Payday loans online | Why are payday loans bad?

Payday loans online | Why are payday loans bad?

Payday loans online, what are they and are they good?

Online payday loans are short-term loans with very high-interest rates and fees which makes it hard to re-pay when you borrow money from lenders who offer payday loans. One of the reasons why it makes it hard for anyone in a tight financial situation to repay online payday loans is simply because they order you to repay the loan once you get your next upcoming paycheque. The Canadian government website has a detailed explanation for payday loans.

To put into context, once you receive your payday loan, you’ll have to owe the lender the money with high-interest rates and fees the moment you receive your paycheque if ever you don’t get to pay them on time. Sadly this is the trap that a lot of people that are in a tight financial situation are brought into. Once you apply for a payday loan, you’ll be bound to pay between 15$ to 23$ per 100$ borrowed. This means that if you borrow 1000$, you’ll be caught paying around 1150$ or 2230$ on your next payroll (which is about 2 weeks after you apply for a payday loan). It would be the equivalent of paying 1800$ to 2760$ versus a personal loan like the one that we offer which could be as low as 240$ to 350$ for the same amount.

Person thinking about payday loans online

What is better than a payday loan?

A better solution than a payday loan would be to choose a personal loan. We figured out that the best formula that would work for individuals that are going through unexpected financial struggles would be to find a better solution than a payday loan by reinventing how personal loans work. We made personal loans a better option for anyone who’s looking to borrow money online by simply giving our customers the flexibility to repay and by also having them repay the money borrowed by simply asking for a small payback percentage per payroll. This permits our customers more time to handle their financial obligations and also gives them more time to relax and not worry about having to pay huge amounts of fees.

Basically, PrestoCash has a better solution than online payday loans because:

  • We offer better payback solutions
  • Lower interest rates
  • Flexibility
  • No hidden fees
  • Don’t need to pay the full amount on your next payroll

We also took the time to make the loan application process very simple for our customers to easily get their loans online through e-transfers. You can quickly get a loan the same day you apply!

Person thinking of a better solution than a payday loan online

Payday loans can put you in a tougher situation

You’ll end up owing more money

Like we discussed through the previous points, with online payday loans, you end up paying more than if you would’ve chosen a simple personal loan. It’s understandable that your situation can encourage you to choose the option that you land on first. Although it’s important to take the moment to understand the options available and which one would be best for you and your current financial situation.

Payday loans can hurt your credit score

It might seem like a good idea to get money online through a payday lender although you can end up making your current financial situation harder to get out of (as discussed on the previous topic). Making your current situation a tougher one to get out of would only create this domino effect of bad financial situations which would only increase your debt and hurt your credit score. This is not a fun cycle to be caught in. That made us realize that getting a quick loan online should be made simple and easy for anyone who wants to get out of a tight financial situation. Our how to get a loan page is dedicated to helping users understand how we made the money lending process very simple and easy to go through.

Payday loans can Increase your stress level

Considering that payday loans can make you end up owing more money than any other lending options available online and hurt your credit score at the same time, this can also cause anyone to increase their stress level. It’s very simple, you don’t want to have to deal with that, especially since you already have a lot on your plate to deal with (which is the reason why you’re looking for a lender that can help you out, not make things worse).

Consider other options than a payday loan

Now that you know the side effects of dealing with payday lenders, it’s important that you consider other ways to get an online loan. Thankfully we have the option to get an e-transfer loan online that makes it very easy to get funds directly deposited into your bank account.

Although it’s important to keep in mind that in whatever you end up borrowing money from, whether it’s from a financial institution or family and friends, paying the amount back is crucial. The reason why it’s crucial to do so is simply that not only will you have that stress in the back of your mind, but you will also have to deal with the bad reputation that you’ve given to yourself, your friends, family and the credit bureau. This could follow you all your life until you decide to pay back what you lent.


Here’s a quick summary of payday loans online

Online payday loans are very hard to deal with even if it seems tempting to borrow money from payday lenders. We understand that you want to get out of a financial crisis as quickly as possible but keep in mind that the high-interest rates of online payday loans can hurt you in the long run through owing more money than other lending options available online, increased stress levels and a bad credit reputation.

Person happy for not choosing a payday loan online

If ever you’re in need of help during hard financial times, consider getting an e-transfer loan with us by simply filling out our quick and easy online form and expect to be pre-approved the same day you apply!

Fast e-transfer loans in Canada | The benefits & more

Fast e-transfer loans in Canada | The benefits & more

Everything You Need to Know About Fast E-transfer Loans 

If you’re in the middle of a financial emergency, you’ll need money quickly. An e-transfer loan is a great option to resolve this problem efficiently. The fast e-transfer loan is a secured, short-term loan that allows you to get the money you need in as fast as possible.

Unlike payday loans, you don’t need to repay the funds of e-transfer loans all at once. Instead, you can clear the loan within six months with small installments. Many reputable online lenders offer fast e-transfer loans in Canada. The nicest part about these loans is that they are available 24/7, and you can apply for them anytime, anywhere. 

