When you need cash fast, approaching a traditional lender for help should ideally be your last option. Their time-consuming procedures not only delay the approval process which in turn delays funding, but their procedures are quite stringent and not friendly for everyone. This means, that not everybody can apply for a loan with a traditional lender.
There are 2 reasons why:
Credit Checks: Traditional lenders conduct hard credit checks that not only delay funding, but also make it difficult for borrowers with bad credit histories to get funded. Apart from that, their hard credit checks further reduce the credit ratings which can in turn make it even more difficult for bad credit score holders to get funded elsewhere.
Collateral: Traditional lenders ask majority of their borrowers to offer collateral to them which can make it difficult for one who doesn’t have anything to put up as security to get funded by them. If the borrower has a bad credit score, he/she shall most certainly be asked to offer security in order for the lender to avoid the risk of not being repaid.
However, this isn’t the case with online payday loan lenders like us. Here are the benefits one can receive upon deciding to get funded by us:
No hard credit checks: We do not conduct hard credit checks since it only slows down the process of approval thus defeating the purpose of transferring funds quickly from our end. This doesn’t only benefit our borrowers in the aspect of getting funded quickly, but it also doesn’t reduce their credit scores which means that their chance of getting funded elsewhere in the occasion of not getting approved by us, remains steady. Also, since payday loan lenders do not rely on credit scores in order to fund their borrowers, it makes it easier for bad credit score holders to get funded as well.
No collateral: Payday loan lenders are considerate enough to not ask for collateral in order to fund their borrowers. Not only does this speed up the process of getting funded, but it also gives a chance to those who don’t have anything to offer as security, to get funded by these lenders.
Basic documentation: Payday loan lenders require their borrowers to provide them with basic documents in order to fund them. These may include their income statement, their age proof and their checking account details. Payday loan lenders mostly rely on one’s income statement in order to fund them. They require their borrowers to have stable monthly incomes which end up being the basis upon which they provide them with cash advances since that proves their capability of being able to repay their lender.
Quick transfers: Since the approval process of payday loan lenders is quick, it leads to quick transfers. No credit checks, no major paperwork and no collateral leads to quick funding experiences with payday loan lenders. That’s why, most people who are in dire need of cash prefer choosing payday loan lenders over other lenders.
Flexible repayments: Even though the word pay date is derived from “pay date” which means that one is required to repay their lender on their next consecutive pay date or when they receive their next salary, most payday loan lenders are flexible in terms of repayments. They allow rollovers and extensions as long as they are informed well in advance about the same. Also, a number of direct lenders offering payday loans also offer installment loans which makes life easy for their borrowers.