Slower economic times have caused financial institutions to refrain from lending money to hard-working people who once qualified for loans and credit cards under standard borrowing practices. This shift has heightened the need for a different type of safety net for those times when the money runs out before the paycheck arrives. Payday loans in Toronto have become essential for emergency needs that require immediate attention.
Although a credit card, or line of credit, is the preferred way to borrow money at the last minute, online payday loans can be used as the safety net in various situations. Once other avenues for borrowing money have been exhausted, the disciplined borrower might be left with one of these situations:
• Car repair bill – The family car is essential for school activities, work and fun. A repair bill can strain the household budget, but the payday loan offers the solution.
• Medical bill or prescription – Payday loans can be helpful for unexpected illnesses that require cash to address an emergency.
• Emergency travel – Family situations might dictate the need to travel at the last minute. The expenses will rack up quickly, but a payday loan can be very helpful.
• Unpaid bill – Late fees and insufficient fund checks might be more expensive than the payday loan used to pay the bill before the due date.
A savvy payday loan shopper will be aware that the interest rate and fees will vary according to the lender’s terms on the loan. Online payday loans offer convenience since one application is completed, and multiple offers are returned. Anyone who meets the following criteria could qualify for a payday loan.
• At least 18 years old
• Valid government-issued ID
• Copy of current paycheck stub
• Checking account in good standing
• Voided check
Any amount between $100 and $1,500 can be requested in the payday loan application. The potential borrower will complete the online payday loan application in a few simple steps. All information provided must be verifiable and accurate. The completed application is sent to payday loan lenders. An interested lender will contact the applicant directly in a matter of minutes if the application matches the lending criteria. Following payday loan approval, the funds will be transferred to the borrower’s checking account.
This streamlined process creates a safety net for people who are working a steady job and encounter an unexpected financial shortfall. Payday loans in Toronto have become a short-term solution that is repaid quickly, which frees the borrower from the debt.