What Constitutes a Short Term Loan?
Most small loans come in the form of payroll advances. This is because it’s the simplest way of getting quick cash from a reliable lender. Loan agencies assess your application based on your ability to pay them back–in other words, your employment details and credit history. Once it is established that you’re anticipating a paycheck, then it becomes simple to make the loan. Paycheck advances hinge on the fact that your repayment will come out of your next check. For this reason, then, most short term loans are limited to two weeks (the length of most pay periods). Keep in mind that if you are unable to pay within these periods, you’ll be facing additional interest charges and fines. Who can get short term loans? Just about anyone with steady employment. But the simplicity alone shouldn’t be enough to convince you–make sure that you’re well-informed as to both the pros and cons of the system.
