Payday loans are short-term loans that do not require a bank account. These loans are typically smaller in size compared to personal loans or installment loans. If you have an emergency, payday loans can be very useful. They are also easier to qualify for and require no collateral. There are a few different types of payday loans available.
Online direct lending
When looking for online direct lending for payday loans, one of the most common requirements is a checking account. However, there are also direct lenders that will accept your savings account in lieu of a bank account. Even though checking accounts are preferred, you may be unable to open one because of your financial situation. Regardless of the reason, having no checking account paints a bad image of you and tells the lender that you do not have good relations with other financial institutions.
You should also have a savings account to prove you have the money to repay the loan and have a good financial history. Having a bank account may also help lenders confirm that you have a steady income and can repay the loan easily. However, you might still be able to get a loan without a checking account through a brick-and-mortar outlet.
Prepaid debit cards
If you’re unable to open a bank account, but would still like a loan, prepaid debit cards are a great option. These cards work just like a traditional debit card and can be applied for online, over the phone, in person, or by mail. Once approved, the card will be registered in your name. You can use it at merchants, pay bills, and withdraw cash from ATMs. However, there are fees associated with these types of cards.
Another benefit to using a prepaid debit card is that you can avoid charges that are associated with credit card use. Prepaid debit cards also allow you to use your card to take advantage of loyalty programs. Some employers will even transfer your wages onto your card. You can also use your prepaid debit card to make purchases on the Internet.
Payday loans without a bank account
If you do not have a bank account, you may be able to apply for a payday loan. However, you will likely have to pay a higher interest rate because lenders cannot automatically debit your account on your due date. You may also have trouble getting your loan amount credited to your account. However, there are ways to make your loan payments online.
You may also want to consider a prepaid debit card. This type of payday loan is easier to get because it does not require you to send cash from your bank account to the lender. Prepaid debit cards are loaded with funds in the borrower’s name, and some of them offer rewards like a credit card.
Some lenders offer a prepaid debit card for borrowers without bank accounts. You can apply for one, but you’ll have to enter a PIN and go through standard security checks. This card can also be used to track your balance and work with your cash advance.