7 points to keep in mind about payday loans Canada

Posted by adairsawyer on October 23rd, 2011

Getting payday loans Canada is no hassle for you. All you need to do is apply for one such loan and you can rest assured that the money will be in your account in no time. Compared to a conventional bank loan, a payday loan Canada is disbursed much faster and it is paid off in a single installment. Given below are seven points you need to keep in mind before you apply for a payday loan Canada.

Am I eligible?

You are eligible for a payday loan Canada if you

1.            are a Canadian resident

2.            are at least18 years of age

3.            have a regular job that pays into your checking account at the end of every month

How do I apply?

To apply for a payday loan Canada you need not go anywhere and submit any documents. The providers of payday loans Canada have their websites. You need to fill up the application form online and need not submit any documents. The application form captures your personal and contact details, your employment details and your bank account details.

What about my credit rating?

The providers of payday loans Canada don’t bother about your credit rating. You can get a payday loan Canada even if you have declared bankruptcy. Once your application is submitted you will get the approval.

How much loan amount can I get?

The loan amount for payday loans Canada ranges from $50 to $1,500. This figure slightly differs from provider to provider. There are various criteria that a provider of payday loan Canada will consider before they let you know the approved amount. The first loan amount will be on the lower side. Each time you pay off your payday loan Canada on time you will be eligible for loans of higher amounts.

What is the interest amount?

Payday loans Canada have an interest rate that is higher than conventional bank interest rates. Typically, for every $100 borrowed as payday loan Canada, you will need to pay an interest of $23. However, this amount may differ from provider to provider.

When and how do I pay off the loan?

Your payday loan Canada needs to be paid off on your next payday. You need not write any check to pay the loan off. Providers of payday loans Canada usually debit your bank account for the combined principal and interest amount. This is done on the date when the loan is due to be paid off. If you think you want to pay off before the due date, you can use the email Intertac money transfer or write a check or use an RBC credit memo.

How many loans can I take at the same time?

Usually, providers of payday loans Canada prefer that you take one loan at a time. This ensures that you don’t fall into a debt trap where you take a subsequent loan to pay off two or three loans that are due soon. But depending on the state of your residence, you can take multiple payday loans Canada till you reach your credit limit.

Being ignorant doesn’t help when you want to apply for a payday loan Canada. Payday loans Canada are easy to get but it is important to know about their details.