Introduction to fast e-transfer loans in Canada

Fast e-transfer loans are money lent to borrowers through the internet. The top benefit of an e-transfer loan is that the applicant doesn’t have to visit banks and involve themselves in paperwork. Instead, you can simply find a lender online and apply for the loan digitally. E-transfer loans are different kinds of personal loans suiting the needs of various applicants. 

Some lenders offer non-credit check e-transfer loans that are beneficial for applicants with unmaintained credit scores. When you apply for a loan at a bank, they first ask for a credit check to understand your creditworthiness. On the other hand, your salary and other information are observed to know your reliability in a non-credit check online loan.

The loan application process at banks is very strict and stressful to deal with at times. That’s why online lenders like PrestoCash developed a way to simplify the process and made it easier to get an online loan without the need to have a good credit score. 

To secure a fast e-transfer loan in Canada, you have to be more than 18 years old, have a stable income source, and need to be a citizen of Canada. All lenders come with different terms; if you match their conditions, you can secure the funds within a few hours. 

How to apply for a fast e-transfer loan in Canada? 

E-transfer loans are proven as the most convenient money-borrowing method. It’s because these loans don’t include personal interaction and paperwork. You can easily apply for a loan from the comfort of your house. From filling the application form to receiving the funds, everything takes place online. Here are the steps to apply for an e-transfer loan:


Find a reputable lender 

The first step to applying for an internet loan is, find a reputable online lender in Canada. Many lenders are interested in offering you various options, but you have to choose one with good customer history and track record. In addition, examine their physical address and registration to know their creditworthiness. Go through their terms and select a lender that suits your needs the most. 


Start with the application 

Once you decide on the lender you want to borrow from, start filling their application form. Unlike traditional banks, online lenders offer a very easy and convenient application process. Choose the loan that suits your needs, answer all the questions carefully and fill in the required details. The application process won’t take more than five minutes to complete. 

Start your application!


Wait for the funds

If you fill in the application form before 5 PM, the lenders start evaluating it within a few minutes. Since you don’t have to deposit a credit check to secure the funds, the lenders will evaluate your other details to understand your eligibility. If they find you valid and you meet all their terms, the funds will be deposited into your bank account on the same day of application.

Learn about our simple loan application process and how you can get a fast e-transfer loan from the comfort of your own home.


How are fast e-transfer loans beneficial? 

Instant e-transfer loans are better than any other payday loans and traditional bank loans in many ways. Here are some benefits of e-transfer loans you should know about: 


Instant funds

The significant benefit of an instant e-transfer loan is, they are faster than any other type of loan. If you fill in the application correctly and meet the lender’s terms, getting the funds in your bank account would take no time. Online lenders’ fast and easy service is the best option for people who want to get money instantly and cover sudden expenses. 


No collateral 

When you have a bad credit score, the banks will ask you to deposit an asset as collateral. Similarly, your payday lender will also ask you to deposit a paycheck with them. Contrary to both, fast e-transfer loans don’t require you to put up any collateral. If you have a stable income source, that is assessed to know your repayment eligibility. These loans are totally unsecured designed to help you during difficult situations. 


Easy repayments 

Online lenders offer flexible repayment methods. These loans can be repaid with small monthly installments that you can extend to six months. In addition, their low-interest rate doesn’t make it a burden for you to clear the debt. You can deposit the EMIs with your regular income easily. 


Wide options 

Typical banks might have similar terms, and if you fail to obtain the funds from one bank, chances are that the other ones will do the same. On the other hand, there is a large number of online lenders to choose from. They all have different terms, and you can choose the lender that offers you the best loans with the easiest terms. Having so many options give you the flexibility to get the best loan for your situation. 

Are fast e-transfer loans safe?

E-transfer loans are known to be one of the safest options to have for a loan that you get online. Keep in mind that you have to apply with a trusted lender that offers its services to countless individuals across the country. One of the other reasons that e-transfer loans are safe is that you get them directly deposited into your bank account without having to deal with any paperwork.

PrestoCash took the time to add another level of security when applying for a loan by developing its own application system that is impenetrable. All the information that our customers send us is tightly secured and taken care of.

Requirements to secure a fast e-transfer loan in Canada

  • You must be over the age of 18 to apply for an e-transfer loan. Your age informs the lender in determining your credibility and payback ability. 
  • To secure the online loan, you must meet the lender’s minimum income requirement. As you have to repay the funds with your regular income which must be a stable source. 
  • Lenders often examine your monthly loan repayment history, including new loan installments and previous ones, to determine if they are within 50% of your net monthly income. Those who go over this limit have a lesser chance of getting an online cash loan.
  • If you have already taken any loans, the lender will ask you to deposit its details. The details of your previous loans will help them understand your creditworthiness.
  • Online loans are typically applied from the location where you live. For example, if you’re a resident of Canada, you can only apply for fast e-transfer loans in Canada from PrestoCash.