Use Faxless Payday Loans To Your Advantage
If you’re like most people these days, you receive your pay by direct deposit in to your checking or savings account. This smart practice saves time, money, paper and it also gives you an advantage when trying to secure fast loans online. Because you have a direct deposit coming into your account on a regular dependable basis, online payday lenders are able to loan you money against your next paycheck with a fairly quick and easy application process.
Now there is a new innovation in payday lending called the faxless payday loan. With this type of loan online, paperwork is at a bare minimum. The lender simply verifies your basic information:
- Contact information
- Employment information
- Banking information
This is all done electronically, and the process can take just a few minutes. Once completed, you could be on your merry way with your money!
What Is Needed To Get A No Fax Payday Loan?
The requirements to receive a faxless payday loan online are the same as with any other payday loan. You must be an adult (over the age of 18). You must have been employed at your current place of work for a minimum of one month, and you must earn a minimum of $1000 a month. Some loan lenders have other requirements, but these are the basics.
The application process is conducted entirely online.
Here’s how it works:
1. Find reliable online payday loan lenders and read through the terms and conditions of loans the lender provides. Be sure that you understand terms of payment, amounts of penalties and interest. You’ll want to compare several different payday lenders to look for the terms and conditions that suit you best.
2. When you have settled on a lender, fill out the quick and easy application online. Have your banking information, driver’s license and other required documents at hand so that you can transfer the information efficiently. The typical no fax payday loans application will ask for information regarding the following:
- Income amount and frequency
- Your place of employment
- Length of employment
- Contact information
- Banking information
- Place of residence
- Citizenship status
3. Click SUBMIT and then check your inbox to be sure that you have received your confirmation email.
4. Relax and wait for the results! You may find out whether or not you have been approved within a few minutes, but it may take up to 24 hours.
5. Upon approval, the payday lender will transfer your funds electronically directly into your banking account.
Big Improvement Over Other Types Of Internet Loans
It’s easy to see that online pay day loans are definitely the way to go when you need money for an emergency or unexpected expense quickly. You won’t have to do any traveling or hunt around for a fax machine (in the event that you don’t have one).
You won’t have to send your sensitive documentation to an unknown location in paper form. All of your information will be transferred securely in an encrypted format over the Internet that keeps it safe and secure.
You can apply for your paper-free loan at any hour of the day or night, any day of the week. This can be a real boon when it comes to covering emergencies. Whether it’s something small like an error in your checkbook that results in a check that you must cover quickly or an unexpected trip to the dentist or doctor, knowing that you can quickly get a loan can give you real peace of mind.
Faxless payday loans are available to applicants who are citizens of Canada and the United States of America. Naturally, if you live in the United States you would apply with a US lender. If you live in Canada, you would apply with the Canadian lender. Getting a loan online in other countries is difficult because of the lack of lenders and security infrastructure in those countries.
Reviewing The Benefits Of Internet Payday Loans
As we have seen, there are many PROS:
- Fast, Easy and Secure Application Process
- Fast Availability of Funds
- Convenient Repayment
- Rapid Response
- No Credit Check
- No Paperwork
Another great thing about all types of payday loans is that, unlike a standard loan, you don’t have to explain why you need the money. You can use your funds for whatever you need to do.
Are There Drawbacks To Faxless Payday Loans?
As with many things in life, some of the PROS are also CONS. While it is wonderful that you can apply for a payday loan and receive the funds in the middle of the night in your jammies, this could also be a drawback.
If you are tired or upset, you might find yourself applying for and spending a significant amount of money unexpectedly. This could result in problems and hardship for you at your next payday.
The fact that the lender takes repayment directly from your checking or savings account is convenient, but you could also get yourself into trouble if you don’t budget properly and keep good banking records. You must be sure to notate your expected repayment amounts, or you may find yourself overdrawn.
One of the main drawbacks is the fact that using them can become a vicious cycle that keeps you impoverished. This can happen to you if you borrow the entire amount of a standard paycheck and must repay it with your next paycheck. This will leave you with no money next payday, and you’ll have to take out another loan just to get by.
It is easy for this to become a habit, and the result is you will lose part of your paycheck every payday because you will have to pay fees to the payday lender. This is a situation you definitely want to avoid!
Avoiding A Payday Loan Dependency Cycle
While many financial advisors and debt counselors recommend strongly against payday loans altogether, the fact is a payday loan can be a very valuable financial tool. The key to using them correctly is to exercise restraint. Consider these guidelines:
- Decide whether or not you really need the loan. Remember that this financial tool is intended as a very short-term, Band-Aid solution to an emergency situation.
- Only borrow the bare minimum that you need. It’s very tempting to take out a little extra (or a lot) to feel more comfortable, but it will wind up making you feel very uncomfortable when your next payday from work rolls around.
- Don’t borrow for emotional reasons. This caution covers a lot of bases. If you are hungry, angry, lonely, tired, disappointed or under the influence of drugs or alcohol, don’t borrow money! Additionally, if you are extremely happy or excited, don’t borrow money. Wait until you are in your right mind to make this important decision.
- Use this valuable financial tool for emergencies only. Unscrupulous lenders will encourage you to borrow for a treat for yourself, a vacation or a number of other frivolous reasons. Don’t fall for this! You will surely regret it!
How To Break A Payday Loan Dependency Cycle
If you are already caught in a borrowing cycle or struggling with debt, there are a few things you can do to set yourself right. Begin by writing down all of the debt that you owe so that you have a clear picture in your mind of exactly how much you are obligated to repay and at what time. Then set about establishing a firm plan to follow in order to resolve your financial issues.
One thing you definitely don’t want to do is continue going into debt to pay off debt. You’ll want to give yourself some alternatives to turn to and reserve your ability to apply for a payday loan as a last resort. Options such as taking on a supplemental part-time job or hosting a garage sale to sell off old unwanted items from around the house can add a few extra dollars to help pay the bills.
As always, we recommend talking to a professional about your current financial situation to come up with a plan of action to follow.
When used correctly, a faxless payday loan can be an important financial tool in your arsenal. While it may be easy to obtain a sum of money, just remember, don’t abuse it, or you will lose it and possibly fall in to a financial black hole where as you may never escape!