Payday loan lenders grant borrowers similar to the amount that a laborer would receive for one or two weeks work through a convenient process.
When you request a payday loan from Purple Payday Loans, we will submit your application to our network of lenders and get you the cash you need fast.
You’ll know in seconds if you’re approved and for how much. If you would rather apply for your payday loan by phone, you can simply call us at (800) 515-2429.
A payday loan is a short term loan that is intended to fund the borrower until he or she can receive a subsequent paycheck. The loan process is fairly simple. The borrower needs to present identification as well as some evidence of employment. This might be a pay stub or a bank statement which demonstrates the regular reception of income. However, each lender has its own rules regarding loans and may have fewer restrictions.
If the lender accepts the validity of the borrower’s income, then they continue processing the loan. In exchange for a set amount of money which is handed over immediately, the borrower writes a postdated check for the loan amount plus all the fees associated with it. On the date that the loan reaches maturity, the borrower understands that he or she must return to the lender’s office to repay the loan in full.
If the borrower cannot pay back the loan, the lender will cash the previously-written,postdated check. It may turn out that the borrower’s bank account has insufficient funds to cover the check. In this case, the borrower may suffer additional fees or a higher rater of interest if a subsequent loan is ever requested.
In many places the traditional meeting and exchange if documents in the lender’s offices has been replaced with an online process. Some lenders verify the borrower’s ability to pay over the Internet and manage the entire transaction electronically. This also allows the lender to transmit the payday loan directly to the bank account of the borrower. On the maturity date, the lender can also subtract the loan payment directly from the borrower’s bank account.
The advent of the Internet has created other versions of the payday loan as well. Certain companies offer short-term loans via cell phone text messaging. They make loans specifically to people who are regularly paid by direct deposits to their bank account. It involves a process very similar to that of a payday loan. On the date that the payday loan matures, the lender subtracts the amount of the loan, plus fees, from the borrower’s account as soon as the next direct deposit arrives in the bank account.