Quick loans come in handy in times of emergencies, falling behind on bills or in the middle of the month when money runs low. Unexpected medical emergencies can force a person into making quick financial decisions. Instead of borrowing from friends and relatives or running up more debt that affects a person’s credit report, quick loans can sidestep these issues and help a person resolve financial problems with minimal headaches.
Just like the name suggests, quick loans are designed for fast approval, which is usually within a day. The main requirements for these types of loans are that a person must be at least 18 years old and have a steady job with an active bank account. A person’s monthly income determines how much fast cash they can borrow. Self-employed workers are typically not eligible for quick loans unless they can show two years of steady profits from tax returns.
These loans are more convenient than traditional loans because they are easier to get, which can be applied for online without a processing fee or a credit check. Finding the right lender who offers fast approval without a credit check can be done with a little bit of online research. From there, the applicant submits an online form and then awaits a response from the lender, who does a quick verification check with a telephone call.
Once approved, the cash will appear in the borrower’s bank account and is able to be used right away. The time frame for repaying a quick loan is usually a week to a month depending on the next pay period. Failing to repay on time, however, can lead to dramatically higher interest rates. That’s why it’s important for the borrower to understand all the terms and to already have the confidence that the loan can be paid in full in a timely manner.
Quick loans are not really designed for people out of work who are just trying to live day-to-day. People who are in between jobs should consider other types of loans that might suit their needs better, such as secured personal loans.