Sometimes, expenses pop up, and you don’t have all the money you need to pay them. When this happens, there are options available through qualified lenders to help you get money quickly. This process of receiving money from a lender is often referred to as a cash loan. Here, we’ll explain the definition of cash loans, why you may need them, and what options are available to you.
What Are Cash Loans?
When you receive a cash loan, a lender will give you a lump sum of money either directly deposited into your bank account or in the form of cash in your hand. Since it’s a loan, you’ll have to eventually pay the money back. The amount of interest you must pay on the loan and the amount of time you have to pay back the money depends on your lender and the official agreement you made with them.
When Do You Use a Cash Loan?
People need cash loans all the time. You may need extra money for many reasons, but we’ve found that these four are some of the most common.
1. Emergency Money
If you or someone in your household experiences a medical emergency or an accident, you may need extra cash immediately to afford a medical bill or ambulance fee. Emergency money might also be needed due to home repairs caused by a natural disaster or for emergency supplies.
2. Paying Bills
Sometimes, your paycheck may fall short, and a cash loan can help you pay off essential bills. You can use the loan to pay for rent, utilities, insurance, or any other bill that comes your way.
3. Unexpected Expenses
Special opportunities may arise that require a little extra cash all up front. Perhaps you want to go to a big concert or afford a plane ticket for a family reunion. A cash loan can help you afford these now, and you can pay it back later.
4. Down Payments
When you move into a new apartment or purchase a car, you often need to make a large down payment. Sometimes, this may be out of your regular price range, but a cash loan could help you afford it all at once so you can pay it off later in smaller increments.
The Types of Cash Loans Available
When you need a cash loan, you have a few options.
Installment Loan
In an installment, (often known as a personal loan), you borrow money and set up a strict contract saying you’ll pay back the loan in regular monthly payments. With a personal loan, you usually have a longer period to pay off the loan and a lower interest rate. Your lender will often consider your credit score to see if you’re reliable enough to lend money to.
You only need a valid Texas driver’s license to get an installment loan with Power Finance Texas. We don’t even need a credit history to get you as much as $1,250 in as little as a day or two.
Payday Loans
A payday loan is when you get money from a lender (usually a small amount) and agree that you’ll repay the lender when you receive your next paycheck. These short-term loans often come with high-interest rates.
Credit Card Cash Advance
In a credit card cash advance, your credit card company can allow you to withdraw cash to use now but pay back later. These loans often have high interest rates, and your credit company will have a previously set limit determining how much cash you can withdraw.
Call Power Finance Texas When You Need a Loan
We understand that many things can happen, causing you to need extra financial help. When expenses pop up, Power Finance Texas can help you. Our company has experience providing installment loans to those who need them quickly. When you need extra cash to pay for something you need, reach out to Power Finance Texas and see how we can help you.