So often, we read about bad credit cash advance loans as an opportunity for desperate borrowers who are looking for fast cash. I guess it is all about point of view. What side you are looking at these loans from? Are you a lender hoping that someone will apply or are you a borrower wishing to get some emergency help? Some borrowers just need money sooner than later and choose to apply for a cash advance while others cannot get help elsewhere and are desperate for an approval. Bad credit cash advances save budgets, but they can also negatively progress the money problems.
Are you one of those people who have bad credit and cannot find money solutions? Would you take a cash advance from a short-term loan direct lender or use a credit card cash advance? Would you even attempt to go to your bank and fill out the paperwork for a loan? Banks and credit unions will often not even contemplate a loan for an applicant will sub-prime credit. Some may take a look at the history to evaluate causes for such low numbers and to see how long ago the problems occurred. Nowadays, there are both banks and credit unions which offer their own versions of short-term cash advances.
How do you take your cash advance?
How you take your cash advance may be not be up to you. Depending on how low your credit score is, how much debt you have in credit cards or whether or not you are employed and your monthly take home income, you may not get the last word on where emergency money comes from.
- In order to use a credit card for a cash advance, you will need to have available credit left on your account. This amount is usually just a fraction of the total limit and could decrease as more purchases are made. The interest is most often much higher for cash verses purchases. Check with your creditor to find out how much extra you will pay for the withdrawal of cash and if there are any other fees attached. Depending on how you receive the money you may end up paying a fee for the actual transaction.
- Some people head over to their bank or credit union in order to get a cash advance. The idea that they are working with a financial institution is more comforting to some borrowers. These bank loans can create more damage to your account if they go into default. Be sure to read through the terms and conditions of the loan in order to preserve your bank account.
- Cash advances from a direct lender will pay no mind to your credit score or the history reported on it. What is important to these direct lenders is that you earn a certain monthly income and that you have a well-functioning bank account.
Whichever way you choose to get your emergency cash, you will want a definite plan of repayment. Sometimes, a person’s desperation for quick cash does not leave them prepared to return the money so quickly. Credit cards are the only long-term option for repaying cash advances. Their revolving credit keeps the earned interest and small minimum monthly payments repeating for as long as you need. Choose the method which will work best for your overall financial situation.
