Payday Loans Online

Get approved for a cash advance online even with bad credit

Online Payday Loans up to $1500

Payday loans online can be a powerful force for good, so long as you are taking advantage of the right lending options and consider the risks involved.

Below we highlight some of the most important things to think about before jumping on board payday loans online.

It’s important to understand how these short-term loans work, the difference between secured and unsecured payday loans, the big benefits and drawbacks of these lending offers, and other details.


How online payday loans work?

Payday loans are very simple and straightforward alternative lending packages.

This is how online payday loans operate:

Let’s say for the sake of argument that someone is having a difficult time financially and needs emergency funding. They have no savings or deep pockets they can reach into so they look for payday loans online.

After a quick application process (usually takes five minutes or less) they are immediately approved – even though they have less than picture-perfect credit. This is because they were able to prove that they have an income source right now and are using that income source (and future paychecks) as “collateral” for these kinds of loans.

In just a short while (sometimes 24 to 72 hours, often much faster than that) the money they’ve requested is immediately deposited into their bank account.

Now they can use that cash any way they want, too!


Secured vs unsecured payday loans online

As we mentioned a moment ago, there are two real types of payday loans available online today – secured and unsecured.

Secured payday loans are loans that require some sort of collateral (on top of proof of income) for a loan to move forward. This collateral is used to guarantee repayment. In the event of nonpayment the collateral is taken, sometimes sold off to cover the expenses, and the loan is closed.

Unsecured payday loans, though, only use a valid paystub or proof of income as a form of “pseudo-collateral” to lock in for a financing package.

You don’t have to put up anything to secure that loan, though the credit history of people offered unsecured loans is usually a little more blemish-free. The credit score is usually a little higher, too.

Obviously, unsecured loans are the way to go whenever possible. Using collateral to secure a loan, though, guarantees that these kinds of financing offers are available to just about everyone.


Benefits of payday loans online

There are a lot of benefits for payday loans online today, including:

  • Being able to apply for loans at any time, day or night, from a computer or phone;
  • An effortless application process that takes about five minutes from start to finish;
  • No real strict lending policies and credit score/history is often very unimportant.

The other real big benefit for payday loans online is the almost immediate payout of all financing that has been approved.


Drawbacks of payday loans

On the flip side of things, there are some drawbacks to these kinds of loans.

Interest rates are usually a little bit higher. Repayment terms are short which makes individual payments pretty high, too. Sometimes collateral is necessary to further secure these kinds of lending packages.


How important is credit when applying for online payday loans?

At the end of the day, most online payday loan services aren’t going to worry much – if at all – about credit score or credit history information.

Instead, these organizations want to know that an individual applying is actually working, has an active source of income, and has the means to cover these repayment terms.

In very rare circumstances (usually when someone has limited income sources or repayment capabilities) will some form of collateral be needed to secure a loan. Credit score almost never factors in on these kinds of financing packages.


How much can I borrow?

How much money can be borrowed through payday loans online varies on a case-by-case basis.

The overwhelming majority of these loans are for between $150 and $5000, with most loans being much closer to $150 than $5000.

The criteria of each individual lender and the amount of money they make available through each loan will be disclosed pretty prominently on their website. The interest rate, repayment terms, and other important details will be disclosed on the site, too.

Some people will be able to take advantage of the full, maximum amount of money the services provide. Others will have lower limits unless they agree to higher interest rates or are able to further secure their loan with collateral.

At the end of the day, it’s a good idea to only ask for the financing that you actually need. Overextending with these short-term loans is a great way to create a financial emergency that can be difficult to dig out of.


Am I eligible for an online payday loan?

Eligibility criteria

Before applying for a loan online please make sure that you meet the general eligibility criteria, for this you must:

  • be 18 or older
  • have a government-issued photo ID
  • have a verifiable source of income
  • have a valid email address
  • have an active checking account

Also, make sure that payday loans are legal in your state. Some requirements may vary depending on your state of residence.


Online application process

If you meet the eligibility criteria, you can start by filling out a simple online application at Fungecko. Once your submitted application is approved, you will be eligible to receive your money to your bank account shortly. Make sure to repay the loan on-time to avoid expensive penalties.