You ought to have heard of short term loans with no tele track by now. They have been around for some time now and they have been making quite a sensation because of their unique characteristics. Most likely what you have heard about all of the positive things about this kind of loan.
No Real Requirements
You ought to have heard about how easy it is to take out a fast payday loan. There are no real requirements to worry about. You only have to be of legal age, employed for over a month with your current job and have a bank account.
No Faxing, No Teletrack
Believe it or not, there are no credit checks required for this kind of overnight loan. The payday companies would not be checking that. They wouldn’t even be checking the tele track or require borrowers to write checks that would cover the amount being borrowed. There would be no documents to be faxed.
Faster than You’d Think
Another positive thing about this form of loan that makes it very popular is that it can be very fast. Application is easy and approval takes about one hour. There is simply no other loan that could compare with that kind of speed.
Because of the fast processing and the fact that the credit would not be checked, more and more people are turning to this loan as a means of getting the money that they need. Since other forms of loan are denied, they turn to these short term loans in order to get the money that they need.
The Dangers of Short Term Loans No Tele Track
Payday loans are not all positive. There are some definite problems in connection with them. The biggest problem with these loans is the fact that they are only meant for short periods. The typical repayment period for these loans ranges from one week to one month. They only cover the period until the next payday. Once the pay check comes in, the loan is supposed to be paid off.
Trapped in Debt
That is the ideal situation, but in reality things don’t turn out so well. The people who turn to these kinds of loans are not really the most financially capable. If they were, then they would have been able to get better loans. So they are forced to take these loans that have absurdly high interests and when the time comes for payment, they either miss it or are forced to make an extension or they take another loan. Whichever option they take it means they are going down the road of being trapped in borrowing money with no end in sight.
Don’t Overlook Other Alternatives
Despite these dangers the number of borrowers who are resorting to this kind of loan is increasing instead of going down. That is not baffling at all since people are being forced to take the bitter pill just so they can get the money that they need. What they fail to realize is that there are alternatives to taking loans from payday companies.