To those who are struggling to find financial funds during an emergency situation, payday loans have been their ‘go-to’ solution. These are also known as “cash advances” which are short-term, low-balance, but high-interest loans. They are usually at usury rates because of their funds borrowed on post-dated checks and cashed on the borrower’s next paycheck. The payday loans are specifically designed to be fast and easy. They also have very simple loan qualification requirements.
Payday Loan In Georgia
If you need to process Payday Loans in Georgia, you first have to fully understand the process as well as the requirements needed to be qualified for the said loan. So if you are from Georgia and you are interested with payday loans, here’s what you need to know:
- With payday loans in Georgia, there are only a couple of things that a borrower should provide in order to be qualified for a payday loan. The borrower must have an active checking account. He or she should also be able to provide a driver’s license as valid identification. The borrower should also be at least 18 years old.
- The qualification and the loan application process can be done onsite or online. The process is very fast and easy. It can be completed in 15 minutes as long as you have all of your requirements ready. Usually, the borrower would write a check for the needed loan amount inclusive of the lending fee. Then the lender would hold on to this check until its due date, which is usually the borrower’s next payday.
- Limits And Qualifying Amounts. The qualifying amounts for the payday loan will vary and this will depend on the borrower’s income and the limits of the payday lender. There are states that have laws that limit the maximum amount for payday loans. There are also some states that limit the borrower’s ability to apply for multiple outstanding payday loans. This is to prevent borrowers from borrowing large amounts and have to pay extremely high-interest rates.
Reasons Why You Will Be Denied Of A Payday Loan
Aside from learning the basics of the payday loan process and requirements, it is also important that you fully understand the reasons why there is a possibility that you are denied a payday loan. Remember that not everyone is qualified. It may seem like a straightforward solution, but there is a possibility that you will not be qualified too. Here are the top reasons why and what you can do about it:
- You Do Not Meet The Minimum Requirements. As mentioned above, meeting the necessary requirements of the payday lender is important. You have to make sure that you have everything ready before you apply onsite or online.
- Existing Payday Loans. If you have an existing payday loan, or if you have an outstanding loan with the lender, you will not be qualified to apply for a new one. Or maybe you are taking this payday loan also to pay off your existing loan from other lenders. This is a red flag for lenders because it is a sign that you are having problems taking care of your debts.
- No Stable Income. In order to be qualified for a payday loan, you need to have a stable job and income. Sometimes even if you are self-employed or you do not have a stable paycheck, payday loan lenders will not consider your application.
Payday loans might be the answer to your financial emergency, but you have to understand all the basics to make sure that you will be qualified. Take note of the things mentioned above and you will be right on track.