All of us hit rough spots from time to time in our lives whenever we need a little bit of help. Some people are able to go to a bank and take out a loan but the majority of us do not have that ability, simply because our credit does not allow us to do so. If you find yourself in a situation where you absolutely have to have a little bit of cash in hand, there are some cash advance loans that are available to you which will provide you with that money for the short term.
One of the most common questions that is asked about payday loans is exactly how much you will be paying for the loan, overall. This is actually a very difficult question to answer and to be specific about it. One of the reasons why this is the case is because many of the payday cash advance companies are now regulated on a state level and each individual state is going to have the ability to say how much the company can charge in interest, or at least to put a cap on it. Generally speaking, however, you can expect to pay anywhere from $15-$50 in loan fees for a short-term loan if you pay it back on time.
The real cost of the payday loan comes in the fact that the majority of people who apply for one end up in a downward spiral and are unable to pay it back on time. If you have to pay the loan back over the course of several months, you are going to be paying an unusually high APR. In some cases, this percentage rate may reach well over 300% which is unheard of through a regular lending institution. That is why it is important for you to make sure that you can stick with the terms of the loan and pay it back whenever it first comes due.
Another thing that you need to keep in mind is the fact that a payday advance, although it can be a little bit expensive, maybe a lot cheaper than some of the alternatives. For example, if you have an outstanding bill that is due and it is not paid on time, you are going to have to pay a late fee to the company, perhaps even along with the reconnection fee if it is for a utility. If you try to float a check to the company, you may end up with bounced check fees both from your lending institution and from theirs.
That is why it is important for you to look at the overall picture to see if it is going to be worth going with the payday cash advance. In most cases, for those of us who have our backs against the wall and are looking at some kind of emergency, it is an excellent choice that will put cash in our hands that we can use immediately.