What is a 1 Hour Payday Loan?
A 1 hour payday loan works a little differently than the usual payday loans that we are more familiar with. As the name proclaims, you would be receiving your small loan within an hour of applying for it whereas regular payday lenders tend to take anywhere from 1-5 business days before it is sent out to your bank.
However, there is a catch with receiving a loan quickly and with such ease. Most banks nowadays require a longer time before you receive the loan because they need to thoroughly look at your application to check your credit and payment history.
As most people would know, it is due to the Banks needing to know if they can trust the person that they would be giving the sum of money to pay it back when the deadline comes. Some banks, like the 1 hour payday loans, do not require hard checks of your credit and payment history which is how they are able to send money so quickly.
Unfortunately, there are very few banks that will lend you money now within an hour which is why the concept of being paid that quickly is almost unheard of in the world of finance and banking. Let’s read more about the Scoop on 1 Hour Payday Loans.
What are Payday Loans?
A payday loan, in general, is a small loan you can take out for a short amount of time. They are meant for unplanned expenses, for example, if your car suddenly needed a repair, if your pet needed to go to the vet unexpectedly, if an appliance in your home suddenly broke.
All of these things happen suddenly which is why receiving quick loans helps a lot in these cases to avoid a financial predicament. Most lenders will have the deadline for your loan payment be within two weeks since they are only meant to be for quick and unexpected expenses.
Sometimes though, they will adjust it according to when you receive your next paycheck in order to ensure both parties that the payment will be made on time. It is important to manage these loans effectively however, since they can often be hard to pay back. Sometimes they end up leading to spirals of taking loans out again and again to keep paying for the previous ones.
How Do You Apply For A Payday Loan?
Find and contact lender Provide Identification (must be 18 years old)Provide source of incomeProvide the bank that you work withFill out applicationApplication will either take 1 Hour or 1-5 business days to be approved
Conclusion
Now we have learnt ‘The Scoop on 1 Hour Payday Loans’, To sum up everything, 1 hour payday loans are small amounts of money that are usually spent on unexpected expenses and will be paid within a short amount of time, usually 2 weeks. Many lenders however, do not give out such quick loans and so they will be hard to find. Make sure you’re careful with what site you trust with that information.
How Can I Avoid Spiraling into Payday Loan Debt?
The best way to steer away from Payday Loan debt is checking your budget plan beforehand to see if you would have enough already saved to pay it back once your paycheck comes. Another way is to calculate what your next paycheck is going to look like after regular expenses are paid off. If you cannot afford to pay it back within the 2 week timeframe then do not apply for the loan.
Do You Need To Have A Good Credit Score To Apply For A Payday Loan?
You don’t need to have the best credit score in order to apply for a payday loan but you don’t want it to be too low, so 650 or higher is typically the best credit score number you want to be at. If it is too low or if you don’t have a stable income then you most likely will not be approved for the loan.
How Do I Know If The Lender Is Legit?
Look up the company to see if it has a following at all. Checking for commercials or ads will be helpful too. The google search bar also has a helpful tool with the padlock on the very left hand side of the bar. If the padlocked is locked, that means it’s a secure site. If the padlock is unlocked, that means that the site is unsecured and not advised to be used.
