Most short-term loans have to be repaid within two to four weeks of borrowing. This can become a bit of a burden for some people. The good news that you can opt for 3-month payday loans, instead. These loans give you more time to repay your debt, allowing you to save money for other expenses, as well. If you’re considering opting for this type of loan, here are some important details you should know about it.
What Are 3-Month Payday Loans?
A 3-month loan is a form of short-term loan in which you’ll have to repay the borrowed amount within three months of receiving the money. Payday loans are mostly short-term and consequently have high interest rates. However, even then, many people still opt for short-term loans because they can provide a quick solution in your time of need. Also, because the term is short, the debt won’t linger in the back of your mind for long.
How Do 3-Month Payday Loans Work?
To get a 3-month payday loan, you can get in touch with direct lenders, or you can use an online platform that connects you with a lender. Once you receive the sum of money from your lender, you can repay your debt in small installments every month or week, or you can repay the amount in one sum at the end of the 3-month term. Your lender will provide you with the necessary instructions.
You will also have to pay an interest fee in addition to the borrowed amount. On average, small three-month loans usually charge $15 per $100 dollars you borrow as interest. This interest rate can be rather steep if you borrow a large amount of money. Therefore, make sure to borrow an amount that you can pay back comfortably.
How to Qualify for 3-Month Payday Loans Online
You can apply for an online 3-month payday loan through an online platform with a network of lenders. This platform will make things easier for you by finding you a suitable lender. You can also choose to contact a lender directly through their website.
The online application forms are fairly short and simple. Other than a few relevant personal details, you’ll have to mention the amount that you want to borrow. Once your application is approved by the lender, the money will be transferred directly to your bank account.
Who Can Apply for 3-Month Payday Loans?
In order to apply for a 3-month cash advance loan, you have to be at least 18 years old and have a job with a steady income. This will ensure lenders that you can pay back what you borrowed.
Can You Get 3-Month Payday Loans with Bad Credit?
One of the reasons why people opt for payday loans is that most lenders don’t carry out a traditional hard credit check through the major three credit bureaus for their applicants. This means that you can often still get a loan even if you have a bad credit score.That said, make sure to repay your loan on time. If you don’t, the lender may take the money directly from your bank account.
How Long Does It Take to Get Approved for 3-Month Payday Loans?
Considering everything is done online, the approval process is quick. Most lenders will approve your application in one to two days. However, some may even do it on the same day. Make sure to check with your lender before you apply if you’re in an emergency. You’ll receive the money in your bank account soon after your application is approved.
How Much Cash Can I Get With 3-Month Payday Loans?
The maximum sum of money that you can borrow varies from one state to the other. For one-month loans, the caps vary from $300 to $1,000. Therefore, in the case of 3-month short term loans, the amount can be multiplied by 3. However, this calculation is not always correct. Make sure to check with your lender and the state guidelines for maximum loan amounts. Some states also allow you to borrow a percentage (22.5% in some states) of your gross monthly income.
It’s important to find the right lender when you want a loan. They should be trustworthy, and they should be able to provide you with the amount you need at a reasonable interest rate. That is why you must do your research before opting for a 3-month payday loan.