Can I Get a Guaranteed Payday Loan?
You might have seen or heard different advertisements from payday lenders, but do they all live up to their promises? One of the questions going through your mind right now is likely about the guarantee on payday loans. Different criteria determine if your payday loan will be approved.
When you submit a form for a payday loan with AdvanceSOS, they check your form for the necessary criteria we will discuss below. A low credit score may be an obstacle that could prevent you from looking for a payday loan, but there is some headway with the proliferation of different online lenders.
What Criteria Determine Approval of Payday Loans?
The requirements needed to secure a payday loan are simple. You must be a U.S resident with a regular source of income of above $800 per month. The amount you earn forms part of what the lenders use during the credit checks. While having a low credit score might not prevent you from getting a payday loan, some lenders put a series of checks in to assess your chances of loan repayment.
You are expected to be at least 18 years old, have an active checking account, and present a valid means of identification. Information about your home address, phone number, and date of birth may be required.
Can Your Credit Score Affect Your Payday Loan Approval Status?
A credit score is a measure of creditworthiness of an individual. It gives an insight into your history of borrowing. Licensed lenders carry out thorough research to discover the loan options available for you based on your credit history.
A good credit score means you are likely to pay back any amount of borrowed money, while a low credit score means you have a history with limited payment history or no history at all. Lenders take a greater risk by approving loans from individuals with a low credit score.
However, some creditors do still consider borrowers with a bad credit score, and we offer a free online loan connection service. You can see no credit check loans for more information.
Payday Loan Tips: How Much Should You Apply For?
When you are confused about the amount to borrow, you should consider your personal finances before picking a figure. How much is your gross income? If you remove your monthly expenditures from your income, do you still have enough left to apply to your loan repayment?
Short-term loans should be used for emergencies or during a temporary lack of funds. The need to buy luxury items might surface during the month, but living within your means contributes to being financially stable.
The less the amount of money you apply for, the greater your chances are for having your loan be approved because this means the lenders are at lower risk. You also pay a lower amount as an interest fee and have better control over your financial status.
How Can I Improve My Chances of Loan Approval?
If you are applying for a loan to finance a holiday, vacation, party, or home improvement project, you are less likely to be approved. It is vital to apply for loans only when you need money for an urgent, indispensable purpose.
Compare the loan requirements of different lenders presented to you and ensure you meet their criteria before applying for a loan. What are their interest rates, annual percentage rates, and repayment plans? When you know the total amount you will be expected to pay, it becomes easy to make your repayment plan either as a one-off or as installments.
We increase your chances by sending your loan request to different verified lenders, which greatly helps you. Our services are available both online and for free.
We save you the time, money, and stress you may encounter if you go through the traditional bank lending method. They would also not be as willing to offer you a loan if you have a low credit score.
We will pair you with a lender that will provide you with a reasonable offer. You’ll get results instantly, and as soon as your payment is approved, you get paid directly into your account on the same day.
Amanda is a senior financial copywriter at AdvanceSOS. Amanda has been writing about finance since 2015. She graduated with a Master’s in finance from the University of Oklahoma. As a result, she has a wealth of experience and knowledge to share with her readers.