Tag Archives: credit card
What is a payday loan
A payday loan has many names. Some call it a cash advance loan. Some call it a check advance loan. Another name is a post-dated check loan. Still others call it a deferred-deposit check loan. The Federal Trade Commission in the U.S. calls it “costly cash”. No matter what you call it, its the same thing: a small (usually $50-$500) short-term loan with high interest. A payday loan (also called a paycheck advance or payday advance) is a small, short-term loan that is intended to cover a borrower’s expenses until his or her next payday.
Have you ever been burdened with an unexpected expense, like a big car repair bill? How have you handled it? Do you use your credit card and pay for it, including interest, over a period of time? But perhaps you dont have a credit card. Or maybe youre one of the millions of people who carry too much debt, and have already “maxed out” your credit card. Do you have friends to borrow from? Most of us dont like to do that and most friends dont like that, either. So what do you do? Well, you could get a payday loan.
What are the benefits of payday loans? Lets see:
You wont have to go through the hassle of a credit check.
You can apply in person, on the phone or on the Internet.
The process takes less than 20 minutes.
The loan proceeds are automatically deposited into your bank account within 24 hours.
Its affordable, at least immediately you dont have any up-front costs.
Its discreet nobody else is involved.
Its secure your financial information isnt shared with others.
Ok, that makes sense. Those are enough reasons to get rid of the stress of being short of cash. Its a “quick fix”. You can cover the shortage, and get on with your life. And youll be able to pay it back next payday, right? So youve solved your problem.
These companies are in business to “help” those in dire financial need. They offer these loans to people who cant find the money they need anywhere else. Lets profile one company who offers payday loans as part of their overall financial services business Money Mart.
Money Mart was created as an alternative to banks. Their hours would extend beyond banking hours, and theyd situate themselves in more accessible locations than banks. They could cash checks when banks were closed, and people wouldnt have to travel very far for their services. They must have been on the right track because now, they have 1,700 locations in Canada, the U.S. and the U.K.
A typical Money Mart customer is an average working person, 32 years old (82% of customers are under the age of 45) and employed, with an annual income around the national average. These customers go to Money Mart because of their fast service, their convenient locations, and their extended operating hours. The founders of Money Mart were right their original ideas still hold true today.
Since adding payday cash advances to their financial services, theyve carved themselves a very nice niche in the industry. But theyre definitely not the only choice. You can now find at least one, and usually several, payday loan centers in every community
How To Consolidate Credit Card Debt
It is so easy to get heavily into debt on credit cards that you within a few months or even weeks you could find yourself not being able to keep up with the repayments. If this is the case, then you should think about consolidating your credit card debt. Consolidating your debt can make it easier to manage your money problems as well as helping you to save money. Here are some useful hints about consolidating credit card debt.
What is consolidation?
Consolidation is where you take all of your debts and combine them into one debt. For example, if you have 2 or 3 credit cards with a balance on them, you could get one credit card to cover all of the debts and transfer each balance onto this card. This way all of your debts are covered in one place and you only have one bill to pay.
How to consolidate?
There are different ways you can consolidate your credit card debt. One way is to get out a loan in order to cover your credit card debts and then pay off your credit cards using this loan. Then you can pay back the loan over a longer period of time. Although this is good because the interest rate will be lower than the credit cards, it will most likely take you longer to pay off. Another way is to get a credit card that has a limit that can cover the debts you have, or at least most of them. This way you can put all your debts in one place and pay them off.
Cards for consolidation
In order to consolidate your credit card debt onto one credit card, you need to make sure that you get the right card in order to make it worthwhile. Getting a card with a higher or equal interest rate than you currently have will not make any difference. Instead, look for a card with a lower interest rate that will help you to save money and pay off debts quicker.
0% cards
The best cards to get for consolidation are cards that offer 0% interest on balance transfers. Some of these cards offer 0% for up to one year, which will mean that you will pay no interest on the balance you transfer to the card for a year. This can save you a lot of money as well putting all your debt into one convenient place. For example, if you have a balance of around £3,000 to transfer from 15% cards, with 0% for a year you could save around £200. These cards are especially good if you can pay off the debt within the promotional period.
Cancel your cards
Remember, when you consolidate your credit card debt, it is important to cancel all or some of the cards that you have transferred from. Although cancelling too many cards can hurt your credit rating, it is better to cancel them, as this will stop you from being tempted to use them again and thereby further increasing your debt. If you have 2 or 3 cards with no balance, then get rid of all but one of them so that you have less chance of increasing your debt. If you consolidate your credit card debts correctly then you will make paying your bills easier and save yourself money on interest payments.