Payday Loans for Bad Credit: Instant Approval
Who hasn’t found themselves strapped for cash when their payday is still weeks away? This can cause quite the problem if you don’t have savings stashed away.
Not to mention, having a bad credit rating can aggravate this issue further because it limits your options severely, especially when banks and even some lenders refuse to deal with applicants with less-than-ideal credit.
However, all hope isn’t lost, as many loan-providing services are willing to give you a chance despite your bad credit. Therefore, bad credit loans are possible, but what about payday loans for bad credit loans, instant approval? We’re going to discuss these weekend loans Australia, their accessibility, legality, and more.
What Are Payday Loans for Bad Credit, Instant Approval?
There’s much to unpack with this term, so let’s dive into it.
Also known as cash advance payday loans for bad credit, payday loans with direct lender are unsecured, short term, and small loans, which cover emergency expenses that can’t be postponed until your next payday. The fact that they’re unsecured exempts you from providing collateral but might also force you to pay high interest rates.
Their loan amounts can be anything from $300 to $1000, but of course, this differs from one financial situation to the next. As for repayment, one of the easiest methods of repaying a loan is setting up a direct debit. This entails that your repayments will be automatically withdrawn on a weekly, fortnightly, or monthly basis. Other repayment methods include:
- A paycheck on your next payday
- A postdated check when you apply for the loan
- A different form of credit
- Paying online through the payday lender’s website
In the late nineties, banks and credit unions restricted their short-term lending. This gave way to the popularization of small personal loans in the lenders’ market. Then, if you were to secure a payday loan, you had to repay it fully by your next payday or in two weeks.
However, in 2013, Australia made payday loans for people in bankruptcy illegal for the protection of consumers against predatory lenders. Consequently, what we consider to be a payday loan today is merely a short term or small personal loan.
To elaborate, ASIC put forth multiple restrictions regarding loan amounts and terms, allowing borrowers more time to repay their loans so that they don’t have to repay it fully by their following payday but can do so over a few months or more.
Tip: If you’re looking for payday loan alternatives, it’s worth considering to work out a payment plan with your service provider (electricity, water, phone service, or others). Another option that’s available to some people is requesting a cash advance from Centrelink.
When it comes to bad credit, banks aren’t an option, but some lenders are. Studies show that a significant portion of low-income borrowers aren’t eligible for mainstream credit, 60% of which have bad credit histories.
For that reason, Perfect Payday works with many lenders willing to accept applicants with low credit scores. Instead of fixating on your poor credit rating solely, they check your income, expenses, and spending habits to evaluate your ability to repay a particular loan.
Instant approval is when our loan providers deliver an outcome to you on your application within minutes. If a lender’s eligibility criteria are minimal, they’re likely to offer instant approval loans, so it makes sense that payday loans for bad credit are very comparable to instant loans from high acceptance direct lenders. Moreover, they have 100% quick loan application forms designed to speed up the process.
Not to be confused with guaranteed approval, the latter may sound tempting. Nevertheless, lenders are legally obliged to make reasonable inquiries into your financial situation to ensure you can repay a particular loan.
At Perfect Payday, we understand that you may need cash immediately, verify your documents, and match you with a lender on the day of your application.
Am I Eligible for Instant Payday Loans?
Lenders assess your eligibility for a loan online no credit check instant approval by checking that you:
- Are at least 18 years old
- Are an Australian citizen or a permanent resident
- Have internet banking with no less than three months of banking history
- Receive a regular income
- Can prove that at least 50% of your income is from alternative sources (if you’re on Centrelink support)
- Can provide read-only access to no less than 90 days of bank statements
- Can provide details of liabilities (outstanding debts, credit card repayments, and more)
How Can Payday Loans, Instant Approval Be Used?
There isn’t a guidebook to using immediate payday loans without bank statements since they can practically cover any expense, such as:
- Buying a new or used car
- Paying off bills
- Home renovations
- Emergency medical bills
Tips for Applying for Payday Loans, Australia, No Paperwork
- Only borrow what you need because the less you borrow, the less you pay on interest.
- When you obtain a payday loan, this information will be visible on your credit report for five years, so you don’t want to take out many loans around the same time. This would look alarming to lenders checking your credit file.
- Don’t submit many loan applications, and if you have several expenses, it’s recommended to take out a single big loan that covers them all rather than several smaller ones.
- Beware of high interest rates charged for payday, as they can be challenging to pay off. Only apply for a loan if you’re confident you can afford its cost.
- Search the loan contract for any hidden fees or charges. If your lender isn’t upfront about them, that’s a red flag.
- Check to see if the lender has predominantly positive reviews and is well-established as a responsible lender.
Ultimately, you can call them payday loan no credit check no employment verification, small-amount loans, cash advance loans, or personal loans, but they all serve to cover your emergency expenses until you can repay them.
Instant decision payday loans are accessible to many people who aren’t usually eligible for loans because of their bad credit. Their application process is very speedy with instant approval; therefore, payday loans can be exactly what you need if you use them wisely.