Will Payday Loans Lower My Credit Score?
Although taking out payday loans will not initially lower your credit score, there is
the potential to have problems down the road, and these types of loans should be
avoided at all cost! A payday loan is also...
More
Will Payday Loans Lower My Credit Score?
Although taking out payday loans will not initially lower your credit score, there is
the potential to have problems down the road, and these types of loans should be
avoided at all cost! A payday loan is also referred to as a payday advance, and it is a
very short-term loan, secured against the consumer’s next payday, or paycheck.
These types of loans typically do not require a credit check, and they are granted
based on the consumer’s payroll and employment history.
They will verify the length
of employment and also look at their paycheck history to determine if they will be
able to pay back the loan plus interest and fees on their next pay cycle.
Every state
has different laws regarding payday loans, and many limit the interest rates that
these companies can charge.
Some states have no limitations placed on payday
companies and some are very strict and outlaw the practice altogether.
Since these are short-term loans, and typically due in
Less
