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« The Payday Loan and Your Bank Account Balance
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Taking out a Payday Loan without a Checking Account

By | Published: December 9, 2009

A cash advance is easy and quick but for a person to be approved, certain criteria must be met. The standard requirements by the lender would be the applicant being a minimum of 18 years of age, a permanent resident of the United States, employed with steady income, and a checking account in good standing. Once this information has been confirmed, the lender would complete the application process, approve the cash advance online, and hand the money over to the borrower.

When handled responsibly, a payday cash advance can be highly beneficial in that it provides a person with quick and easy cash, great for emergencies and unexpected bills. However, one of the first questions the lender will ask is if the applicant has a checking account. For an 18-year-old applicant, someone in college, or a citizen that has only been in the country a short time, he or she may not have a checking account established.

Instead of a person bypassing the opportunity to take out a payday loan, he or she needs to know that most often an open savings account would suffice. Typically, the lender would like to see the account open for a minimum of six months, but often this too would be overlooked. In fact, some people facing a difficult financial problem have gone to a bank or credit union to open a savings account, waited one day, and then gone online where they were approved for a payday loan.

As the number of applicants looking for a payday loan without a checking account rises, lenders realize they need to be a little more flexible, approving loans as long as a savings account is open and active. After all, the primary reason for the checking account is so the lender has a place to electronically deposit the money, not for approval of the loan. Typically, the person’¦s paycheck is the needed collateral so if the individual were to default on the loan, the lender would be able to put a garnishent on that borrower’¦s income.
In addition to lenders now being more flexible regarding checking versus savings account, most payday loans are approved without the person’¦s credit history being checked. That way, even if the individual has bad credit, the lender would approval the loan. The person’s credit history is not even considered for loan approval. Again, as long as the person has a job, steady income, and a savgs account, most online lenders of a payday loan will provide the funding needed.

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« The Payday Loan and Your Bank Account Balance
Visualize How You Should Look and Get it With F.B.F Program »
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