The Flip Side of Payday Loans in Florida

Payday loans have received a really bad rap, especially in recent times. The idea behind a payday loan in Florida, if you’re on of the wise ones who have left them alone, is that you borrow a small amount of money (typically no more than 80% of an average paycheck), accept the fact that you’re going to pay a shitload of interest compared to other loans, and pay the loan back as soon as you pick up your next paycheck.

The reason so many people are up in arms about payday loans is that they do charge exorbitant interest rates and tend to trap people into a cycle of repeatedly borrowing money. The interest rates advertised are typically between 9% and 14%, which doesn’t sound too bad until you realize that the interest rate does not use the standard annual percentage rate (APR) which banks, credit unions, and other money lenders typically use.

The interest rate for payday loans is simple interest. You pay back X% of what you borrowed, in addition to paying what you borrow, all on your next payday. The 10% or 12% loan you are taking out would be considered a 300% to 400% interest rate, if the payday loans company was using a traditional APR calculation.

The bottom line with payday loans is this: If you can get any other kind of credit, leave the payday loans alone. You don’t need all of that interest in your life.

However, if your credit is trashed, either because of your poor decisions and money management or because of circumstances beyond your control, and you find yourself in a bind when you need cash, and need it now, payday loans are a viable option.

Let’s face it, there have always been payday loan “organizations” around. It’s just that, before the business became legitimized, your collateral was your legs. If you didn’t pay up, Vinny and Tito were dispatched to have an ugly and often painful conversation with you about your lack of responsibility.

Payday loans are, in some ways, today’s loan sharks. But instead of sending someone to break your legs if you don’t pay, they hold on to a signed check for the amount you owe and simply deposit it themselves if you don’t show up and pay. If your check bounces, they take care of business through the court system. While no one wants to be dragged into court over a sum of money that doesn’t even equal a full paycheck, it beats the hell out of getting the hell beat out of you.

The bottom line with payday loans is that they’re an occasionally necessary evil. Use them sparingly and get out of them as quickly as you can.

The details of instant cash payday loans

If you are looking for a quick cash injection to tide you over until payday, then instant cash payday loans may be just what you’re looking for.

What can payday advance loans be used for?

You may have had an unexpected bill land on your doorstep
You may have forgotten an important birthday or anniversary
Your favourite shop could even be having a closing down sale and offering some never to be repeated bargains

Whatever the reason, if payday is still some time off then instant cash payday loans may help provide the answer. If your application is approved, the money is yours to do with as you choose.

The process

Typically you can apply for an instant cash payday loan online and receive a very fast decision. A full credit check may not always be carried out and your application could still be successful even if you have had credit problems in the past.

As part of the application process, you will be asked to provide the bank details of the account into which you want your loan paid. This account will also typically need to have a debit card facility, as this is the way that the repayment will be taken from the account on the payday that you specify.

The charges

Once you have decided on the length of time you want the loan for, ie. repayment on your next or next but one pay day, then you should be able to see exactly what interest and any other charges will be applied to your loan.

That’s really it

Following a positive decision to the application, if your bank can accept fast transfers the money could be in your account within a few hours. If your bank cannot accept immediate transfers, then the money will usually be in your bank account on the next day.

On your payday an automatic debit card transaction will be applied to your account to make the full repayment.

New customers

As a new customer, you may find the first few times you apply that the amount of money you can borrow is limited. Each time you successfully complete the repayment of instant cash payday loans, you may find that the next time you will be able to borrow slightly more as you build up a relationship with the provider. However, do note that many payday loan companies will not encourage very regular borrowing this way.