Explicit Finance
A payday advance is a short-term advance that provides a convenient, discreet and quick means of obtaining cash to meet urgent bills, such as power or phone bills non-payment of which may mean loss of supply, or unexpected needs like medical expenses, car repairs or unforeseen travel. However, how you use the cash is up to you, not the lender.
The amount that can be borrowed is based on the applicant’s ability to repay. Usually, the advance can be up to 30% of normal net pay, with a transaction limit of $500.
While a good credit rating is preferred, the approval process is not usually based on the applicant’s credit history. Most of the time, a lender will only make a payday advance if the borrower has been in their present job for at least six months; earns at least $1600 net a month; has had his or her current bank account, into which their salary is paid, for at least six months; and can prove their identity. Further, they need to supply a direct debit authority for repayment of the advance. These details will usually need to be faxed through to the lender before approval is granted. If the required documentation is received by the lender more than two hours before their close of business, the advance will usually be approved within the hour and be paid directly into the applicant’s bank account on the business day following a successful application.
There is, of course, a fee for the service, typically $25 for each $100 advanced.
The payday advance will normally be paid back on the next payday, but if this is only a few days away, it may be possible to have it debited on the following payday, and approved customers may be able to spread repayments over more than one payday. If you are unable to repay on the due date, it may be possible to get an extension. This attracts a further fee.
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