If you are an employee or a worker, one of the things that you are very much looking forward to is your payday. It is a time to rip what you have worked so hard for. Salary may come weekly, every after two weeks or even monthly for some people. But there are times when budgeting becomes so hard especially to those whose payday come every end of the month. What happens if something come up, and it is not included in your budget such as emergency situations and you do not have any access to any financial means?Of course, if it is an urgent matter then it can definitely not wait until you get your next paycheck.One solution is to get a loan.
A payday loan is a short-term unsecured loan usually used to cover expenses that arise in between paydays. There are many lending companies that make this type of loan. See moneylender singapore for more information on terms.
Before you go and apply for one, take a look at some of the advantages and disadvantages of taking a payday loan to help you weigh things out.
CAN BE APPLIED ONLINE
One attractive benefit of getting a payday loan is that you can submit your application online anytime of the day or night without living your home.
Once you fill up the application form and submit it, you can get the result instantly.You would know immediately if it is approved or declined.
HIGHER LOAN AMOUNTS
A payday loan is normally based on your credit history. Once you have established a good credit, you have a greater chance of getting approved with a higher loanable amount. And so it would always be best to pay off your loan on time to avoid penalties and for you to build a good track record.
HIGHER INTEREST RATE
The interest rate of a payday loan from a moneylender is relatively higher compared to that
of the bank. One reason for this is because it is an unsecured loan. The lending company does not hold anything against the loan except for the agreement between you and them and so the risk is much higher.
If you are unable to settle the payments on time, penalties and other additional fees pile up.
Credit is good if you use it wisely and properly.Before taking a loan out, weigh things out and ask yourself if you can handle it.…