Advance America Payday Loan Review

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We all struggle to pay the bills at some point, but Advance America provide a way to bridge that financial shortfall until we’re paid at month end. Regardless of your reason for borrowing money, you can get payday loan approval within just minutes of submitting your application. It doesn’t matter if you need money to pay your rent or buy a new LCD TV in a seasonal sale.

Legal Requirements

As well as complying with state law, Advance America is a member of the Community Financial Services Association of America (CSFA). About half of all US states have no legal controls, but payday cash isn’t universally available. Rather than outright prohibition, most states have chosen to control the amount that can be borrowed and/or cap the rate of interest that a customer can be charged.

Bad Credit History

Your credit status is unlikely to be a problem because your FICO credit score isn’t assessed. Even if you’re a discharged bankrupt, you may still be able to get a loan from cobra payday loans. However, a credit scoring model designed by Experian is used to determine whether or not you’re eligible.

Eligibility Criteria

You can submit an application for a payday advance loan in-store or at one of its 2,200 lending centers. The entire process should take no more than 15 minutes. However, it’s advisable to start making your application online because this will help to expedite the process.

Identification

  • Two Forms of identification, such as a valid State or federal photo ID.
  • Your most recent checking account statement.
  • Your most recent paycheck stub.
  • A personal check of equivalent value to the principal and interest that’ll accrue.
  • Social Security Number (SSN) verification.

The above ID is needed to prevent fraudulent applications being made and to verify that you are in a suitable position to repay the debt at the end of the lending term. Depending upon how you apply, you can receive cash, check or a bank transfer. The choice is yours.

Cost of a Payday Loan

It’s difficult to specify an overall cost for your paycheck advance because state laws and restrictions may apply. Here are some examples:

  • You can borrow up to $500 at 391.07% APR in Kansas.
  • You can get an Advance America loan for up to $1,000 at 651.79% APR (online) and 482.32% APR (in-store) in Nevada.
  • A $200 paycheck loan costs 247.68% APR in Minnesota.

It is usually cheaper to borrow money at a lending center because customer default rates are lower. You’ll also tend to find that small loans will cost extra because they’re more expensive to administrate. Your payday loan will typically be repaid on the date that you’re next paid.

Repaying Paycheck Loans

While everything is done to ensure that you’re in a position to repay the money you’ve borrowed, it is recognized that financial difficulties can and do arise. Advance America will attempt to make contact with you to reach a mutually agreeable repayment plan.

If your check is returned due to a lack of funds, you will have to pay a returned check fee and a NSF fee to your bank. Subject to state law, you may be able to rollover your debt for an additional month. However, CFSA member companies will only allow you to do this up to 4 times.

Should Under-21’s Apply for a Credit Card? New Card Laws Make It Harder for 18-21 Year Olds to Get Approval

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The Credit Card Accountability, Responsibility and Disclosure Act became U.S. law on 22 May 2009. Under-21’s will face tighter controls should they wish to apply for a credit card. These new card laws are specifically designed to prevent young people acquiring credit card debt before they are old and wise enough to make more informed decisions.

Under-21’s Who Apply for a Credit Card Face Fresh Restrictions

All under-21’s must meet one of the following criteria before they apply for a credit card:

  • They should have independent financial means to repay any outstanding credit card debt.
  • A parent, guardian or individual who is over-21 must agree to be a co-signer. This means that the co-signer is jointly liable for any debt that has been accrued.

Other Changes to Card Law

  • It is no longer permissible for a card provider to offer gifts to students in order to entice them to apply for a credit card.
  • Pre-screened card offers can no longer be sent to under-21’s unless that person has consented to receiving them in advance.
  • Credit limits cannot be automatically increased based on a FICO score alone. A limit can only be changed when the co-signer provides written permission.

Is it Sensible to Co-sign for a Credit Card?

Research by Sallie Mae showed that 84% of college students currently have a card; the average outstanding balance is $3,173. The amount owed will vary considerably between students and some will owe a lot more than the average. The co-signer is jointly liable for any credit card debt and missed or late payments will affect personal FICO scores. It could also get the student into bad spending habits from a relatively early age.

Apply for a Credit Card to Boost a FICO Score

A number of under-21’s apply for a credit card in order to improve their FICO score. Whilst a series of regular payments will achieve this objective, a more likely outcome is credit card debt. It is easy to develop a credit score in a few years, but it can take as long as a decade to undo the damage of missed and late payments.

The card laws have been reformed to prevent under-21’s from accruing credit card debt before they have sufficient life experience. Those who apply for a credit card will now need a co-signer. Whilst punctual card payments can improve FICO scores, there is ample time to achieve this objective later on.

A Well Timed Mortgage Refinance Loan Can Save Thousands

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When taking out a mortgage refinance loan, you are essentially paying off your current mortgage with a new mortgage, your home is still the security for that loan and if you time things just right, you could end up saving money by refinancing.
Interest rates are where the bulk of your mortgage payments are spent for the first several years that you are paying for your home. The first few years equity is slow to build, so how to you end up saving money by refinancing? This actually can work several ways. First of all, if you manage to find one of those rare moments when interest rates are lower (most experts advise two points lower minimum) than your current interest rate that moment might be a prime time to refinance. The lower your interest rate, the lower the total payments.

Another way to save money is to refinance the loan with a shorter term. This still equals less payments to interest each month and throughout the life of your loan than a traditional 30-year mortgage. Some people have also found that by taking a shorter repayment term when getting a mortgage refinance loan, they are eligible for a lower interest rate than if they took the full 30 years to repay the loan. So in this situation you are actually getting a double bonus so to speak.

Many people find that they save a significant amount of money on their loans by going from an adjustable rate mortgage to a fixed rate with their mortgage refinance loans. Adjustable rate mortgages tend to offer a lower interest rate at the beginning of your loan in exchange for the ability to raise or lower the rate according to current market standards after a specified amount of time. This for some is called a ‘honeymoon’ and others calls it a ‘grace period’. This still comes down to the fact that the less you pay in interest, the less you pay for your home.

Keep in mind however, that this process does not come without costs. You will have the same fees you paid when originally applying for your mortgage because you are essentially getting a new mortgage refinance loan. There will be up front expenses and fees that must be taken into consideration. Some common fees will be appraisal and inspection fees, loan origination fees, points, and you may have to take out a private mortgage insurance policy once again.

Many people find that mortgage refinance loans do in fact save them a tremendous amount of money over the life of their loans, however, just as many find themselves in financial hot water because they did not handle the process wisely and sacrificed the equity in their homes. Be sure you are either going to benefit from the process of taking out a mortgage refinance loan or seek alternatives. You do not want to recklessly risk your family’s security by making ill-timed financial decisions.