Is a Payday Loan Right for Me?

Before applying for a payday:

  • Do you really need the cash advance? Is the emergency/dilemma worth borrowing for?
  • Can you borrow money elsewhere? Would a friend or relative be willing to help?
  • Do you have bad credit? Often this doesn't matter in securing the payday loan...but could you be putting yourself into an even worse position?
  • Most importantly, can you payback the payday loan in the amount of time alotted for repayment? Not paying the loan back could adversely affect your credit.

When you apply for a payday loan (cash advance):

  • Do some research. Is the payday loan lender licensed?
  • Ask around - Do you know anyone else who has dealt with the company? Are they trusted? Has anyone had problems?
  • Read the cash advance contract thoroughly. Are there any hidden fees that might make the loan hard to pay off.
  • Shop around- Payday loans with high APR are common. Where payday advances are allowed, competition between lenders can save you significant money and decrease debt.
  • Do not hesitate to ask the cash advance loan lender to explain terms and conditions, and interest rates of the loan you are interested in.
  • Pay off the loan as quick as possible - Try to pay off the payday loan when you receive your next paycheck