Cash Loan Myths

If you've looked into getting a payday loan before, you've probably been bombarded with all kinds of myths and propaganda against them. Despite the overwhelming popularity of cheap cash loans, there are those willing to spread false information about the industry. These misconstrued pieces of information are easily debunked with a little knowledge on the subject though. Here's a look at some of the most common cash loans myths we've heard about and the real truth behind them:

Myth: The cash loan industry is completely unregulated and full of hidden fees.

One of the most common myths that those against payday loans like to bring up is that the industry is not regulated by business laws. This couldn't be further from the truth though. Numerous states throughout the country have passed their own specific laws pertaining to short-term loans. As far as hidden fees go, all cash loan companies are required by law to disclose their interest rates and any fees that may apply to a transaction.

Myth: Payday loans should be your first option when you need cash.

Clearly, payday loans make a great choice when you're in need of some fast cash, but they probably should only be used in emergencies. Consumers who rely too heavily on cash loans can often find themselves deep in debt. That's why we recommend you only use cash loans in situations that truly merit their need.

Myth: You need a job to qualify for cash loans.

While having a job is one way to qualify for a payday loan, having some type of income is actually more important. Many people are able to get approved for a cash loan without a job by having a different form of income. For instance, those who receive monthly checks from the government or have a pension may be able to get approved. It all depends on your specific circumstances and your lenders policies.

Myth: All payday loan companies are the same.

Sadly, not all payday loan companies are created equal and some are very clearly better than others. That's why we recommend that everyone takes advantage of our free matching service! We'll help you find the best lender to provide you with cheap cash loans! When you work with the lenders in our network, you can take confidence in the fact that you're getting help from some of the best in the industry.

Myth: Everyone can qualify for large loans.

Although many lenders can offer their cash loans in large amounts, not everyone will qualify for one. Typically, your ability to get approved for payday loans in high amounts depends on your income. The higher your monthly income, the more likely a lender will approve you for a large loan. Having a good borrowing history with a certain lender doesn't hurt either.