Sometimes, that monthly pay cheque doesn't quite stretch far enough. An unexpected bill in the middle of the month or a bargain holiday that's too good to miss will put a financial dent into the best-laid fiscal plans. At times like this, a quick injection of extra cash or an advance on next month's salary can be the only way to cover additional expenses.
This is where cash advance loans can fill the monetary void. Cash advance loans are exactly what they say they are - a cash advance against your next regular salary payment. They're small, short-term loans designed to plug a gap in your finances without the need for longer term, high interest bank loans or relying on a credit card (with all that extra interest that your flexible friend can incur). However, there are a few things that you need to consider before you immediately go online and apply for a cash advance.
As stated, cash advance loans are repayable from your next regular salary cheque so you will need to consider if the additional repayment will impact on the following month's finances. You will need to ensure that your next salary cheque will be able to cover the repayment and your other, normal expenses as well. Cash loan providers try to encourage 'responsible borrowing' amongst their customers. They will require the borrower to have a good credit rating and credit checks are carried out before a loan is granted. They will also take into account your monthly income to make sure that the loan is proportional to your available funds and that you will be able to meet the repayment without any problems. Along with the credit check, online identity checks are also carried out to prevent fraudulent applications by checking the details you provide against those on your credit file.
You will also need to be at least 18 years old and a UK resident. You must have a bank account into which your regular salary is paid by direct debit. Combined with a good credit rating, all of these should be sufficient to enable you to apply successfully for a cash advance loan although, as in all financial loan agreements, acceptance is not guaranteed. However, if the lender accepts your application the funds will be paid directly into your account and available for you to access within a very short time - generally that same day, or at least within 24 hours.
And herein lies the beauty of cash advance loans. Thanks to the advent of Internet consumer finance the days of providing reams of paperwork and documentation to apply for a loan are over. Everything can be done from the comfort of your own home and online. Rather than having to wait days or even weeks for a response the entire process is normally completed within 24 hours, making cash advance loans a fast and easy way to access a little extra money when you most need it.
Cash advance loans are the ideal way to pay for unexpected bills or financial outgoings; particularly mid-month when your bank account may be looking a little depleted. They are not the answer to every financial problem, but they do take away the additional cost of credit card interest charges and regular bank loan fees if you only want to borrow a small amount of money for a short period of time.