What is a cash advance


What is a payday loan or cash advance loan?

A payday loan or a cash advance loan is a loan for a short time. You pay a fee to borrow the money, even if it is for a week or two.

A payday loan or cash advance loan can be very expensive. Before you get one of these loans, consider other ways to borrow.

What are some other ways to borrow money?

You might be able to borrow money from:

  • family or friends
  • a bank or credit union
  • your credit card

You might ask for more time to pay your bills. You can talk to a credit counselor to get help.

What if I’m in the military?

If you are in the military, the law protects you and your dependents. The law limits the interest rate on payday loans. The law also tells lenders to give you information about your rights and the cost of the loan. The military also offers financial help and help managing your money.

How does a payday loan or cash advance loan work?

  • You give the lender a check for the amount of money you want to borrow – plus a fee.
  • The lender keeps your check and gives you cash – less the fee they charge.
  • On your next payday, you have to pay the lender in cash. You owe the amount you borrowed plus the fee.

How much do these loans cost?

A payday loan or cash advance is based on your amount, it can be expensive but a great way to get cash today.