Cash Loans vs. Traditional Loans
Although there are some similarities between payday loans and traditional loans, the two really couldn't be more different from one another. Which type comes out on top? Some people may benefit from one more than the other, but we've found cheap cash loans to be the best overall option for the majority of consumers. Here we'll explore some of the pro's and con's associated with both types of loans:
- Pro - One of the primary advantages of a traditional loan is that you can borrow money in very large amounts. Depending on your situation, some lenders can allow you to borrow tens of thousands of dollars.
- Pro - Some traditional loans have the benefit of offering low interest rates to borrowers. However, this assumes you have a good credit score and a good repayment history.
- Con - When it comes to a standard loan, don't expect to find out if you're approved any time soon. The approval process for most of these loans takes weeks, if not months, to complete.
- Con - As anyone who's ever applied for a standard loan could tell you, it takes a good credit score to get approved. Unfortunately, not all of us are fortunate enough to have a great score. Of course, even if you do manage to get approved for a traditional loan with bad credit, you'll probably be stuck with a less than desirable interest rate.
- Pro - Perhaps the best advantage of using cheap cash loans is that you don't have to worry about a credit check. Whether you have good credit, bad credit, or none at all, you can still qualify for a cash loan.
- Pro - Another great benefit of payday loans is that your money is delivered to you incredibly fast, especially when you get your loan online. Today's online lenders are capable of depositing your loan directly into your bank account, saving you the time and trouble of having to cash a check!
- Pro - Unlike most types of standard loans, you don't have to jump through hoops to get approved for a payday loan! In fact, the whole approval process can take just minutes online!
- Con - For most people, the only negative involved with cash loans is that they tend to carry a higher interest rate than traditional loan. However, since payday loans have such short lengths, you'll probably only have to deal with that interest rate one time, as opposed to standard loans that could take years to repay.
- Con - Another possible con for some individuals may be the fact that cash loans are only available in fairly small amounts. Of course, these loans are designed specifically for short-term cash emergencies, so taking out a large payday loan doesn't make much sense.