When an unexpected expense topples your budget, taking out a fast-acting loan can help you get back to normal as soon as possible. A direct deposit loan delivers money into your account fast, freeing up some time you can spend researching your options. Following these tips can help you find the best options available to you today.
1. Research Direct Deposit Loans
Direct deposit only describes how you’ll get your funds if approved. They’ll arrive directly in the bank account you supplied on your application.
But to understand how much money you might receive and when you have to repay it, you’ll have to get more specific. Here are three of the more common types of direct deposit loans:
- Payday cash advances: After receiving your funds in one lump sum, you’ll have to pay it all back in one lump sum, usually by your next payday. This quick turnaround can be challenging for some to cover, especially when these cash advances also come with high fees.
- Installment Loans: As online loans with monthly payments, installment loans give you more time to repay what you owe. It breaks up what you owe into smaller payments over multiple months. This may be easier to handle, even if you pay higher fees.
- Lines of Credit: Instead of receiving your funds upfront, you’ll receive a credit limit from which you can withdraw at your discretion. As long as you pay off what you owe, you’ll be able to withdraw cash from this limit on a continuous basis.
2. Find out Your Credit Score
Do you know your score off the top of your head? Even if you have a three-digit number in mind, you should check it again if you’ve gone three months or more since your last check-in. Your score can fluctuate over time to reflect your financial decisions, so it may not be what you think it is.
Why is this number important? It gives you a better idea of what kinds of direct deposit loans you might qualify for. Not only will you be able to narrow in on more appropriate options for your profile, but you also won’t waste time applying for loans you have no hopes of getting.
3. Don’t Apply with the First Loan You Find
Perhaps the most careless decision you can make is applying for the first and only loan you come across in the mistaken belief it’s the only way to get the funds you need in time. As a result, you might jump on the first payday loans online no credit check direct lender willing to work with you.
Unfortunately, there are no legitimate payday loans online with no credit check. Even if a lender doesn’t follow risk-based pricing, checking your credit is a crucial part of the lending process.
Forgoing a credit check indicates a lender doesn’t care whether you can afford to repay by your next payday.
This commitment can be difficult if your budget is already stretched thin, so it’s a good idea to shop around for other options. By comparison shopping, you might find direct deposit loans with more manageable repayment terms.
Bottom Line: Put in the Research
In an emergency, it can feel like you can’t spare a single second when looking for a loan. But finding an affordable loan requires some legwork. Check your credit, do some research, and compare your options. These tips will help you zero in on the best option for your finances today.