Sometimes people turn to a bank or a financial institution for a loan, and get immediate refusal or wait for several days while their details are verified and are rejected anyway. This can happen if a person has a negative reputation in the financial market.
Almost every person once faced a situation when money is urgently needed to repair an apartment or car, to pay for the services of a dentist, the purchase of a coveted item at a lucrative action or other important expenses. It is not always convenient to tell friends about your financial issues. The situation can be complicated by the fact that a person does not have an official place of work, and he will not receive a loan from the bank. In this case, there is the only effective way out-getting a payday loan online, which doesn’t require a good credit history.
What are Possible Ways to Get Money and How Successful They Are?
Periodically in the life of any person there is a situation when it is necessary to receive money urgently. This need does not depend on the social status, monthly income or the success of a person. It’s just the emergency that should be dealt with here and now.
- You can apply to the management of the company in which you work, and ask to pay the salary in advance. The success of this option depends on the degree of loyalty of the employer and the rules of corporate culture. Most likely, there will be no questions if money is needed on a sorrowful occasion. But if you do not have $1000 to buy a luxurious engagement ring for your girlfriend, you are unlikely to get money.
- You can ask for help either friends or relatives. The option is the first one that most people think of, however, it is not the best idea. Nobody likes to ask friends to lend money. The request for urgent money puts a person in an embarrassing situation and, as a consequence, strain relations or even spoil them if you don’t give money back on time.
- You can apply to the bank for a credit. But paperwork, the need to ask the same friend who did not lend money to become a guarantor, spent time preparing and waiting for an answer … Already, money is not needed, and the bank’s security service continues to call to clarify information. Not the fastest method to get money. If you have a damaged credit score, exclude it from your list at once as high-risky borrowers aren’t approved by banks.
- You can request money online credit in one of the alternative financial organizations. This method of obtaining money is simple. When you access the Internet, and have a valid card of any bank, you have a possibility to receive the necessary amount in about 10-15 minutes. This method will work the best as payday lenders aren’t interested in your ruined score and there is no hard credit check.
What are the Possible Reasons Why the Bank Rejected Your Credit Application?
If you have got a refusal from a bank, first of all, it is necessary to analyze why this happened. There are several possible reasons. You could make some mistake filling out an application form or provided not the full package of documents. Or maybe you have already taken a credit, which you are still paying back. However, the most common reason is a bad credit history.
A credit history is information about credit obligations that have been drawn up by a borrower. It contains data on the timely repayment, the availability of timely payments, as well as not repaid loans. Creditors pass to the Bureau of Credit Histories information on how conscientiously you fulfilled all obligations. Based on these data, a client’s credit rating is formed. When a person applies to a financial institution for a loan, the security service requests a credit history and, on its basis, takes a positive or negative decision on the issue of money.
Anyone can get on the blacklist, even without suspecting. Usually, the company notes those customers who took loans and paid off with the delay or refused to pay the debt at all. Ultimately, by paying off the debt, the borrower severely spoiled his credit history, and in that case, can be added to the blacklist.
Also in this list there are customers, whose debts are repaid by relatives and friends. And to their requests, the bank always responds and cares about the welfare of the family, so it blocks another opportunity to take money on credit.
If you haven’t been approved for a bank credit, you will be glad to find out that payday loan lenders are ready to provide you with the helping hand anytime, regardless your bad credit history.
What are Your Chances to Get a Bank Credit if You Have No Credit History at All?
Strangely enough but no credit history is even worse than the history with shortcomings. Surprised? Undoubtedly. Which is better: not know about the potential client at all or know that he has already taken loans, perhaps not always repaid on time but finally paid back or give money to a person who has no credit score at all?
Of course, there is no question of malicious defaulters, whose cases were in court. Most banks are not ready to forgive some shortcomings in the existing credit history. And they don’t often approve customers with zero credit history, especially if their other characteristics are questionable (low income, lack of permanent work).
Which Risks will You Face if Not Repay the Bank Credit?
If the bank cannot force the debtor to enter the payment schedule, he can sell the debt to the collectors. The law does not prohibit this procedure, therefore it is carried out by the majority of banks. If you just started to make delinquencies on the loan, then the sale of the debt is still very, very far, because this can be called an extreme measure. The bank gets rid of the debt, realizing its collection agency for cheap.
To begin with, the bank simply appeals to the collection agency to help it influence the debtor. Then the collector begins to harass the citizen, call him, come home and even to the place of employment. But selling debt is a completely different action.
