Instant Cash Loans With Bad Credit

Many people who have bad credit are amazed to discover that they can get cash loans almost instantly. Quite a few of these people end up using these loans to cover their day to expenses and pay their bills.

Don't rely on instant cash loans

Relying on instant cash loans is a mistake because the high cost of such loans will quickly eat up what extra money a person might have. Instant loans cost a lot because of the high fees that instant cash lenders charge on them. That is why such lenders are able to give money people with bad credit.

A typical instant cash lender might loan a person $500 and charge a $50 fee for the loan. This translates into 10% interest which doesn’t seem like a bad deal until your realize that the $50 is charged every week. That adds up to $200 a month if the loan isn’t paid off quickly.

Many people get instant cash loans which are also called payday or quick loans because they are so easy to get. There are dozens of stores offering the public such loans in most cities. Instant cash loans are also very easy to get online and over the phone.

A last resort when you know money is coming in at a later stage

It is best to only get an instant cash loan when you have no alternative and you know that you can quickly pay the money back. An example of such a situation would be that you need $500 for medical bills or rest and you know that you have a $2,000 paycheck arriving next week. Even in that situation you would still be out $500 of your salary so you would still loose money.

Other alternatives

A much better alternative is to contact the companies to whom you owe money and explain the situation to them. Ask them if you can delay a payment or make a smaller payment now. Many creditors will work with you especially if you have a record of paying off your bills.

Another alternative many people should look into is government benefits such as food stamps or unemployment insurance. Such payments might be available to you and can be applied for online. One drawback to government benefits is that it may take weeks to apply for them and get them. Another problem with government benefits is that you may have to deal with weeks of red tape and bureaucratic nonsense to get them.

One thing to remember about government benefits is that you have already paid for them in the form of taxes. Whatever you get back in government benefits will probably be far less than you paid in taxes in the past. Another thing to remember is that if you’re not taking that money somebody else will be.

There are many excellent alternatives to payday or instant cash loans. Everybody should look into the alternatives before applying for such a loan.