment period is shorter, which can make it difficult to repay the debt if you are on a tight budget.
30 years is the most common period on which most borrowers sign the agreement. It has certain advantages over the 15-year mortgage, and the first one to be mentioned is much lower amount of monthly payment. As stated above, since the value of the house is the same no matter how long the repayment period is, with a 30-year mortgage you will pay much lower monthly installments, which has many benefit, especially if your incomes are not very high. Another advantage is that you can keep the cash you get from the 30-year mortgage, and thus increase your personal savings you can use for other purposes.
Just like there are advantages, there are also certain disadvantages to a long-term agreement such as this one. First of all, since a certain amount of interest needs to be paid in addition to the principal loan, the total sum will be much higher when you add up the interest money collected over the 30 years period than over the 15 years period. Another disadvantage is that 30 years is objectively a very long period of time, and unpredicted situations may occur to prevent you from repaying the mortgage.
After carefully examining all the options you have and all their advantages and disadvantages, it is important to make a decision based on facts and reason. Compare the conditions of different mortgage deals and think about your situation and the options you have before making the final decision.
If you really need cash the payday loans could seem as a great option;however, it is usually extremely easy to be trapped in a never-ending debt cycle. Refunding of your payday loan in the shortest possible period of time is often the best bet, but one should not abandon basic necessities to do so. You need to keep in mind that payday lenders apply a great number of questionable methods in order to keep you trapped in a debt. So, it is very significant to know your own rights, so that you can block the debt cycle forever.
Realize you are being trapped.
Since many people simply cannot pay the primary sum back, they get trapped in this awful never-ending payday loans cycle.As an alternative, they will pay a low fee in order to take up the loan again for some other term.
Lenders usually charge very high rates of interest, which is approximately four hundred percent annually. So, the sum of money you owe to lenders can be added up really quickly if you do not refund the loan immediately.
The largest number of payday lenders often require from you to provide them with a postdated check for the sum that you owe or permit them the withdrawing of the money from your own checking account when the payment is due. So, if there is no money in your account, the lender will most likely charge you a fee, and your bank will charge you an overdraft, as well.
How to Cut off the Payday Loans
Keep in mind the true cost.
Always be sure of how much interest rate is being charged by the lenders as well as the day when your payment is due, and what your choices are when you cannot afford paying before you raise a payday loan.
Why not try to make a table of illustrations on how much money you will owe if continuing to renew the payday loan? This Could help you to be motivated to pay it off as soon as possible.
Pay off the loan!
Payday loans mostly are due to be paid off completely on the next scheduled-pay-day. This generally means you have two weeks to pay the loan back. The most efficient way to stop a payday loan is to simply pay it back. If you pay off the loan immediately, then your fees will probably not be so high.
Try saving money by reducing expenses that are non-essential, such as eating outside and various kinds of entertainment. Also, there is a possibility of raising some extra money by putting on sale things that are no longer in use as well as performing some odd jobs, or working overtime.
Also, there is always an option of asking some trusted friends and family members to assist you in getting out of a never-ending cycle of payday loan cycle by lending you money.
Always ask about plans of the payment.
So, most payday lenders provide their customers with payment plan options. This is especially the case with people who simply cannot pay back the wholesome they are owing.