Check and Go Cash Advance

Getting a cash advance loan on your paycheck is an easy and convenient way to secure a loan. Not much is required to secure these loans and they can be paid in a short period of time. However, a cash advance is still a loan, and as such, you need to be aware of the risks involved and the advantages and disadvantages you should consider. This knowledge will guide you in your decision to secure such a loan.

Advantages

One of the most obvious advantages of this kind of loan is the convenience. Your credit history is not checked, and you do not need collateral to secure a loan. A cash advance loan also frees you from the burdens of revolving credit, since you can repay the loan in a fairly short period of time. The only requirements are that you have a checking account and that your salary can absorb the loan.

These factors make securing this type of loan very attractive to most people. However there are also disadvantages involved.

Disadvantages

One of the drawbacks of a cash advance loan is a higher finance charge on the loan. Since cash advances are unsecured loans, the risk of these loans is absorbed by and passed on to the person borrowing money. However, these rates vary depending on the loan amount, and you can expect to pay from ten dollars up to forty dollars for every one hundred dollars that you borrow. As much as possible, you should only borrow what you need because borrowing large amounts entails paying hefty charges. Furthermore, if you find yourself unable to pay for the loan, you may end up paying more than the loan amount in charges and penalties.

Cash advance loans are fairly easy to secure. However, if you are thinking of acquiring such a loan to solve your short-term financial problems, you must be aware of the risks involved so that you can avoid the stress of paying more than you planned in the end.