Cash advance loans, or payday loans are available from many sources to people whose credit is less than perfect. A thorough credit check is not necessary for an individual to take out such a loan, as all that is needed is for the borrower to have a steady source of income and a checking account.
In essence, a person can apply for the loan online in the morning and have the money by that afternoon. The borrower does have to pay the money back by the next pay date along with the interest due. If there is any difficulty in repaying, there is usually a provision where an extension can be obtained, although there are extra fees and interest.
Cash advance loans do serve to take care of a huge niche of borrowers who are literally struggling to make ends meet from paycheck to paycheck. Due to the present state of the economy as a whole, many people have had to take on different jobs and even more jobs than one, so for many a steady amount of money coming in all the time is a past luxury.
This is also money that is not available any more from the local bank, unless an individual has a substantial amount of money on deposit and has a perfect credit record. Here is where the payday loan fills the gap because there is money available when it is needed, and can be paid back under most circumstances rather easily.
It really doesn’t matter to the borrower who usually doesn’t have to borrow too much to meet a pressing need, that the interest rates are quite a bit higher than a normal loan would be. The important thing to him is that money is available exactly when it is needed to cover the emergency.