Anyone can find themselves in a difficult situation, like when you don’t have enough money in your pocket to make it through to your next payday. If this is the case for you, consider requesting a payday loan from PaydaySeek. We work with 100+ carefully vetted legitimate payday loan lenders with whom you can get up to $1,000, depending on your state of residence.
To start your loan application, just fill in the form above.
If you still have questions, we’ve tried to cover the most frequently asked questions about payday loans here on this page.
What Is a Payday Loan?
A payday loan is a short-term cash advance that you usually take out to cover unexpected expenses like medical bills, car repairs, an unpaid utility bill, or just to bridge the gap between paydays. Payday loans range in size depending on state laws but are usually between $100 and $1,000.
A payday loan is usually repaid in a lump-sum payment (principal plus fees) on your next payday, or when income is received from other sources like your pension, social security benefits, alimony, etc. The due date is typically two to four weeks from the day you apply. The specific date is outlined in your loan agreement.
What Is The Average Interest Rate On a Payday Loan?
Payday loans are considered unsecured loans, which means you don’t have to put anything as collateral for the duration of the loan. As a result, payday loans usually come with higher fees than other types of loans.
The finance charge is usually between $15 to $30 for every $100 borrowed. The interest rate may also be expressed as an Annual Percentage Rate (APR) in your loan agreement. For a $100 payday loan with a repayment date two weeks from now, the APR is between 390% to 780%.
The higher the loan amount you request, the lower the fees are.
What Other Costs And Fees Are Associated With Payday Loans?
There might also be other fees applicable to your loan in different situations:
If you’re unable to pay back the loan on the date due, and if the state regulations permit rollovers, the lender might allow you to pay only the fees due and then extend the due date of your loan. When the new repayment date comes, you will be required to pay back the principal and the fee again.
In the example above, if your interest is $15 for every $100 for a two-week loan, you may be allowed to pay back $15 on your original due date, and then $115 in another two weeks. That means the total amount you will owe the lender is $130.
Some states may require your lender to offer you a repayment plan instead of doing rollovers. These laws vary between states and may or may not require you to pay a fee for using a repayment plan.
Generally, repayment plans are more cost-effective to the borrower than rollovers.
Late Payment Fees
Depending on state laws and the lender, you may be charged late payment fees as well. Late and non-payment fees are always stipulated in your loan agreement.
What Is The Average Payday Loan Amount?
According to a study by the Consumer Financial Protection Bureau (CFPB), the average payday loan amount is $392. However, because different states have different maximum loan amounts, the average loan amount also varies greatly between states.
According to the same study, the average fee per every $100 borrowed is $14.40.
The average loan duration is 18.3 days.
The average APR is 339%.
How Many Payday Loans Can You Have?
This will depend on your state of residence. Some states limit the number of outstanding loans you can have to just one, while others have no limits at all. The limitation may also be written out a bit differently, like “one payday loan per lender” or “no more than 8 loans in a 12-month period.”
Considering how easy payday loans are to get, you may be tempted to use them as a long-term solution. Even if your state laws do allow you to take out more than a few loans at a time, please remember that payday loans are intended to be used as short-term remedies only, and they may have severe implications if not approached seriously.
What Do You Need To Get a Payday Loan?
The requirements are usually pretty standard:
- You must be a US citizen and reside in a state where payday loans are legal
- You must be 18 years of age or older
- You must have a regular source of income
- You must have an active checking account
- You must have a valid email address and phone number
Most lenders provide faxless payday loans nowadays and don’t require any additional paperwork. However, in certain cases when the lender can’t validate your employment, or you receive income from sources other than employment, you may be required to provide the following documents via email:
- Your most recent paycheck stub
- Your most recent bank statement
- Proof of your last loan clearing your bank account
However, these situations are rare and most of the time the lender will not require you to send anything.
Do Payday Loan Lenders Run Credit Checks?
When you find an online payday loan lender offering no credit check payday loans, you should understand that they will run a credit check on you one way or another.
While it’s true that payday lenders rarely check your credit history with the BIG 3 national credit bureaus like TransUnion, Equifax, or Experian, they will run a soft credit check and get your credit score with one of those bureaus, along with some other basic information.
Unlike hard credit checks, soft credit pulls do not affect your credit score or show up on your credit report.
Payday lenders may also check your credit history with one of the specialty credit agencies that track your history with subprime lending specifically, including payday loans, installment loans, and car title loans.
Here are the two most widely used specialty credit agencies:
- Corelogic Teletrack
- Experian’s Clarity Services
There are some lenders that offer no teletrack payday loans, which means they don’t check your credit with Corelogic Teletrack. They will usually use some other credit agency instead.
So one way or another, the payday lender will have a good understanding of where you stand in terms of your credit.
At PaydaySeek we work with 100+ direct lenders offering payday loans online. Neither we nor the lenders we work with will ever run a hard credit check on you without your permission. Applying with us will not affect your FICO score either.
