Why Payday Loans Are Always Called A Bad Idea Of Lending Money?
Payday loans are generally based on repayment of borrowed cash on the following payday. These are very short term loans to customers with emergency financial requirements. The eligibility to obtain these loans service is quite simple. A person applying for payday loan should be with a steady source of income and with a personal bank account. Reason for more people opting: Normally the advertisement for this short term loans make them appear quick, easy money solution when the client is in a real cash crunch and unable to find a way out otherwise. They panic and get distressed at the time of an emergency financial requirement such as an unexpected medical bill or car repair bills. The ugly side of payday loans: Credit score-at risk: Unless the repayment is prompt, the customer’s credit score is greatly at risk. If the lender attempts to deposit the post-dated check, it bounces. When this happens many times, your credit score gets badly damaged. Hence many payday loa