You are hit with an emergency that impacts you financially and disorganizes your budget. Maybe you need extra cash in between welfare cheques. Consider your options. As a recipient of welfare, you might be sceptical of whether you could acquire a loan. You do not have to worry anymore, some lenders are willing to help you. This article will look at the cash advances you can apply for and where to get a cash advance in Canada.
Welfare recipients options for receiving cash advances
To begin with, get a lender who will accept your level of income whether it be on a weekly, bi-weekly or monthly. Your credit score and income source are also to be provided. Before you put pen into a paper of cash advance agreement, carefully go through the terms and conditions of the lender. If the fees of interest rates are too high, be free to walk away. If the terms of the cash advance contract make you uneasy, you are not obligated to sign.
These cash advance options can be accessed by a welfare recipient:
- Payday Loans/Short-term Loans
They usually valued up to $1,500 and you settle it on the receipt of your following paycheque. Although all 10 provinces have regulated payday loans, these rules and regulations vary. This means that welfare cheques can be accepted as an income source by some lenders.
The payback period of this type of loan is usually 7 to 62 days dictated on the schedule of your work pay. The ranges of monies that can be borrowed are between $50 and $1,500. But payday loans attract high charges that can put you more into debt.
Caution!… The solution to your money problems may not come from borrowing small amounts of money. This could be expensive
- Auto Title Loans
With this kind of loan, your vehicle is set up as collateral. Therefore, your vehicle, boat, RV or motorcycle can be repossessed by the lender if you do not succeed in paying back your loan. You have to be the outright owner of your vehicle to access this type of loan.
Non-existent or bad credit can be used to get this type of loan and there is minimal verification of income source. However, they have a reputation for excruciating high-interest rates which makes auto title loans very risky. Do not forget, the likelihood of your vehicle being repossessed on non-payment of the loan.
- Applying for a Personal Loan through a Broker
A broker or a loan matching service can connect you with a lender who fits your income and credit profile once you register with them. You can scrutinize the lender further once connected with him/her and see if they are fine with welfare. But beware, you can be matched up with a lender offering installment or payday loans which are most often the case.
The above is not surely an exhaustive list of cash advance options available. You can use the above as a guide to be aware of the options you have when looking for where to get a cash advance in Canada.
Payday loans :- Cashmax