Payday Loans in Fortuna, Missouri
Are you in a financial pinch and need immediate cash? Payday loans might seem like a good solution, especially in Fortuna, Missouri, where they are legal. However, before you make a decision, there are several things you need to know about payday loans in Fortuna, Missouri.
What are Payday Loans?
Payday loans, also known as cash advances, are short-term loans that borrowers agree to repay on their next payday. In Missouri, the maximum amount you can borrow is $500, with a minimum loan term of 14 days and a maximum of 31 days. The fees and interest rates vary, but in general, they can be as high as 75% of the loan amount.
One of the benefits of payday loans is that they are easy to obtain, regardless of your credit history. All you need is proof of income, a checking account, and a valid government-issued ID. The application process is simple and can be completed online or in-person.
How do Payday Loans Work?
If you decide to take out a payday loan in Fortuna, Missouri, you will need to provide the lender with a post-dated check or authorize an electronic withdrawal from your checking account for the loan amount plus fees and interest. On your next payday, the lender will cash the check or withdraw the funds from your account. If you are unable to repay the loan on your next payday, you may be able to extend the loan, but at a higher cost.
What are the Risks of Payday Loans?
While payday loans can provide quick cash, they can also be very risky. The high fees and interest rates can add up quickly, making it difficult to repay the loan. In fact, many borrowers end up renewing their payday loans repeatedly, trapping them in a cycle of debt.
The Consumer Financial Protection Bureau (CFPB) found that more than 80% of payday loans are rolled over or followed by another loan within two weeks. This means that borrowers end up paying more in fees and interest than they originally borrowed.
Additionally, payday lenders often target low-income borrowers who may be unable to repay the loan and may be more vulnerable to abusive lending practices. The CFPB found that in Missouri, more than 40% of payday loan borrowers were consumers with income of less than $20,000 per year.
What are the Alternatives to Payday Loans?
While payday loans may seem like a quick fix, there are other options available. If you need cash, consider reaching out to family or friends for a loan. You can also look into community organizations or government assistance programs that offer emergency financial assistance.
If you have good credit, you may be able to obtain a personal loan or credit card with more favorable terms than a payday loan. Even if you have bad credit, there are lenders that specialize in loans for people with poor credit. You can also look into credit counseling services that can help you create a budget and manage your debts.
Interesting Facts about Payday Loans in Fortuna, Missouri
- In Missouri, the average payday loan is $308 with an average fee of $52.55.
- In 2019, Missouri payday lenders issued more than 1.6 million loans, totaling more than $679 million
- The highest annual percentage rate for a payday loan in Missouri is 1950%
Apply Now with TheGuaranteedLoans
If you have decided to take out a payday loan in Fortuna, Missouri, TheGuaranteedLoans can help connect you with potential lenders. We are not a direct lender, but a connector service that can help you find a lender that meets your needs.
To apply for a payday loan through TheGuaranteedLoans, simply fill out our online application. We will match you with potential lenders and provide you with the loan terms and fees. If you agree to the terms, the lender will transfer the funds to your account as soon as the next business day.
It is important to remember that payday loans should be a last resort and should only be taken out if you can afford to repay them on time. If you have any questions or concerns, please reach out to us at TheGuaranteedLoans. We are here to help.