Comparing Online Payday Loans with Walk-in Cash Advances

Posted on Thursday, August 6th, 2009 at 8:14 pm in Miscellaneous Cash Loan Info

There are two basic ways to get a payday loan. You can either apply by filling in a form on an online lender’s website, or you can go down to a cash advance store in the neighborhood where you live or work. You can find bricks-and-mortar payday loan shops in malls, along busy city streets and in the shopping centers where you buy your groceries. Online payday lenders are all over the internet now. It’s easy to find companies that service your home state by doing a search on Google or another search engine.

Each type of payday loan provider has its own pros and cons, and some customers feel strongly about using one over the other. If you need a payday loan but can’t decide how to get one, here’s a rundown of the advantages and disadvantages of walk-in cash advance stores and online payday lenders, respectively:

Your local cash advance shop:

Advantages:
* Some customers are more inclined to trust a company that has set up a physical storefront and office than one they know only from a website
* While many people use the net to find information, they are less keen to do financial transactions online
* Doing business face-to-face with the person who is approving your loan can feel more secure and personal than dealing through an online form
* You can get you loan approved and walk out with cash in your pocket within 30-60 minutes

Disadvantages:
* Lack of privacy – people will know you’re getting a payday loan
* You have to go there in person, which takes time and costs money for transportation
* You have to remember to bring all the identity and banking documents and paystubs you need to support your application
* In some areas, payday loan stores and their customers are easy targets for criminals

An online payday loan company:

Advantages:
* Nobody except the lending officer will know you need a payday loan
* You can apply any time of the day or night from the convenience of your own home
* You can do your research first, and pick a lender that fits your requirements
* You don’t have to travel or wait in line

Disadvantages:
* Although the money is wired to your bank account shortly after your loan is approved, you can’t take it out until the next business day
* You must read your loan agreement carefully to see if you need to inform the lender in advance if you want to repay the loan in full at the end of the term. Some payday lenders will automatically roll your loan over and charge you another fee unless you them expressly not to.

So, if you could use some extra money to get through a lean patch before your next paycheck is deposited, you have two different choices. You can go for the faster, more personal method – a traditional payday loan store. Or you can sit at home in your PJs and apply online. Either way, remember to pay your loan off quickly!