Loans For Hours Worked And More: New Changes To The Payday Loan Industry
A payday loan is a short-term loan that can help you take care of unexpected bills and financial emergencies. These loans are based on how much you earn, and they are usually approved regardless of your credit score. To improve the state of short-term loans, leaders in the payday industry are constantly working to revolutionize and revitalize payday loans.
Here are some of the new changes on the horizon:
Loans for Hours Worked
Traditionally, when you apply for a payday loan, you take out a chunk of money that you agree to pay back on your next payday. However, a new group of payday lenders is looking to change this classic arrangement. Instead of granting you a single loan, these lenders are willing to grant you a loan every time that you work a few hours.
To use these lending services, you simply upload a picture of your electronic time card to a special app, and the lender verifies how many hours you have logged. If you want to get paid immediately for those hours, you just need to push a few buttons on the app, and the money is dispatched to your checking account immediately.
You can take out as many loans as you like throughout your pay period, and when you are finally paid, the money you borrowed is deducted from your checking account. In most cases, you pay a fee for this service, but some start-ups are offering a pay-what-you-want type of arrangement for these loans.
Business Cash Advances
Normally, in order to get a payday loan, you need to prove that you have a regular paycheck. Unfortunately, that can be impossible to do if you own your own company. Luckily, there are business cash lenders to help consumers who are in this position.
To take out a business cash advance, you provide a little information about your business sales and receipts. This is similar to giving the payday lender information about how much you earn. Rather than being due on your next payday, a business cash advance is due as soon as you have sales from your business. Some payday lenders offer these types of loans, or you can find a lender who focuses on business cash advances.
A lawsuit loan works just like a payday loan, but rather than providing you with cash to last until your next payday, these loans provide you with cash until you win your lawsuit. If you are bringing a suit against someone for a workers comp issue or an injury, you can apply for a lawsuit loan to help cover your expenses throughout your trial. As soon as you win your settlement, you have to repay the loan.
If you do not have a paycheck, own a business, or have a lawsuit, you still have options thanks to peer-to-peer lending. Like payday loans, peer-to-peer loans can be access regardless of your credit score and history. However, the main difference with these loans is that they are funded by your peers rather than by a payday lender.
The application process is relatively similar, but in most cases, you have to give more information to a peer lender. Payday lenders do not ask what you plan to use the money for, and the application process is completely judgment free. With peer-to-peer lending, you have to tell your peers what you are planning to use the money for.
In spite of all of the new types of loans available, you can still get a classic payday loan. If you need cash quickly, contact a payday lender like EZ Money and apply for one of these loans today.