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Payday Loan Company - Compare Payday Loan Companies To Get The Lowest Rate
By: Carrie Reeder
Payday loan companies vary in the rates they charge customers. You can find low
rates by comparing the offers of payday loan companies. The annual percentage
rate (APR) is an easy tool to find who has the best deal. You also want to take
a look at payment plans to make sure you don’t get taken in by late fees.
Look For The APR
The APR is the cost of the cash advance for a year. Fortunately, the majority of
people pay off their payday loan is less than 30 days so they don’t pay such
high fees. But by comparing the APR of several lenders, you can find the best
deal.
Most often the APR will be listed in the ‘FAQ’ or ‘How It Works’ section of an
online payday company. If you can’t find it, simply email the company with a
request. By taking a few minutes to compare rates, you can save a few dollars.
Finance Fees
The actual cost of your loan will on average be about $15 for every $100 you
borrow. A payday loan company charges the same rate to everyone since there are
no credit checks. In the company’s eyes, everyone has the same credit
background. The only variable is your income level, which will determine in part
how much you can borrow.
Some online payday companies also offer a reduced finance fee for first time
borrowers. You will want to make sure they have a competitive rate to begin
with, but it is certainly worth checking out.
Payment Plans
One way payday loan companies can get you is by delaying payments. They might
just debit the finance charge or a small part of your principal from your
checking account. While the small charge may seem nice, you are actually adding
on more financing fees for the time delay.
When you apply for a cash advance, make sure you opt for the full payment on the
day you get paid. Some lenders will automatically default to this plan; others
will require you to call or fax your request to the company. You can always
change your mind later on.
About the Author:
See my recommended Cheap Payday Loan companies online. Carrie Reeder is the
owner of ABC Loan Guide, which offers help with loans for people with bad
credit.
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