When people find themselves in a financial bind, sometimes they need quick cash. This is where payday loans come in handy. These types of loans are short-term and usually have a higher interest rate than traditional loans. In Humphreys, Missouri, payday loans are legal. But what do you need to know before applying for a payday loan in Humphreys? Let’s dig deeper.
How Payday Loans Work
Payday loans are meant to be a short-term solution for financial needs. Generally, they range from $100 to $500 and are designed to be paid back within two weeks to a month, depending on the lender’s terms. Some lenders may allow you to extend the loan term for an additional fee.
To apply for a payday loan, you’ll need to have a source of income and be at least 18 years old. The application process is usually straightforward and can be done online, over the phone, or in person at a physical location. You’ll need to provide your personal information, employment information, and access to your bank account for repayment purposes.
If approved, the lender will deposit the loan amount into your bank account. When the loan term is up, the lender will withdraw the loan amount plus interest and any additional fees from your bank account.
Interest Rates and Fees
As mentioned earlier, payday loans usually come with a higher interest rate than traditional loans. In Humphreys, Missouri, the maximum interest rate for payday loans is 75%. This means that if you borrow $100, you’ll owe $175 when the loan term is up.
In addition to interest rates, lenders may charge other fees, such as application fees, late fees, and early repayment fees. It’s important to read the terms and conditions carefully before applying for a payday loan to understand the total cost of the loan.
Facts and Statistics
- According to the Missouri Division of Finance, there were 1.84 million payday loans taken out in Missouri in 2020.
- The average loan amount was $321.
- The average APR was 445.77%.
- The average loan term was 18 days.
Apply Now
If you’re considering a payday loan in Humphreys, Missouri, TheGuaranteedLoans can help you connect with potential lenders. We’re a connector service, not a direct lender, and our goal is to help you find the loan that meets your needs. To get started, fill out our online application today.
Remember to only borrow what you can afford to pay back and to read the terms and conditions carefully. Payday loans can be a useful tool in a financial emergency, but they’re not a long-term solution. If you find yourself needing payday loans frequently, it may be time to seek other financial solutions.