Payday loans are granted on the promise that the amount will be returned when the borrower will receive his next pay. Usually, your monthly income is the only source of verification for the company to grant you the loan. However, every company has their own criteria.
Generally there are two types of pay day loans available in Edmonton. The first, considered an in-store loan, allows you to visit the physical location of the establishment and you will receive your payday advance in person. Usually, the process takes about 15 minutes and you will get your money right there. The second is considered an online advance.
You submit an application online providing your paycheck information, bank account information and references. Generally, the money from the advance is deposited into your personal account within one business day.
Features of Payday Loan
These loans are small amounts and you can easily get them. The procedure does not involve any lengthy investigations. You will have to show a proof of your monthly income which must be consistent. It will be easier to obtain the loan if the amount is relatively less. Once you have established a good relation with the company, you can ask for loans of higher amounts.
You can easily pay the loan when you receive your next payment. The deadline for such loans is typically short. Pay day loans in Edmonton are granted at high interest rates and that is why they can easily be obtained. You may have to pay $15 for every $100 that you borrow. Each province and each company has its own rules. There are certain restrictions about how much you can borrow, limitations of interest rates and what should be the due date for such loans.
How to get the loan?
You can get the loan by applying online. In most cases, you will have to fill out a simple form and that is all that is required. The criterion that is offered by many companies includes:
- You must be 18 years old
- You must have a job and you must be earning at least $1000 monthly
- You should have a checking account.
- Most of the times, you will get the loan amount in the next 24 hours.
You should be careful before you take the loan. Although payday loans are small amounts, but if you do not pay them on time, you will have to pay a huge amount of extra money which can be a lousy experience. Always read the legal policies of your province and your company before you apply for payday loans. In this era of technology, it is also important to take care of your private and financial documents. It is always best to schedule your budget according to your income, but if you cannot, then payday loans are always the best option.
Regulations and Laws Governing Cash Advances
In general, businesses that loan money until your next paycheck are regulated by local and federal laws. One of the government agencies that regulates the process is the Consumer Financial Protection Bureau. The CFPB is a federal government agency that closely monitors the activities of payday advance companies. They also have an excellent website with FAQs on frequently asked questions.
In addition, if you suspect that an establishment did not treat you fairly, took advantage of your situation or another complaint, you can file a formal complaint online which will be investigated. Additionally, many provinces have their own financial protection departments to make sure everyone is following the rules.