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Why a Short Term Loan Might be Right For You

Short Term Loan

There are times in life when you may be in need of quick cash but feel as though you have no way to obtain it. Whether you are facing an unexpected medical bill, are behind on the rent, or need to take care of your family, the ability to obtain quick cash is imperative.

Oftentimes, unexpected expenses can drain your savings and leave you feeling stressed out. Luckily, when you need to get quick cash, there are a variety of convenient short term loan options that can lift you out of a sticky financial situation.

There are few different options when it comes to taking out a short term loan. In order to help you understand the benefits of a short term loan, and to help you decide which type is right for you, we have compiled a list for your reading pleasure. Check it out below.

Cash Advance Loan

A cash advance loan, also known as a payday loan, is a short term loan that is a great option if you need to get quick cash.  A cash advance loan is a very easy way to get the money you need. While the requirements needed to receive a cash advance loan varies by state, there are some basic general requirements.

Inquirers should have:

  • A Bank Account in Good Standing
  • A Steady Source of Income
  • A Photo Identification Card

A typical cash advance loan lender will be able to provide anywhere from $100-$1,000. So, whether you need to get quick cash for a relatively minor expense, or you need more cash for a higher expense, a cash advance loan could be able to provide you with the money you need.

Personal Bank Loans

Personal Bank Loans

Unlike cash advance loans, which are generally very short term loans, personal bank loans are typically paid back over one to five years. Additionally, you could potentially receive more money than you would from a cash advance loan.

However, personal bank loans are much harder to acquire than a very short term loan. While a cash advance loan lender will rarely check credit, many personal bank loan lenders will require fair to excellent credit in order to approve the loan.

If your credit is solid, a personal bank loan is a good choice. However, if your credit is less than stellar, a cash advance loan or another type of short term loan may be a better way to acquire quick cash.

Car Title Loans

A great short term loan option to consider when you need quick cash is a car title loan. The car title loan process is just as simple as applying for a cash advance loan, and you could receive more cash in hand. A car title loan uses your car as collateral in exchange for funds. The money you could receive is based on the age, condition, and total value of your car.

It is a perfect short term loan for those who need quick cash because there are few requirements. Like payday loans, the requirements for a car title loan vary by state, but generally you can expect to need four key items.

  • The Car’s Title
  • A Spare Car Key
  • A Photo Identification
  • A Recent Paystub

Once these documents are presented to the lender, and the car is inspected, you can typically receive the money you need in less than an hour.

A Short Term Loan Could Help in Times of Financial Distress

When you are facing a financial emergency and need quick cash, it is important to stay calm. A short term loan, whether it is a cash advance loan, a personal bank loan, or a car title loan, can easily lift you out of a bad situation. With the knowledge outlined above, you can choose the right short term loan for yourself and avoid the stress that comes from financial instability.