As payday approaches, many people may begin coming up short on cash. This is not a situation anyone wants to find themselves in as they still need everyday money for groceries, gas, and other miscellaneous things. Since loan companies know this is a common problem for people who live paycheck to paycheck, they offer several types of loans.
A payday loan is available to people needing to borrow small amounts of money and agree to pay it back when they receive a paycheck. These loans have high interest rates that have to be paid back with the loan.
Cash in Advance Loans
Cash in advance loans are smaller loans and will need to be paid back in one to two payments. These go directly into a persons bank account without a waiting period.
Installment loans are a great alternative to payday loans. They have similar requirements and have an easy application process. The main difference is these loans are able to be paid back in several payments versus when a person receives their paycheck. The interest rate on these loans is competitive.
A title loan is for people is own their vehicles and do not have existing liens against it. They are able to take the car title into the pawn shop and use it as collateral to get cash. These types of loans come with a higher interest rate than most but do offer monthly or weekly installment plans to allow a person to get their title back quickly.
Pawn Shop Loans
Pawn shop loans allow people to turn valuable items into cash. They can take these items into a pawn shop for appraisal and the pawn shop will offer them cash. They will have the option to sell the item to the pawn shop, consign the item, or even use it as collateral for a loan. If they take the last option, once the loan is paid off with interest, the item will be returned to them. If it is not paid off in the time period stated, the pawn shop is at liberty to be able to keep and resell the item.
There are many companies people can go to for these loans. Blue Trust Loans is a good resource to provide information about the process. For more information, visit their website.