The borrower is entitled to receive up to a % of the amount of his paycheck. In lieu of which, the payday loan companies expect the applicant to provide them with a post dated check for the amount of the Principal and Interest. Generally, payday loans are provided for a period 7-15 days or may depend you can compare payday lenders and go for what you think is the best.
Following are the advantages:
This is one of the best advantages of payday loans. The applicant has access to cash, which can be used for car repairs, pay for utilities, and other small expenses which cannot need to be payed there itself.
No Extra Collateral Required:
Unlike the bank loans, which require an additional collateral such house or car, payday loans are given against a postdated check in name of the payday loan companies. These loans are given to people who are unable to provide the additional collateral demanded by banks.
Payday loan companies provide people with loans as low as $100 or $200 or depends.
Banks may be unwilling to provide loans for less than $1,000 now this is something to think about. Although banks provide an overdraft facility, their overdraft fee is quite high, and is generally taken for business purposes.
Original Resource: Advantages Of Payday Loans!