Cash Advance Loans

Cash advances and payday loans are pretty volatile subjects these days – and have been since their inception. Mention them to some people, and they may just blow up at you. Others may see no harm in them, while still others may sing their praises. As with any kind of financial service, cash advances are government-regulated, with specific guidelines as to what extent they can go in providing this service. There are many consumer advocate groups who’d love to just shut down the whole industry. But the members of this industry say they’re not breaking any laws.

Is a cash advance a good choice or bad choice? There are always two sides to everything. Despite the seemingly high fees or interest rates, it is the only easily accessible small loan for consumers. Banks and other financial institutions seemed to have forgotten about this particular segment. Applying for even the smallest personal loan from a bank may mean being subjected to a plethora of forms, interviews, and endless waiting. Some banks have no personal loan offerings at all. With a cash advance, there is an immediate solution for your immediate need.

Consumer advocacy groups charge that payday lending across the nation is rife with abuse and say that these high-cost loans often lead consumers down the path to bankruptcy. Answering the claims of consumer advocates, payday lenders say their quick cash payday loans are designed for one-time emergencies, providing a fast cash loan through a simple procedure, to people who don’t have the time or a good credit rating or credit history to deal with banks.

On March 25, 2000, the Federal Reserve in the U.S. ruled that payday lenders must disclose, in writing, the APR on cash advance loans. They accused payday lenders of being deceptive in the information they disclosed to their customers. They felt that if borrowers had a clearer picture of what they were getting into, they wouldn’t renew, or rollover, their loans so many times. 
In response the manager of a large payday loan service in Tucson, says his company charges an APR of 391.07%, but doesn’t count on rollovers for profit. “Our payday loans are meant to be a short-term solution to an immediate problem,” he added “We’ve had thousands of customers use our service since we opened in 2000. Of those, only about 400 or so are active customers. Most people pay off their cash advance and we never see them again.”
The cash advance industry does lend to consumers with fairly high rates of interest but point out that in many states, the “small loan acts” were adopted which call for higher interest rates for a cash advance. Typically, these rates apply to any cash advance whose ranges are below $3,000. The adoption of this legislation recognized that credit would not be available to individuals with unfortunate credit records unless different financial returns were obtainable than those otherwise permitted.
The U.S. government recently formed the Center for Responsible Lending, an organization designed to stop consumers making unwise choices regarding their finances. They particularly focus on what they refer to as the “unbanked”, made up of primarily the poor (51% earn under $10,000 a year), and ethnic minorities (53% are Black or Hispanic). The unbanked aren’t able, for a variety of reasons, to participate in the financial mainstream. The accuse the payday lending industry of preying on the unbanked.
The Cash Advance Industry points out that you may be surprised at the number of people unable to manage their finances. Payday loan operators do not deal with the dregs of society! Thousands of people in your area find themselves a dollar short before their next payday and sometimes, cash advance rates can actually be lower than certain finance charges! A looming credit card deadline, or a soon to bounce check can incur higher charges.  Moreover the wise use of a cash advance can help you prevent having a bad credit report, allowing you to be eligible for other more important loans in the future. So if you shop around for the best rates and use pay day loans as they were mean to be used – for emergencies – pay day loans can actually be very beneficial.

No faxing required for your cash advance loan.

Now it is even easier to get your money when you need it. Our online application process does not require any faxing whatsoever. Instead you will sign all of your documents electronically. In some circumstances, additional documentation may be required if the information in your initial application cannot be verified. Start your cash advance loan right now with our revolutionary electronic process.