Payday is still a few days away and you are watching the dollars in your bank account dwindle away. When it comes to cash until payday, there is no shortage of options with companies offering payday loans and vehicle title loans.
When applying for a payday loan, the applicant borrows against their next paycheck. Once that future check is received, you pay back the lender your loan amount, along with a boatload of interest” The annual percentage rate can easy be 400 percent and your daily finance charges can run upwards of 30 percent of the loan amount. Source.
The reality is that there will be times where emergency cash is needed; however, it is wise to understand that you do have other, more economical, options out there.
Credit Unions are a great resource for saving money on cash loans. AdvancePay, offered at One Nevada Credit Union, members can borrow up to $1,000 until their next payday at incredibly low rates. With direct deposit, you only pay $10 per $100 borrowed. You pay $15 per $100 borrowed without direct deposit.
AdvancePay has no application fees and the amount is put into your debit account for immediate access.
The FTC shares more about these loans and the other options for consumers.