In tough economic times, payday loans are a welcome mat. Even if you have a good job, you may find yourself cash-strapped. Maybe you can’t afford an unexpected medical bill, or perhaps you need extra money for rent. Whatever the circumstance, a payday loan can put fast cash in your bank account in about one business day. Some people choose to walk into a local storefront location and complete an application. But for convenience sake, you can complete an application with an online lender. It’s faster, safe and private.
Here are five tips for applying for a payday loan online.
Research the company.
An online search for payday loans will reveal pages upon pages of lenders. Don’t trust any lender with a website. Payday loan scams are common, and if you’re not careful, you can give your information to a fraudulent company. Take time to research different lenders before completing an application. Do an online search for complaints or contact the Better Business Bureau.
Check for security features.
When applying for a payday loan online, you’ll have to submit your personal information. This includes your full name, your address and your bank account information. And although payday loans do not involve credit checks, some lenders will request a Social Security number to confirm your identity. Before providing this information, thoroughly check the website and look for security emblems or logos. This ensures the safety of your information and lowers your risk of identity theft.
Check for customer service numbers.
If a payday lender’s website does not include contact information, be cautious. This can indicate a shady or fake company. Somewhere on the lender’s website – such as the “contact us” page – you should locate information about the lender’s physical location and telephone number. If you cannot locate this information, move on.
Know the fees.
Never commit to a payday loan without understanding the fees. Check for this information on the lender’s FAQ page, or contact the lender directly to inquire about fees. The typical fee for a payday loan is $15-$30 per every $100. Shop around and compare lenders to minimize your cost.
Gather your information.
You need to submit an online application that includes your personal information. Depending on the lender, you also need to fax information. This may include a copy of your driver’s license, a voided check and your most recent paycheck stub. Be prepared and have this information ready to speed the loan process.