American Cash Advance Loans

Like many industries that operate primarily online, the American cash advance industry has seen its fair share of controversy and fraud. However, in today’s day and age, consumers are securer and safer. Here, we will dispel the following myths that still surround online short term payday loans online.

Quick cash loans for emergencies

Sometimes we need a quick cash loan for an emergency situation. When emergency strikes, we may need quick cash to see us through. It is not always our fault. No matter how cautiously we live and try to budget, we can’t prepare for emergencies like broken cars and burst water pipes. That’s where a quick cash loan can come in handy.

#1 – Lenders Are All Fraudsters

Because there was little regulation pertaining to the industry when it was still in its infancy and many lenders participated in what are now known as unfair lending practices, american cash advance are often still associated with fraud. This is not the case these days;  lawmakers work hard to ensure that you have access to credit that is fair, non-discriminatory and affordable. Federal and state governments have enacted various laws and acts that are designed to protect you from losing your hard earned money to lenders who participate in illicit or unfair lending practices.

#2 – Loans Are Too Expensive

Another common myth associated american cash advance online is that they are too expensive to consider. However, this is typically not the case. Many consumers simply look at the APR associated with their loans, which is between 260.71% and 1825.00%, and determine that they simply cost too much. However, since the APR is the amount of interest you would be charged for your loan over the course of an entire year, you will not pay anywhere near even 260.71% interest. In fact, when these loans are repaid on time, they usually only cost between 15% and 30% in interest, and this is a rate that is highly competitive with other forms of credit.

#3 – They Are Designed to be Impossible to Repay

When consumers do not use online american cash loans responsibly, they often find themselves in an endless circle of debt with their lenders. It is important to consider that this can be completely avoided by simply repaying your loans on time. Although consumers usually pay up to 30% interest on their on-time loans, consumers who miss their payments may be charged much higher interest rates as well as late payment fees, rollover charges, additional fees for nonsufficient funds and more. For people who already have compromised budgets, this can certainly make things difficult. For this reason, it is important to consider your finances before you even apply for a american cash loans.