Money emergencies always seem to strike at the most unexpected or inopportune times. For those who find themselves in need of a cash advance in Anchorage, payday lenders provide quick cash to address all of life’s unanticipated financial challenges.
Qualifying for a Loan
The process for obtaining a payday loan is remarkably uncomplicated. While the big banks require almost perfect credit and security that is usually more than the loan itself, payday lenders routinely approve loans for those with no credit or bad credit.
To qualify for a cash advance in Anchorage, the borrower only needs to provide a valid phone number, proof that they are at least 18 years of age, a current bank statement and verification of income. Loans are usually approved within an hour and the money is placed into the customer’s account by no later than the next business day. When the funds are received, the borrower typically leaves a post dated check with the lender. The check is cashed when the loan is due per the terms of the contract.
Lenders continually strive to improve the honesty and integrity of the payday loan industry. To protect the rights of consumers, they have adopted a stringent set of laws that govern the administration of payday loans. For example, the maximum allowable cash advance in Anchorage is $500. The term of the loan is set at a minimum of 14 days and the finance charges and fees for a $100 loan can be no more than $20 for a 14 day period.
Borrowers are allowed to carry multiple loans but should be careful to avoid debt they can not repay. When a client is unable to pay back the loan on the due date, lenders can offer a number of refinancing options to extend the term of the loan or create a suitable repayment plan.
Lenders are allowed to charge a one time NSF fee of $30 and can pursue reimbursement costs up to $700 for court expenses related to noncollectable delinquent loans. Criminal actions against borrowers are prohibited except when a check is returned because the bank account has been closed.
Interest Rates and Other Information
While getting a cash advance in Anchorage is easy, it is important to remember that a payday loan is not designed to replace an installment loan. The APR interest rate on a payday loan is substantial, and failure to repay the loan on time can result in the accumulation of significant finance charges. However if the loan is paid back according to terms, the cumulative interest rate will be roughly equal to a bank issued credit card.
When handled responsibly, a payday loan can provide cash for unexpected emergencies like medical bills, car payments or rent that is due. Reputable payday lenders are always ready to help their customers when they experience financial hardship.