Payday is around the corner, and you’re bank account is looking pretty low, so you’ve been eyeing a payday loan in Philadelphia. Payday loans are illegal in Pennsylvania, but some lenders still offer them. Countless Philadelphia residents have fallen victim to payday lending schemes, paying 400–1,000% in interest on short-term loans.
Fortunately, you have legal options for borrowing money in Philadelphia. Learn more about your cash advance choices to understand why a Philadelphia payday loan is not recommended.
How to Get a Cash Advance in Philadelphia
While Philadelphia payday loans are illegal, you can stay within the law and avoid paying interest with an Instacash loan.
Max Advance Amount: $250
Credit Affects: None
Instead of paying more than 400% interest on an illegal payday loan, you can get an interest-free cash advance with Instacash.
MoneyLion deposits the money for free in your RoarMoney bank account or an external account. You can even get the money in an instant by paying a small fee. Either way, you only pay back the $250; nothing more. Because you don’t have to pay interest or fees, you won’t get stuck in a debt cycle.
How to Qualify:
- Be 18 or older with a steady income or regular deposits.
- Have a positive balance in an active bank account.
- Have an account that’s been open for a minimum of 60 days.
Max Payday Loan Amount: 20% of the borrower’s gross monthly income
APR: 1,000% or higher
Credit Affects: Payday lenders don’t check your credit or report on-time payments. If you are late or miss payments, they can report you to the credit reporting agencies.
You cannot legally obtain an in-person payday loan in Philadelphia or the rest of the state. However, some lenders are willing to break the law to collect payments on high-interest loans. Do not obtain funding from an unlicensed lender. You should also never pay fees upfront for a loan or take out a loan that is due in one to two weeks.
Lenders that offer Philadelphia payday loans should be avoided. They are breaking the law, and you can report them to the Department of Banking and Securities.
Instant Online Loan Options in Philadelphia
You can legally take out an instant online loan and build your credit at the same time.
Credit Builder Loan
Loan Amount: You could qualify for up to $1,000.
Credit Affects: The average Credit Builder Loan user can boost their credit score by 60 points in 60 days!
Monthly Membership: $19.99/month
Unlike illegal payday loans that charge huge interest rates and put you in a cycle of debt, a Credit Builder Loan from MoneyLion is legal and affordable. You can borrow up to $1,000 and repay it with 12 affordable monthly payments. The interest rate is competitive, and there is no hard credit check.
You’ll immediately receive some of the funds, and the rest will go into a Credit Reserve Account, earning interest while you make your payments. Then, when you make the last payment, you can access the reserve account, proving the saving really does pay off.
How to Qualify:
- Be 18 or older
- Be a U.S. citizen or legal permanent resident
- Have a valid United States social security number
- Have a bank account to make payments on your loan
- A loan of up to $1,000 that you’ll pay off in 12 monthly payments
- Access to a weekly credit monitoring reports
- Credit Reserve Account that earns interest while you repay your loan
- The ability to increase your credit score by 60 points in 60 days
- Instacash benefits
Comparing Your Cash Advance Loan Options in Philadelphia
Compare your cash advance loan options in Philadelphia to determine which is the right choice for your financial needs.
|Instacash||Credit Builder Loan||In-Person Payday Lender|
|How Much Can You Borrow?||$250||$1,000||Normally $350|
|Fees & Interest||Free|
|Competitive APR, $19.99/month fee||400% APR or higher|
|Impacts Your Credit?||No||Yes, it builds your credit score||Late payments are usually reported|
Apply any time
|– Mobile Device- Apply any time||Not legal in the state, but illegal options are available in-person and online|
|Wait Time||Instantly*||Instantly||Instant access to a check or transfer, but availability depends on your bank|
|Next Steps||Sign Up||Sign Up|
Get Cash Fast with a Legal Loan
Even though payday loans are illegal, some unscrupulous lenders still offer them. The high interest rates will put you in a bind, and you might not be able to repay the loan.
With your RoarMoney Mobile Bank account, you can get paid a full two days early and access weekly spend reports.
Download the MoneyLion app today.