A cash advance is a type of short-term debt of an individual or business that can be paid for up to a year. Banks usually offer cash advances to their clients – credit-card users. With the cash advance feature, cardholders are allowed to withdraw cash directly from their credit cards by using ATM machines.
Similar to other loans offered by banks and lender companies like a Payday Depot, a cash advance also has fees, and their interest can go higher than what you expect. Cash advances will not directly affect your credit score. It won’t show in your history. However, it will increase your credit card debt that is tied to your credit score.
What Are the Types of Cash Advances?
Cash advances are a good option if you have very limited sources for emergency funds. Different types of cash advances offered are as follows:
- Credit Card Cash Advances – It’s the borrowing or withdrawing of a certain amount of cash from your credit card accounts.
- Merchant Cash Advances – These are loans for businesses that are short with funds and will be paid when the business owner receives their sales on their online accounts.
- Payday Loans – Loans offered to employees that are due to pay in full by their next payday.
- Employee’s Cash Advance – Also called “Payroll Advance,” where employees can request a short-term loan from their employer.
Where and How to Apply for Cash Advance Online?
Since there is more than one type of cash advance, there are also different ways to apply. Borrowers can apply for a cash advance on banks, lender companies, or from the company they work for.
You can also apply for a cash advance online. Here is a guide on where and how to apply for a cash advance online.
In applying for cash advance online, you should be able to pass these requirements:
- Age must be eighteen (18) years old and above.
- Must be able to provide valid IDs to verify your name, age, and address.
- Able to submit active banking information and proof of income.
How to apply?
- Look for a payday loan company or lenders online who offer the service.
- After choosing where you want to apply, fill up the application form. Make sure to put accurate information and active banking information.
- Applying for loans online will only take hours to a day to know if you will be approved. Once you are approved, you can now compare offers and choose your payment terms.
- Read, sign the agreement, and receive your money.
Applying for a cash advance online is much easier than submitting an application for a credit card or traditional loans. Some online loan companies also allow borrowers without a bank to apply for a cash advance. However, they will ask for collateral. Cash advance online approval is also faster and is a great option for individuals who need emergency cash.