The bank sells credit debts only when it considers them to be hopeless. If the borrower makes any counter actions, periodically makes some sums on his credit account, conducts a constructive dialogue with the bank, then there cannot be any sale. And the reason for this – the bank suffers huge losses, selling debts, and on the borrower, who at least pays something, it is possible to earn much more.
Bank Credit vs Payday Loan: Cheaper but More Difficult to Get or More Expensive but Easy to Get?
If you have already considered all possible ways of getting money for the urgent problem solution and now feel puzzled as still have doubts, which one to give preference to, you are offered to compare the main methods: via the bank and via the online payday lenders. First of all, it should be noted that not all customers have such a choice. As it has already been mentioned above, banks are unlikely to approve those customers who have damaged their credit score in the past as they are afraid that such borrowers aren’t responsible enough.
However, if you have a good credit and can choose among two options, anyway payday loans have more benefits to enjoy. First of all, they are much easier to get, which helps to avoid hassle. When you have urgent problems, and can’t wait till the payday, you don’t have time to wait till the bank decides whether your credit rating is enough good or not to approve your credit. Secondly, small-dollar loans online are provided without the need to go anywhere as the whole procedure takes place on the internet. Just a simple application form, several clicks and you have the requested money in your pocket or if to be more exact on your credit card as payday lenders send you a loan directly.
The third great advantage of payday advances is that they are able to help when you need money now. The loan is going to be transferred within one business day, which means that you shouldn’t be afraid of facing emergencies anymore. As for the higher interest rate, then there is nothing to worry about if you make on time loan payment. The main aim of payday loans is to provide an instant help with all possible conveniences. Sure, that the high-quality service costs money but such an option as a payday advance is worth your money as $15 for each $100 is sometimes nothing compared to consequences you can face if ignore the emergency situation and wait till the payday.
Moreover, responsible lenders will never allow you to ruin your credit history as first they consider your income and approve as much as you can afford. If your monthly salary is enough to pay the loan back without any damage to your budget and life quality, you can count on the positive loan decision. If you don’t have a stable income or it is not enough to make the payday loan repayment on time, you can be approved for the amount, which seems to be not large for you. This means that in most cases you will avoid unwanted delays and problems with collectors if you choose the lender wisely and stay in touch always.
How to Get an Instant Loan Deposit?
Not so long ago, it took much time to get, a loan. The process could last from one day to several months, all depended on the amount of the loan and the period for which it was necessary to take a loan. In addition, the borrower had to prepare a list of documents that the bank or other financial structure required.
Now everything has changed, and loans have become available online. This means that the client can take a loan without leaving the house or office while being at work. To take money before the day you usually get your salary is possible for everyone.
If you are a citizen of the country and you are eighteen years old, to apply for a loan, you need to visit the lender’s website to pass a quick registration and fill out the application form. The online application for credit includes contact and passport data, an identification code, information about a bank card with verification, in order to get money online and a contract for confirmation and approval.
Filling all fields and sending a request, the system automatically makes a decision in several seconds. The approved customer can receive an online loan in cash, and the money before the payday will be received on the bank card almost instantly.
Credits in the online mode are issued without guarantors and collateral, on any card the bank. Loans can be offered to both employed and unemployed borrowers, students and people of the retirement age, which make this type of borrowing so popular nowadays.
13 Simple and Quick Steps to the Desired Loan Amount
- Go to the site of your payday lender
- Spend time studying the site and the services provided. At this stage you will learn more about the conditions of getting money.
- Register on the site. To do this, enter your email, phone number and password. Think of a reliable password.
- Obtain an authorization instruction that will be sent to your email address for the successful registration.
- Go to the link in the letter for authorization. If within a minute the letter does not come to your mail, check the spam folder.
- After a few seconds, automatically go to your account on the site and proceed with the application process.
- In the window that opens, select the loan amount and the period for which money is needed. Here, also enter a promotional code for a discount, if you have one. Please note that the loan amount received for the first time may be not the maximum offered by the payday lender. After successful repayment, in the future you can count on getting the larger amount up to $1500.
- In the section “personal data” indicate the first name, last name, date of birth, sex.
- In the section “Contacts” fill out your contact telephone number and e-mail.
- In the “Finance” section, indicate your current financial status and regular monthly income you get at the moment. Add information about the card to which the money will be transferred
- Click “Submit” and get a positive decision in several minutes.
- Get an e-mail with the loan amount confirmation.
- Read the online contract, confirm the agreement and receive a loan directly into your card.