What are the Requirements for a Payday Loan
A payday loan usually comes in the form of short-term funding, which constitutes a part of your salary given to you by a lender while you wait for your actual payday.
The loan debt is then required to be paid back when your salary arrives (which usually comes at the end of the month).
However, the term is meant to be reserved for salary earners. However, here at InstantPaydayLA, we make payday loan funding available to both salary and non-salary earners.
The qualifications for our online payday loan offers are pretty simple, and you’d find that regardless of the current state of your finances that you actually fit the guidelines for approval after an easy application process.
What are the Requirements for a Payday Loan?
To be approved for online payday funding with us at InstantPaydayLA, you will need to meet all our basic requirements.
We will evaluate your application and determine whether you are qualified for an online payday loan offer based on our own set of approval procedures.
Factors such as the direct deposit of your salary into your bank account, your income, state of residence, past payday loan history can affect the approval of your loan offer.
If your application is accepted, you will be contacted directly by your instant direct payday lender to ask for additional information to certify the validity of your application request.
According to the government’s Consumer Financial Protection Bureau (CFPB), to qualify for an online payday loan, you must meet the following basic requirements:
The above criteria can be broken down thus:
#1: Be at least 18 years old
You must be at least 18 years of age or older to even qualify for any form of payday loan offer.
This is because you will need to have a stable income to prove that you can repay the loan, and you also need to have access to a phone so that it can be easy to reach out to you when necessary.
You should also have an active bank account that is at least 30 days old. All these can not be easily gotten if you are less than the legal age of 18 years.
#2: Provide a Government Issued ID or Valid Means of Identification
It would help if you could show a valid means of identification to be able to take out a payday loan offer.
In most cases, your driver’s license can serve as your means of identification, though other government-issued documents like a non-driver identification card or military ID will also work.
Sometimes we may also require additional identity documents like a bill confirming your name and address as shown on your ID before issuing you your loan offer.
#3: Social Security Number
When you submit an online payday loan application, your information goes through further verification.
In most cases, your credit is not checked, which means no ‘hard’ credit check would affect your personal credit report.
But still, lenders need to confirm that you have a steady source of income or if you are living on the benefits from a Social Security program, and in both cases, you will be required to provide your Social Security number.
This is done because lenders need a way to determine your creditworthiness.
Running your social security number through an independent service provides a verified history of your current credit.
If you do not provide your Social Security number, online payday loan direct lenders will not be able to approve your loan request because they will find it difficult to identify you through your social security number.
The independent service companies provide lenders’ credit history for payday loans for people on SSI, including information regarding any previous payday loan offer you have had or currently have.
All of this information is important to the lender in evaluating your online payday loan request.
#4: Provide an Active Bank Checking Account
An active bank checking account is a common requirement when you apply for an online payday loan.
A bank account often plays a crucial role in online payday loan lending because it gives lenders a better insight into your current financial status.
Lenders most times look at an applicant’s bank account as one piece of the puzzle in trying to figure out if you’re likely to repay the loan offer whenever it’s due.
An active bank checking account is also required when applying for an online payday loan because this is where all your funds will be deposited once your loan request has been approved.
This usually takes no less than 24 hours to complete.
#5: Provide Some Proof of Income
Instant payday loan direct lenders understand that not everyone who applies for a loan is currently employed.
If you do not have a place of work, you will have to be assessed based on your affordability. Your corresponding direct payday lender will need to find a way to determine if you can pay back the loan offer whenever it’s due.
Thus, you will have to show proof of some form of steady monthly income, such as your self-employed income, government assistance, retirement funds, pensions, regular finances covered by a partner, etc.
For instance, if you get consistent income from any one of the following sources, you may still qualify for funding from an online payday loan direct lender:
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Child support or alimony
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Dividends or interest
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Long-term disability
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Social Security
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Retirement funds
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Trust fund
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Rental property
With any of the above-listed sources of income, there’s a higher possibility of you getting some cash advance from an online payday loan lender, but still, it all depends on the lender with which you’d be working directly.
Having a good credit score also goes a really long way in helping you get a payday loan with no job. This puts you in a better position when it boils down to your online payday loan direct lender, but note that you will never be denied funding on your online payday loan request due to your current credit score or rating. But if you have bad credit you still apply for a payday loan with guaranteed approval.
