What You Need To Know About Qualifying For Payday Loans

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A payday loan can offer you access to quick cash so that you can deal with an unexpected expense as quickly as possible. These short-term loans also offer the benefit of being available both through in-person lenders and online lenders to ensure that everyone can have access to the loan products they require. Unfortunately, many people fail to apply for the loans they need because they simply assume that they will not qualify. This really is very unfortunate because payday loans are often much easier to qualify for than traditional loans. If you are wondering if you may qualify for this type of loan, continue reading to learn more about what many payday loan lenders require in order to approve your application.

Requirement #1: Valid Photo ID 

In order to obtain a payday loan either in person or online, you will need to be able to provide a valid photo ID. In most cases, lenders will require that this identification is government-issued and includes your full name, date of birth, and current address. If the address on your ID is no longer valid, you may be asked to supply a recent utility bill in order to prove your new address. This information is required so that the lender can verify who will be receiving the funds if the loan application is approved. This also allows the lender to verify that you are of legal age to enter into a contract. In most states this will mean being above the age of 18, however, some states may require you to be 21 in order to qualify for a payday loan. 

Requirement #2: Valid Checking Account In Good Standing

When obtaining a payday loan, you will need to have an active checking account. While you are not required to have any money in this account, you will not be able to get a loan if your account is currently in a negative status. Consequently, if your account is overdrawn you will need to add money to the account before applying for a payday loan. When verifying your checking account some lenders will also be looking to verify that your paycheck or government benefits are directly deposited into this account. This is important because you will be required to authorize the lender to withdraw your loan payment directly from your checking account on the payment due date. 

Requirement #3: Proof Of Income

The final thing you will need to provide is proof of income. If you are currently employed, you will need to show your last few pay stubs. If you are self-employed, you will need to bring your most recent tax return. Finally, if you receive government or disability benefits, you will need to provide an awards letter from the agency that issues your benefits. Since your loan amount will be directly tied to how much income you have, it is important to bring proof of any and all income that you receive.