There are few things that are more stressful than needing money and having to wait until the next payday. Fortunately, loan products exist for individuals from varying financial backgrounds. Some cater to credit-challenged borrowers, while others have more stringent criteria and extremely low interest rates.
How do you find the best loan product? It starts with understanding the qualifications each lender has in place.
If you’re a prospective borrower with less than perfect credit, you know first-hand how hard it is to get a loan with traditional banks. But online lenders who cater to borrowers in real need aren’t always the best fit as many offer loans with steep interest rates.
Want better choices? Read on to learn more about how these high-priced loans work and other options that are better for your financial health.
Options For Payday Loans in North Carolina
The North Carolina Consumer Finance Act prohibits payday lending. However, some lenders still offer short-term cash advances or small-dollar loans. Similar to payday loans, you can apply online and get the cash you need in as little as one business day.
But there’s a major drawback. The interest rate on these loans is capped at 36% APR, and many lenders charge the maximum to collect as much interest as they can.
Requirements:
You may qualify for a small-dollar loan in North Carolina if you meet the following criteria:
- Are a U.S Citizen or permanent resident that’s 18 years of age or older
- Can provide proof of income from your job or self-employment; some lenders also accept government benefits as a form of income
- Have a valid physical address, email address and phone number
- Possess a checking account that’s active and can receive direct deposits
Each lender has their own set of criteria. So, you want to inquire before applying if you have questions.
Credit Affects:
Some online lenders may check your credit to determine if you qualify for a loan. Each credit inquiry takes 2 to 5 points off your credit score, even if you aren’t approved.
Your credit can also be impacted if you fail to make timely payments on the loan. More on that shortly.
Terms:
Repayment periods are determined by the lender on a case-by-case basis.
Max Loan Amount:
There are no restrictions on the amount of online cash advance lenders in North Carolina can extend to you.
Penalties:
If you default on the loan, you may be subject to escalated collection activity. The lender can sell the delinquent account a debt collector, which means bad news for your credit. You can also be sued in court, and the lender or debt collector can get a settlement to collect what they’re owed.
Payday Loan Alternatives in North Carolina
Installment loans in North Carolina are only one solution for cash-strapped individuals who need cash before their next payday. Credit cards are another option, but using them to make purchases may not be wise if you can’t afford to repay the expenses before the next billing cycle rolls around.
Have a few items lying around? Sell them online or get a loan from the local pawn shop. If you do the latter, understand that you’ll forfeit rights to your goods if you can’t repay the loan when it’s due.
You can also reach out to a friend or family member for cash. If you choose this option, get the details of the arrangement in writing and uphold your end of the bargain to avoid confusion.
Payday loans aren’t the only way to get the cash you need in North Carolina. You can take an advance from your credit card, but it may cost you much more than you bargained for over time.
Need a better alternative? MoneyLion has you covered.
Instacash
Instacash from MoneyLion allows you to access up to $250 anytime you need a quick financial boost. Plus, there are no credit checks, interest or hidden fees, and the money arrives in your bank account in minutes.
Want to give it a try? Register for a MoneyLion membership now.
Download the MoneyLion mobile app and create a profile. Once you’ve linked your checking account, you will know how much you qualify for right away. Any advanced funds are due in a few weeks, and you can borrow as often as you need to.
Credit Builder Loans
Need a little more than $250 until your next payday? You may qualify for up to $1,000 with a Credit Builder Loan from MoneyLion. But this isn’t just any installment loan. It works hard to improve your credit while helping you get over the financial hump.
You can apply in minutes and if approved, a portion of the loan hits your bank account in minutes to give you the financial relief you need, while some of your loan may be deposited into a Credit Reserve Account that earns interest until the loan is paid in full.
Payments are automatically deducted from your checking account. So, you won’t have to keep up with due dates. Also, know that each on-time payment is reported to the credit bureaus and helps strengthen your payment history.
When the final payment is made, the funds in the Credit Reserve Account are yours to keep.
The Credit Builder Plus membership is only $19.99 per month and includes an optional fee-free bank account, managed investing and Instacash cash advances.
Get the Fast Cash You Need Today!
If you’re a resident of North Carolina, you don’t have to settle for an expensive online loan to get you through a rough patch. Consider an-interest free cash advance from MoneyLion to help you keep more of your hard-earned money in your pocket.
Need to start rebuilding your credit? The Credit Builder Loan is a viable option that gets you cash now and improves your score over time. That’s a win-win for you!
