Can You Get a Payday Loan If Your UnemployedA payday loan is a critical financing option. It is so easy to get this loan if employed. Unemployment closes many doors and makes it hard to access some of these credit services.
Some lenders will be reluctantto give you a payday loan if unemployed, but not all. Some areconsiderate enough and will give you. The considerate ones don’t give many unnecessaryrequirements for you to qualify. |
But how wise is it to take a payday loan when unemployed? It is never a good idea. If you look at these loans critically, they are only good if employed.
Why? A payday loan is a short term. Lenders issuing short term loans impose extremely high-interest rates on their clients. If you take this loan without employment chances are you won’t manage to pay back in time.
For a loan with high interest, it is bad news if you are unable to pay. The interests and penalties accrue and punish you.
Raffles Credit may give you a payday loan irrespective of your employment status but based on other sources of income. Many unemployed will opt to pay their loan using unemployment benefits. This is disastrous.
Why? A payday loan is a short term. Lenders issuing short term loans impose extremely high-interest rates on their clients. If you take this loan without employment chances are you won’t manage to pay back in time.
For a loan with high interest, it is bad news if you are unable to pay. The interests and penalties accrue and punish you.
Raffles Credit may give you a payday loan irrespective of your employment status but based on other sources of income. Many unemployed will opt to pay their loan using unemployment benefits. This is disastrous.
It is unadvisable and financially unhealthy. Why? Because, unemployment benefits won’t last you long. Few months and you’ll be back to square one. Therefore, you need something consistent to sustain yourself. Pension or other unemployment benefits will surely time out. You will be left with accrued debts.
Once they become unmanageable, you will be forced to sell some of your property to raise money. The other worse option is to sit and watch the money lender hire auctioneers. You lose your dignity and property together at once |
In a nutshell, it is possible to get a payday loan even if unemployed. But we want to practice healthy financial practices. When facing unemployment, desperation kicks in.
There is no need to sink into poverty and more debts. While you may get the loan, are you able to pay? Yes, you may be able to pay, but what is the cost of the loan?
While you may be able to cover the cost of the loan and repay the loan in time, is it worth it?
These are critical questions we need to consider ourselves before thinking about before going for a loan. Save that amount you would have used to pay for the interests and avoid losing out more money to unemployment pressure.
Short term loans have never been a good option. Lenders charge exaggerated interests. The only good thing is these loans have fewer qualification requirements. Acquiring them is easy and fast.
Most borrowers rush for these loans but end up in a rut because they did not know what they were getting themselves in to. The short repayment period offered by money lenders is a killer. Within a few weeks, you have accrued interests and unnecessary fines you’ve never heard of. If you have proof of other sources of income, then most lenders will consider your application. |
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