24 Hours 7 Day payday loans are short term unsecured loans which are provided to it’s borrower in a situation when he or she requires it immediately or is falling short of money in the time of need (read more about short-term cash advances on #1Payday.Loans). Ideally, payday loan should be availed if and only if it is the last options for securing a loan and one doesn’t wish to pitch in for other loan options available like pawn brokers, credit payment plans, cash advances from the credit cards, also emergency community assistance plans, small consumer loans and credit union loans. There have been certain regulations around payday loans to help people from getting exploited and this has been done by putting a check on maximum Annual Percentage rate which can be charged to the borrowers as far as the payday loan is concerned.

The process of securing a payday loan is very similar to a normal loan. Firstly it involves visiting the place from where you want to take the loan (office of the lender or creditor near you. Example, PaydayLoansAuroraCO.com in Aurora, Colorado).  You will fill a standard application form and give certain personal details. There are certain pre requisites for getting a payday loan which includes having a bank account (what you need to open). The individual would then leave a post dated check with the lender which will include the principal amount along with the charges. He also has an option to pay for the principal and fee in case if one is doubtful about the future and has the facility of taking back the post dated check. Lenders usually call up the borrowers reminding them about the payment due date as it comes near so as to make sure that there is sufficient balance in the account. When the check is cleared by the bank, the payday loan (with 24 hour online approval) is considered as closed. In cases that the amount in bank account is less than what is drawn against it, the borrower would also have to bear to check bounce charges along with the extra charges he would have to pay to the lender. One can follow these simple steps so as to ensure payday loan in 24 hours and reduce the chances of it being rejected.

But if one doesn’t wish to go through the traditional method of applying for a loan and wants it to be finished in no time then the easiest and simple method of doing so is to apply online. In an online facility, the borrowers can submit their payday loans application through a lender’s website and the details of the borrower are then sent across to multiple lenders, usually more than 100 of them operating within a network. The lender may then decide to accept the application and lend the money. The entire process is so fast that the applicant gets to know about his loan application in less than 5 minutes such that if the loan application is accepted by the lender, the loan is presented to the borrower in accordance with the loan terms which also includes fees charges and repayment terms as well. The applicant can either choose to accept the loan terms or reject it if he or she feels the terms cannot be accepted. The applicant must have checking account where the amount can be deposited after approval. This entire process of online payday loan issuance takes around 24 hours or 1 business day and saves its customers from the paperwork or tedious task of filling in forms.

This loan is not legal to obtain in all the US states and only 37 of the 50 states have allowed this loan while in rest of the states, it is illegal to either obtain or provide this loan. Lot of lenders have tried to circumvent this ban by having their setup in the states where offering this loan is legal and providing this service in the states where this is illegal by electronic websites.  The act which governs these Payday loans is Federal Truth in Lending Act which requires all the lenders to give detailed information to the amount of charges which are being levied on the customers along with the payment terms. As a borrower its always good to be informed about the rules and regulations associated with the loan one is interested in.

Some of the states also provide an option to the borrower and lender to extend the period of loan in case borrower doesn’t have the money to repay but this is done at an additional charge and only for those specific states which allows this kind of provision. Normally, an individual can take multiple short-term loans but in certain states, the number of payday loans for an individual is limited. To ensure that the number of loans an individual has taken stays within the specific numbers decided by the state, every state has a central database which requires the lenders to verify the borrower’s capacity to take a loan against that database before any such loan is granted. This was done because in few states, people started following a practice wherein they took another payday loan to repay the first one which forced them to get into a vicious cycle. Though now it has been banned in many states but still, it is difficult to regulate. One of the biggest reasons behind the popularity of 24 hours online payday loans that people prefer to go for the same instead of taking money from common lenders.