These days, a lot of people are applying for payday loans online. Just like other loans, there are requirements that applicants must meet to be qualified for a payday loan. Fortunately, payday loans are not very restrictive in terms of qualifications. If you are looking to apply for these loans, make sure you know the following:
Legal Age
The majority of lenders require their applicants to be of legal age. This is because they need their borrowers to be financially responsible to pay off the money they borrow. Minors cannot be held responsible legally and are unlikely to have the maturity to make sound financial decisions.
Legality of the Loan in your State
Payday loans are legal in a lot of states where they get approval from the local governments. You want to ensure getting such loan is legal in your state to guarantee the legitimacy of the transaction. Usually, lenders forego credit checks for applicants; however, they put higher rates in place.
Permanent Residency
Many lenders don’t require applicants to be a citizen of the United States. Applicants just have to be a permanent resident of the country. Proving your identity and residency using your social security number is essential to be qualified to apply for a payday loan.
Current Employment
Lenders will grant easy payday loans online to employed applicants. Your employment will show your ability to pay the loan back. A lot of lenders don’t require borrowers to be employed for a long period of time as the term of the loan is short. Requirements are likely to range from a few weeks of employment to three months. In general, lenders just wish to ensure you can repay what you owe them.
Credit Score
Because payday loans are short-term and include small amounts of cash than other loans, a lot of payday loan companies will not consider your credit score. This provides you the chance to borrow a certain amount even if you have a poor credit score.
Checking Account
The majority of lenders that take applications online require applicants to have a checking account. The reason is that they will need such account to electronically deposit the money in once they approve the loan.
Getting a payday loan is not as complicated as getting other types of loan. However, you need to ensure you are qualified to get one. Use those things above to help you decide if you should apply for this loan.
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