Thursday, June 7, 2012

Quick Loans For People With No Credit

Have you ever had an experience like this at a bank - first you wait to see a loan officer, then you wait for loan approval, only to find you've been turned down based on the fact that you have no credit. If so, you know that these days, banks are not the best place to get quick cash because so many banking rules have changed in the bad economy. Many people find that it's harder to qualify for a loan now, and lots of applicants are turned down, no matter what their credit rating may be.

If you have personally waited in line to speak to a loan officer and wondered what would happen, you know what I'm talking about. Waiting for him or her to conduct a credit check is frustrating, but getting rejected is even worse. Banks weren't always this slow and difficult, but now it's not as easy as it used to be. And the biggest frustration to me is when you make an application and leave it with the loan officer, expecting a call back within a relatively short time. But no call ever comes. That is just so aggravating.

I hate to say it, but quick loans for people with no credit are a snap compared to working with traditional banks and credit unions. Cash advance lenders are in business to make instant loans; it is their main business, besides check cashing, money orders and bill pay services. Whenever you visit a loan store you may discover other services are available there, too.

So, if you are in a tight spot cash-wise and also because you don't have a credit score based on your credit history, it's a good thing to know you can still do business with payday lenders who lend instant cash to working people with a bank account and identification documents. As long as you have a recent paystub from your regular employer and your bank routing number, you should be well on your way to the cash you need.

Of course you'll also have to complete a short application along with bring your pay stub and drivers license or state ID card in order to get quick loans for people with no credit. Even though you don't need to have a credit history, you have to be employed to get cash advance loans. That is a problem for people who don't have a job, so make sure you are aware of the simple, basic requirements. Individual lenders may have different requirements, but all will undoubtedly require your bank routing information, your ID information and the pay stub. Those three items are basic to all lenders in the payday loan business.

Have you noticed how everybody seems to be so busy and distracted now? Anyone who needs a loan has to get creative and relatively assertive in order to meet regular and emergency financial needs on schedule. Many people have discovered the convenience of quick loans for people with no credit and they are amazed at how fast and easy they can obtain the cash they need. It's not just possible, but it's guaranteed that you will cut down your waiting time and end the game of phone-tag for loan approval. Those are both very good things.

Don't forget that credit cards offer cash advances, too, in case you have any. But most of the time it's the people with no credit that cannot obtain credit cards with reasonable interest rates. Usually those temporary credit card accounts involve higher interest rates and annual fees. Short term loans from payday lenders have relatively high interest rates and fees as well, but they are not installment loans like credit cards. You will repay your entire cash advance loan in one single payment on your next payday. That is just how it works.

So, by providing your bank routing information your lender will deposit your loan money into your bank account wirelessly following loan approval. And then, on the date you receive your next pay check that same banking information will be used to withdraw the loan repayment, which will include interest and fees. The fact that you have no prior credit history will not enter into the transaction at all because the loan is not based on a credit score.

It's not hard to see why quick loans are called payday loans. They are due and payable on your next payday, and in the event you are not able to repay the entire loan plus interest and fees, usually they can be renegotiated. Yes, it is a loan extension, but it may require new paperwork and it definitely will require recalculation of the interest rate and fees. This is where you can get yourself in trouble if you're not careful. Loan extensions on single pay loans are notoriously costly. Try to avoid extending your repayment if at all possible.

Remember, the reason these short loans are called cash advance and payday loans is because they are secured by your next pay check. The entire loan amount is scheduled to be repaid by an automatic debit from your bank account on your next payday. Since you and your lender both know that your repayment is all arranged in advance, any change to the agreement will have to be set up before your next pay day, and it will require new loan documents as well.

Having no credit is not a stumbling block for you any longer when you apply for quick loans for people with no credit. As long as you are employed and have a bank account and ID documents, you should be able to qualify. It's a great feeling to know that the fact you have not accumulated credit cards or loan payment histories won't keep you from getting the cash you need whenever you need it. And, since so many families are facing a cash crunch every month and having a hard time making it between paydays, especially in emergencies, these quick loans can really come in handy.

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