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Where to Look for Help if COVID19 is Cutting Income
The COVID 19 pandemic brought businesses worldwide to a standstill at the peak of its onslaught. New laws forced many companies to shut down their operations and send their employees home. Other enterprises had no choice but to close up shop due to a lack of customers. Millions of people around the world were financially affected by the virus.
Finding a reliable way of supplementing your reduced income due to the pandemic is easier said than done. The fact that the spread of the virus laid waste to almost every industry in the commercial sector means that there are few places where you can get financial assistance. Quick payday loans represent one of the few reliable options left for people in need of an immediate cash injection.
What is a payday loan?
A payday loan is a short term loan that can be taken against your income. It derives its name from the fact that the due dates involved are usually on or around the day of your next paycheck. There are thousands of payday lenders across the country, and choosing the right option is essential to ensuring that you benefit from the partnership.
The amount available to a borrower depends on their personal circumstances, with a particular focus on their level of income. The maximum amount you can request when submitting a payday loan application varies according to a state’s particular laws.
The maximum amount available from a payday loan in one place might differ while in from another. The actual loan limits are given under the lender’s discretion in accordance with the guidelines from the government. Of course, the actual amount that you finally get depends on meeting the lender’s criteria.
Using payday loans to supplement a reduced income
Employees are one of the major groups that have been severely impacted by the COVID 19 pandemic. Millions of people have lost their jobs, while millions more have had their income reduced by up to half as businesses wait to reopen. Readjusting to a restricted budget isn’t an easy process, especially when the changes involved are immediate and unexpected.
Applying for a payday loan is a quick way to solve your immediate problems as you figure out how to trim your expenses. Payday loans are available to anyone who is over 18 years of age and has valid proof of income. You just need to submit a request for a loan with your personal information and wait for approval.
Some of the reasons you should consider using a payday loan to supplement a dwindling income include:
Look for help: immediate response
The process of acquiring a traditional loan can take days to accomplish, and even then, you’re not guaranteed approval. Payday loans can be requested and received the same day without having to run from one desk to another, collecting multiple forms for the application. Online lenders have made it even easier to access a quick loan by setting up the entire application process on an app or website.
It gives you time to get yourself in order
The suddenness of the pandemic meant that few people were ready for the financial repercussions that followed. Countries like Italy made international headlines when thousands of protestors took to the streets demanding that businesses reopen for the sake of their livelihoods. The widespread effect of the pandemic on different industries meant that people from all walks of life were affected.
Getting a payday loan can help you address the bills that need immediate attention like gas and electricity. You can’t lower an existing bill, so the next best thing is to find a way to pay it while making plans on how to minimize future expenses. Payday loans ensure that you can still have the initial budget you had expected before the pandemic hit.
Look for help: easy qualification requirements
One of the major problems with traditional lending institutions is the numerous requirements involved with qualifying for a loan. For example, some banks will not lend money to people who don’t hold an account with them. Others require some form of significant collateral before agreeing to give you any money.
If you don’t have a property that you can put up for collateral or have a bad credit score affecting your prospects, payday loans offer a quick and easy solution to your money woes.
Lenders simply need you to prove that you can pay back the money requested and nothing more. Additional requirements like becoming a client for a certain period of time or having someone else cosign for the loan are not part of the process.
Different lenders have varying clauses in their loans, so it’s important to study the details of your particular application. You must note elements like the kind of interest accrued and any potential penalty fees involved when a payment is missed.