If you are looking for quick cash loans, it is worthwhile to know the difference between cash loans online and a cash advance store. Knowing the difference can stop you from taking a loan that you cannot afford because of the repayment term or because the interest rate is so high.
What’s an Online Cash Loan?
As the name implies, an online cash loan is one that you apply for and that is processed online. You send in your application to a lender, the lender reviews the application and a loan decision is made. If the loan request is approved, money is wired to your bank account within hours or days. Lenders may allow you to apply for personal loans or other unsecured lines of credit that come with reasonable interest rates and from reputable financial institutions.
What’s a Cash Advance Store?
A cash advance store is a place where you can get an advance on your next paycheck or otherwise get fast cash loans. The application process is generally a manual one, which means it may take as many as 30 minutes to fill out the form and get an approval decision. You may also have to battle traffic and stand in line before you are seen by someone who can approve and process your loan. Most loans from such locations come with high interest rates in addition to late fees if you aren’t able to repay the loan on time.
Online Loans Are Generally More Secure
Getting an online loan may be the safer option for those who are worried about their information being stolen. This is because the loan application is sent through a secure server with modern encryption technology. Therefore, if a thief were to attempt to access your application, all he or she would see is a bunch of random symbols and letters.
You Can Still Ask Questions or Provide Additional Information Online
You don’t need to go to an cash advance store to ask questions about your application or provide context to your loan application. Online lenders generally offer live chat options and the ability to add documents to your application if you think that they can help you get approved for the loan or obtain better loan terms. Furthermore, an online lender may save your information as you go, which makes applying even more convenient.
Knowing the difference between an online lender and a cash advance store can help you get the best loan at the lowest interest rate. When you are able to keep your borrowing costs to a minimum, it allows you to focus more on repaying the principal balance as opposed to staying stuck in a cycle where you do nothing but pay interest or late fees.Continue Reading