Can I Get a Payday Loan If I Have Bad Credit?
Even though the lender will have your credit score or your entire history with payday loans when you apply, they rarely make underwriting decisions off of that alone.
As a result, you can find a lot of lenders online offering bad credit payday loans to borrowers with a less-than-perfect credit history. To these types of payday advance lenders, it’s your ability to repay the loan that matters, not your credit score or past history with payday loans. When you have bad credit, you might be required to do more paperwork than you normally would when requesting a loan. The lender may also try to contact your employer in an attempt to determine your creditworthiness.
Some lenders may also offer second chance payday loans, which might imply that the underwriting criteria is even less strict. While that may be true, you should clearly understand that there’s no such thing as guaranteed payday loans of any kind. If your credit history is downright poor and you’re currently unemployed, you may not be able to get a payday loan at all.
Where Can I Get a Payday Loan?
There are a few types of lending institutions that provide payday loans that you can find online:
- Direct payday loan lenders
- Matching services
- State-regulated lenders
- Offshore lenders
- Tribal lenders
- Credit Access Businesses (CABs)
The most common are the first two: direct lenders and matching services. The websites of these lenders typically look identical, but the way they operate is a bit different.
Getting a Payday Loan From a Direct Lender
You can get direct lender payday loans from one of the many direct lenders you can find online. Getting a payday loan from a direct lender means that the lender you apply to and the lender who will service your loan and give you the money is the same company. No intermediaries of any kind.
The main disadvantage of this approach is that when you apply with a lender directly, it’s just that one lender. If your credit is less than perfect, the lender might reject your loan application and you will have to find another direct lender and apply again with them. Which means you’ll be spending more time on due diligence and filling in more forms.
This is the main reason payday loan matching services exist.
Getting a Payday Loan Online From a Matching Service
A matching service is a company that doesn’t make credit decisions themselves; instead, they connect you with the lenders they work with. Matching services usually work with dozens, sometimes even hundreds of direct lenders offering legit payday loans online.
When you request a loan from a matching service, they will send your application information to one of the lenders they work with. If the first loan company on the list rejects your loan request, the matching service will send your information to another lender, and then another one, and another one, until they find a lender willing to approve your loan request.
Because of the way payday matching services work, requesting a loan from one of them makes more sense, especially if you have bad credit. Instead of applying to multiple lenders yourself, you apply just once with a matching service. They will then do the rest of the legwork for you.
At PaydaySeek we work with more than a hundred direct payday loan lenders that operate within the full extent of the law, practice fair lending, provide safe online payday loans, and live up to the industry’s highest standards. When you apply through us, you can rest assured that the lender we find you is a legitimate payday loan lender.
Where Can I Get The Best Payday Loans?
When you’re looking for the best payday loans online, pay attention to what their customers are saying. If the lender has been active for some time already, you will definitely find more than a few reviews on services like Trustpilot.
However, despite what the customers say, it’s just about one direct lender. However positive the reviews are, if the lender rejects your loan application, you will have to find another lender and apply again.
So, if you have bad credit, you might be better off applying through a matching service or have a list of payday lenders at hand instead of looking for the “best payday loan lenders.”
What Does The Application Process For a Payday Loan Look Like?
When you request a loan with PaydaySeek, here’s what the loan process will look like:
- You fill in the request form at the top of this page. After that, we will redirect you to a longer form for you to fill in. It usually takes about 5 minutes to fill it in.
- We will then look through our lender network and find one willing to work with you.
- Once we find an online lender for you, we will redirect you to their website. At this point, a lender representative may contact you to verify your application.
- On the lender’s website, you will find your loan agreement, which outlines all the pertinent terms and conditions.
- If you’re fine with the terms, you e-sign the agreement.
- All the lenders we work with provide direct deposit payday loans, which means that all money transfers are processed via ACH. Once you e-sign the loan agreement, the lender will transfer the funds directly into your checking account.
When Will I Get My Money?
Most lenders offer instant payday loans, which means you will know almost instantly whether your loan request is approved. When you see a lender advertising 1 hour payday loans or even weekend payday loans, they are referring to how long it takes to get a decision on loan approval, not the actual funding. The exact time when you get your money in your checking account will depend on when your loan is approved and the internal processes of the lender.
Often you will get your money the next business day; however, some lenders may offer same day payday loans if approved early. Make sure you apply as early in the morning as possible to be approved before the cut-off time. The exact cut-off time varies between lenders but is usually before 10:30 am CT.
Need a Payday Loan? Consider PaydaySeek!
If you’re seeking fast payday loans online, consider using our service. We work with 100+ direct lenders offering online payday loans. If your credit is less than stellar, your chances of getting a loan may be higher through us than when applying to lenders directly.
If approved, most of the time you will get your cash as soon as the next business day.
However, if you’re in an emergency and need cash fast, consider applying in person at the nearest payday loan storefront. If approved, you will get your money in cash instantly.