For American workers, especially those with lower incomes, things have been getting tougher over the last few decades. With so many people living paycheck to paycheck, it is no surprise that many Americans are now experiencing frequent financial distress. For those without assets or with poor credit, it is important to know that there are still options for dealing with short-term emergency shortfalls in personal budgets. For those with a consistent source of income, personal loans and credit often offer ways to bridge a momentary gap in one’s budget, giving people the temporary boost they need to get back on their feet.
Cash advance options
A short-term cash advance – also known as a check advance – is a popular loan product for those with minimal assets and/or a poor credit history. These companies provide a real service to those facing difficult financial situations. The benefit of a cash advance or a check advance online is that those with a steady source of income can use them to get significant amounts of cash in hand regardless of credit history or minimal assets.
Like all loans, a cash advance must be paid back according to the terms of the loan agreement. It is in not paying back a check advance according to the terms that borrowers tend to get into trouble. Like all short-term, high-fee loans, cash advances are only appropriate for the short-term bridging of financial shortfalls caused by unexpected costs or emergencies. They should never be used as a form of revolving credit or a means to finance unnecessary luxury items. As long as cash advances are used appropriately, the chance of the borrower getting into long-term financial distress from their use is almost nil.
To avoid additional fees, late charges and higher interest, it is very important to understand the terms of the loan and adhere to the payment schedule. Most short-term lenders will charge the borrower high penalty fees for failing to pay back the loan according to the agreement, and these fees can quickly send the effective interest rate of the loan soaring.
All of the problems associated with cash advances can be avoided by paying the loan back as quickly as possible, keeping it available as a future option when other unexpected costs or an emergency expense pop up.
Cash advances are fast and effective
Once you understand the potential pitfalls of payday loans and how to avoid them, they can become a powerful tool in fighting personal financial crises. If you have a provable, steady source of income, you may be able to get up to $2000, cash in hand, as soon as the next business day. Unlike some other forms of loans, there are absolutely no restrictions on how a paycheck advance loan is used.
Other means to get quick cash for those without assets
Often, those without assets suffer from poor credit ratings. Still, some credit card companies will extend smaller credit lines to those with lower credit scores. The only way to find out if you can qualify for a starter credit card is to fill out online applications and see. If you have no credit or poor credit, you will generally be more likely to be approved for a credit card if you have never had one before.
The benefit of being approved for a credit card is that you may have access to up to $1,000 that can be used in any way you need. The drawback is that many people will not be approved, and getting the card may take up to two weeks.