In order to be approved for a cash advance online, a bank account needs to be in good working order. Since cash advance lenders do not do credit checks to determine approval status, they look for a well-functioning bank account. Get some insight as to what is noted when a lender checks out your bank account.
What do cash advance lenders want to see when they review a bank statement?
- A working bank account should show both deposits and withdrawals
- Paychecks are directly deposited by employer
- No overdrafts or bounced checks
- A history of well managed ebb and flow of cash
- Little reference to other short-term loan companies
Too many cash advances out at one time is detrimental to your income.
You hear stories about people taking out one cash advance to pay off another and running into a cycle of debt in this manner. There are also many people who take out more than one short-term loan at a time. Many states will not allow multiple loans out at one time, and responsible lenders will not want it either. Having multiple loans out at one time can truly eat up your paycheck. If the loan is for $300, plus the fees at $45 (based on $15 per $100 borrowed), the next paycheck is already strained. More than one loan puts a severe bite out of monthly income. Any lender who would see multiple loans out and continues to approve a new short-term loan is looking for the long-term payment. It is taking advantage of the consumer’s need for cash. The loans are supposed to be paid off on the next paycheck. Knowingly lending with other similar demands on the next paycheck is just wrong and very unfair. A borrower who is so desperate for a few hundred dollars will have tell-tale signs within their bank account to get any new application denied.
A cash advance lender will have no need to look into your credit history; a bank account will give them enough information to decide whether or not you will be a good candidate for a short-term loan. A loan manager will be able to read into your account. Once a paycheck is deposited, does the money slowly filter out over the next few weeks, or is there an immediate drop in available cash.
If your bank account is the cause for a loan application dismissal, it may be time to take a serious look at how your income compares with your lifestyle choices or seek out counseling services to learn how to budget more appropriately. A PEW study found that more people would prefer to use a cash advance rather than cut back on spending. I guess it is all in prioritizing your wants and needs.
If you do qualify for a cash advance online and it helps get you out of your financial crunch, then you will know that this solution was a good one. If you get trapped searching for money soon after receiving your loan is deposited, then it was not a solution to the problem but only one more budgeted disaster. Keep your income safe and your bank account healthy for a brighter financial future.
