Canadian Payday Loans


Have you ever heard about payday loans and cash advances?

Both of these types of loans will be suitable for those who are searching for a short term loan (not more than 30 days). It is aimed to lend you hand in case you face unexpected financial problems and needs. You will have to repay such loan on the following payday. For the majority of people such kinds of loans turned out to be a real helpers as they can help to manage with such financial needs as pay for the car repair or other emergency expenses.

How to use this type of loan?

You have an opportunity to use the offered money as you need with no obligations. These are totally your funds and you can spend them wherever you want. It may concern all the major expenses such as medical care, rent for the apartment and even shopping for the upcoming holiday.

What is the best way to apply?

Additional advantage of such kind of loans is the fact that they are very easy to apply. The only thing you have to do is to follow the necessary sight, fill in simple application form and click “apply” button. You will get a final approval at short notice. This helps to save your precious time. You do not have to do any additional paper work and send faxes and copies of your documents. All the procedure can be handled online. In case you get a final approval the funds will be transferred to your banking account as fast as possible.

Payday loans in Canada are a legal way to obtain a small amount quickly

Payday loans and cash advances in Canada came into existence in 1990s to satisfy the hunger for short-term credit of small amounts. Earlier people used to take salary advances or used to borrow from friends and families for their short-term cash advance needs. In the worst scenarios, they went to local money lenders who charged them heavy interest rates. In today’s world, where the salary processing system has gone online (outsourced) and families becoming more nuclear things started to become tougher for those, who need cash advance in Canada. Many cases have been reported for charging criminal rates (high interest + processing fees) and extortion hence laws relating to payday loans in Canada have come into existence.

Payday loans are the most popular cash advance in Canada

Things changed quickly with the advent of payday loan laws in various provinces of Canada, according to the Canada pay day loan association the payday loan industry has grown rapidly crossing 1500 retail outlets in the 90s itself and more than 2 million Canadians make use of these services every year to satisfy their cash advance needs within Canada. Cash advance in Canada come under the category of small unsecured loans to help consumers face unanticipated expenses. Payday loans are usually for small dollar amounts typically in hundreds for an average time span of 10 days. Pay day loan is one form of cash advance and the other being the cash advance you get on your credit card. Cash advances through credit cards are little costlier to using them for standard purchases based on credit rating and the terms of the bank. Other things like basic requirements, payment period, and amount caps are more or less similar to that of terms of payday loans.

How to obtain cash advance in Canada?

The basic requirements for a person to qualify for these payday loans in Canada is to have a job and a bank account, as the amount lent is a certain percentage of the salary with a requirement to be paid back on the salary payday. The consumer usually writes a post dated cheque stating the principal and interest which can be processed on the salary payday. According to the survey (in Oct 2007) by Pallara on Payday loan in British Columbia province of Canada revealed that more than 53% payday loan users are having education above the secondary level which conveys its reliability, convenience and flexibility. Law has made it more reliable and convenient with conditions like the compulsory registration (With Business Practices and Consumer Protection in British Columbia province), maximum cap on charges (Interest + Processing charges), loan cancelling facility by end of next day without any charges, maximum cap on borrowing amount based on the salary, restricted access to borrowers bank or employer etc.

You can obtain payday loans in Canada, using the Internet

Consider payday loan or credit card cash advance option only to solve temporary cash problems between the paydays and not for long term continuous cash needs or to cover every month budget shortfalls. Use it wisely and responsibly in order to avoid unnecessary problems. It is very easy to find a payday loan outlet near your location in the Internet; we recommend you to look at websites of associations like Canada pay day loan association for the required information.