Bad credit borrowers can get easy payday loans with minimal requirements if they meet the lender’s basic eligibility conditions with the help of iPaydayLoans. If you have big short-term money needs, some good places to begin your search are WeLoans, US Installment Loans, CocoLoan, and CashAdvance. These services connect you to lenders who fund approved applicants with up to $5000 quickly and at competitive interest rates.
Payday Loan Pros & Cons
There are so many opinions about online loans for borrowers with bad credit. While some speak in favor of them, others maintain that they are a bad idea and that better options should be considered. Let’s look at the pros and cons of getting one of the most popular loan services in the US.
One major pro of getting payday loans is that they are easy to get and are usually processed quickly. Most payday lenders do not have a minimum credit score requirement. That is, their loans are accessible to good and bad credit borrowers so that they can get the money they need at speed.
On the other hand, the most common criticism against payday loans is the high-interest rates. According to the Consumer Financial Protection Bureau, also known as the CFPB, customers can get payday loans with as high as 400% APR. Compare that to the 15% on credit card loans or 4%-36% on personal loans; you can tell that’s a lot.
Payday Loan Alternatives
If you don’t want to take the high risks of getting payday loans, or you want some loan options that are more affordable and with longer repayment periods, payday loans are not the way to go for you. We rounded up some affordable and manageable solutions for you below.
Credit Union Loans
You can apply for credit union loans only if you are a member of a credit union. A credit union consists of people who pool together their savings for rainy days, and most of the credit union facilities are community-focused with no profit-oriented operation. On request, a credit union member can get a loan at a low-interest rate.
Secured Loans
Unlike payday loans, secured loans are backed by collateral. An example is a car title loan. Since the collateral can be auctioned when the borrower fails to repay the loan, the borrower is considered a lesser borrowing risk than a payday loan borrower. Lesser risk translates to lower interest rates.
Help From A Loved One
You can reach out to loved ones you feel can help when stuck between a rock and a hard place. It’s best practice to be transparent about your intent for the borrowed cash and when you want to pay it back. The interest charged on these loans is usually little to 0%.