Payday Loan Application Process

When you are applying for a Payday Loan, there are some standard requirements. You need to be a US citizen, 18 years of age, have a checking account, and a minimum monthly income of $1,000. There may be additional requirements depending on what lending company you use. Other requirements may include an employment history of at least three to four months, as well as a checking account for the same timeframe. Some lending companies may settle for a savings account if you do not have your own checking account. If you are self-employed, you will need bank statements that verify your income for a certain number of months. In most cases, with the exception of self-employment, payday loan companies that operate through the Internet will rarely ask you to provide written confirmation of your information.



To apply for a payday loan, go to the lending company's website to find their online application form. The payday loan service will then ask you for information to confirm that you meet their standard requirements for a payday loan. At this time, you will also be asked for your social security number and banking information, so be sure to have this available when filling out your application. Once you have completed the online application, the payday loan service will verify your information through a series of databases they have at their disposal. Rarely will you have to consent to a standard credit check, and in fact, many companies will even provide a payday loan with a guarantee that your credit will not be checked. You will see these advertised as Bad Credit Payday Loans, or No Credit Check Payday Loans. If you end up choosing a payday loan service that runs a credit check on you and then denies your application due to poor credit history, there are still many options available to you for a payday loan.

Once your application is reviewed, the payday lending service will contact you either by phone or by email. At this time, you will come to a mutual agreement on a payment timeframe and the fee for the loan. Any other details on your payday loan will also be discussed at this point, and at this time, you will be told when to expect the funds in your checking account. A wait of three to five business days before you can access the funds from your bank is not unusual, even if your payday lender processes the loan on the same day. Some companies are able to have the money in your account by the following business day. In some cases, the payday loan company may offer same day loans where your funds are wired directly to your bank account as soon as your application is processed and approved. In this case, your bank may charge you a wire-receiving fee, so it is a good idea to check with your bank first for the amount of these fees. You will definitely be able to access your funds immediately, but this convenience can be expensive.

Any time that you apply for an online payday loan, do your research, so you are fully aware of the risks you are taking. You need to be careful about whom you are sharing your sensitive and personal information with in order to protect yourself from harm such as identity theft or other scams. You cannot complete the process of payday loan services without using an online application. This application is necessary for the payday loan company to verify information on your financial status. However, at the same time, the information you're providing on your personal history is private, and you want to avoid the risk of it falling into the wrong hands. In a random survey conducted by the CFA of 100 online payday loan services, companies that offered No Fax Payday Loans, Instant Payday Loans, Bad Credit Payday Loans, and Low Fee Payday Loans were examined. It was found that as many as 28 of those companies were not providing secure connections with their online application pages. That is almost 30%!! What this means to you as a consumer is that anyone who knows how to hack a computer could easily gain access to your personal financial information. Your best protection will be to work with payday companies that take serious measures to protect the security of your personal and sensitive information. Before you apply for a payday loan, ensure that the company you want to work with provides these security measures.

You also want to see that your payday lender is offering a privacy policy on their website. Make sure their privacy policy is clearly posted on the website and that it specifically states that this company does not authorize information sharing for third party marketing purposes.

Receiving a payday loan can be a quick and convenient method to get access to funds if you are in a bind. Before doing so, research the online payday loan companies that interest you the most. Investigating the process and payday loan company beforehand will save you from frustration and stress down the road. By doing your research ahead of time, you will be able to find the payday loan company that is suitable and secure, and one that guarantees they will not sell your personal information to anyone else.