You may hear financial advisers (and even your loved ones) telling you to set aside a portion of your monthly income for emergency expenses. While this may be helpful advice, it’s easier said than done.
Problems you’re bound to encounter include unforeseen circumstances where you might need more than what savings you have in your bank account. Some hefty expenses that can be too much for your rainy-day fund include home repairs, big-ticket consumer products, moving costs, and medical expenses.
You may also hear finance gurus saying that saving for the rainy days is essential to avoid falling into deep financial troubles. However, with more than 39% or four out of ten Canadians admitting to not having any savings at all, it’s not difficult to see why people seek and apply for urgent caveat loans. These kinds of loans are ideal for emergencies and urgent financial needs.
If payday is quite far off and you need some fast cash to pay for an urgent bill, hospitalization expense, or emergency travel, short-term loans are your go-to solution. So, what exactly do you need to do to get these quick cash loans?
Who Are Qualified To Apply?
Though the documentary requirements vary from one lender to another, most of the time, anyone with a steady source of income can qualify. As long as you’re over 18 years old, have a bank account under your name, and can prove you have a source of income, you can apply for a quick cash loan.
Compared to bank loans and those that you can get from private lending firms, getting approval for quick cash loans like payday loans from GoDay is less complex. You don’t have to present a pile of financial documents to prove your capacity to pay. Just prove that you have a steady income source and your loan application is likely to be approved.
Will Your Credit Score Matter?
If you’re applying for a bank loan, your credit score will indeed matter. Fortunately, this isn’t the case with urgent caveat loans. With the latter, applying and getting approved is still possible even with a low credit rating. One good thing about this is you’re given the chance to redeem yourself. As long as you repay your loans on time, you get to establish a good credit rating, and subsequently, your credit limit will also increase.
If you get to this stage, you can slowly repair your credit score. One factor used in measuring your credit score is the difference between your available credit limit and your loans. With a higher credit limit and lesser obligations, chances are, your credit score will improve.
Why Is Having A Bank Account Necessary For Loan Approval
Applying for urgent caveat loans starts with filling out the lender’s online application form. You need to provide your name and other contact details on this form. Once you’re done, your loan provider will ask you to provide a valid ID along with your bank account details. Your bank account will be used to deposit the proceeds of your loan and it should be in your name, otherwise, they might reject your application.
The reason behind such a requirement is to make disbursement easy for customers while protecting the company’s interests at the same time. This requirement ensures the company that you are who you say you are and this is evidenced by a bank account in your name.
This can also serve as proof that you owe the said lender money. If you refuse to pay your loan obligations despite diligent efforts from the lender to offer alternative payment schemes, the bank transfers made to your bank account will be used as proof of your debt. This can be helpful to them when they decide to pursue any legal action against you.
A Quick Cash Loan Is The Way To Go
The best thing about quick cash loans is that you get the money you borrowed when you most need it. You don’t have to wait for days or weeks before you get approved. For your urgent cash needs, these fast financing institutions have your back!
