What do you do if you run out of cash before your next paycheck? Yes, this can happen to anyone particularly in cases of emergency, including even those who know how to spend money wisely. If this has happened to you, you will need a way out and one of the solutions is to go for a short term loan.
Talking of short term loans, this article will tell you more about online payday loans in Canada. You will know about eligibility for online payday loans in Canada and how it can help when you are in dire need of cash.
What’s a Payday Loan?
Emergencies can put you in financial strain with the most common scenarios being the likes of medical bills, death, household needs, etc. Naturally, you may try asking for help from family or friends but at times this doesn’t help.
It’s for such reasons that solutions like Payday loans can come in handy. They are short term unsecured loans designed to ease stress when you run out of cash before the next paycheck. The beauty is that online payday loan lenders will demand less stringent requirements thus you can apply and get your loan quite easily.
What are the requirements to qualify for online payday loans in Canada?
1. Legal Age
To be eligible for the loan, a lender will verify that you have valid identification-you ought to be of legal age with an active lender account to qualify for Payday loans in Canada. Once submitted, the details will be processed in as fast as a few minutes and feedback relayed back to you. Most payday loans lenders operate online thus making it easy to apply and get your loan approved
2. Proof of Income
Once verified, the lender will compare the requested loan with your income to determine if you qualify for the Payday loan and you can be able to repay the loan back on your next payday.
Once your application is approved, you will receive the amount electronically generally within 24 hours.
Commonly Asked Questions about Payday Loans Canada
1. Can I get a payday loan if I run my own business?
Some lending firms discriminate against self-employed loan seekers, but most of them will give out loans to anyone. For that, you will not be thrown to the cold because you run your own business. You will, however, need to prove that you have a steady income.
2. Can I get a payday loan if I don’t have a bank account?
Yes, you can get a Payday loan if you don’t have a bank account. In fact, some lenders can give you a debit card where you can credit and withdraw funds.
3. How much can I borrow?
You are free to specify the amount you want during the application, but the lender will determine the amount you qualify to receive. The amount will also tend to increase as you repay the loans and build your credit credibility.
4. How much does it cost to get a payday loan online?
You will not be charged for making an online transaction. However, after approval, you will be charged a fee that depends on factors like the amount you will be borrowing, your location, and the terms of the lender, etc. Be careful though and find a lender that values transparency with customers. For that, the fees will be clearly outlined in the contract. It is also important that you read the contract carefully before confirming the application.
5. Should I get the loan if I apply?
Mostly you will get a Payday loan approved but again, this is only if you meet the requirements to get the loans.
6. On what grounds can I be denied a payday loan?
When it comes to finances, it is what you do with what you have. Payday loan lenders try to help you calm the storms when financial emergency hits. They can, however, deny the loans if you can’t prove your income if you provided misleading information in the application form if you have poor credit scores among other factors.
If you are paid in cash, whether employed or running your own business, you may have a hard time proving the cash flow to the lender. This is one of the factors used to predict if you will pay the loan or not. In that case, if you don’t have the right documentation to back up your application then you shouldn’t be surprised if the loan is denied. Other lenders demand an active account with a stipulated amount and may deny you a loan if the amount is lower.
As a rule of thumb, avoid giving out misleading information in your application as this can prevent you from even getting a Payday loan in the future from the same lender. For that reason, please verify all the details before submitting them. Getting a payday loan if you have a poor credit score can be a hassle. The lender needs assurance that you will pay for the loan. Even if you mean well, it may be hard for the lender to rub off the image that you have a bad credit history. Don’t be discouraged as there ways to improve the credit score plus some lenders to give out bad credit loans.
7. Is it safe to apply for a loan online?
Most legit lenders will go the extra mile to ensure confidentiality in your transactions thus online payday loan applications are generally safe. Just check that the lender has a proper data protection policy in place so that third parties won’t have access to your data.
In a nutshell, Payday loans are available for virtually anyone in need of quick emergency cash. Don’t let the emergency strangle you, apply for an online payday loan Canada and get a quick fix!