Many people face some financial problems from time to time. The sum of money you need may be not that big, however you may need them urgently. Payday loans are designed to help a borrower to cover unexpected expenses. Covering urgent medical bills, home renovations or car repayments are among the most popular reasons to take out a payday loan. This loan does not require any collateral. The main idea of a payday loan is that you have to refund it until your next payday. They are also called cash advance.
Cash Advance in Georgia is a nice opportunity to solve your financial troubles. Applying for a payday loan doesn’t even require leaving your home and saves you a lot of time. It is possible to receive a loan almost immediately.
What is a payday loan?
It is a short-term type of loan, that helps you to fund any type of your financial needs, until your next payday. Many people believe, that an idea of loan can be dangerous and may damage your credit history. Fortunately, payday loans in Georgia are strictly regulated by the law. Forget about any risks if you manage to follow all the conditions of your contract.
What are common reasons to apply for a payday loan?
There is a wide variety of purposes, why a person can apply for a payday loan. Here is the list of purposes in Georgia:
- Consolidate debt
- Cover medical bills
- Home renovations
- Car repayment
- Financing an event or travelling
Online lenders, banks and other financial organizations offer payday loans. Each of this institutions offer their own requirements, that you have to meet if you want to get approved for a loan.
Short-Term Payday loan Laws in Georgia
In Georgia a lender has the right to make payday loans only if he got a license by Georgia’s Department of Banking and Finance. Lenders are subject to the terms and limitations of Georgia’s Payday Lending Act and usury law. The laws of Georgia require that a lender reveals the costs of a loan. An applicant must obtain a document in written form about charges and APR. Interest rates are also regulated by laws of Georgia. A lender can charge not more than 10% interest for a loan of 3000 dollars and less.
The Department of Law’s Consumer Protection Division in Georgia also do not work with complaints about payday loans. Only local district attorney or solicitor deals with victims of a payday lenders who committed criminal actions. It is also obligatory for victims to reveal the episode to the Georgia Department of Banking and Finance. Mind the fact, that the Attorney General’s Office does not pursue illegal payday lenders on behalf of a borrower, but acts for the interests of the State of Georgia as a whole. A Federal Trade Commission works with the complaints of borrowers about the lender’s violations of the Lending Contact. A borrower is welcome to fill in online form for complaints. The Federal Trade Commission does not cope with individual issues, but will be able to act if it finds out a pattern of violations.
In the state of Georgia, it is prohibited to issue payday loans from non-banking organizations. Other states’ financial organizations can still offer payday loans to residents of Georgia if they are insured by Federal Deposit Insurance Corporation.
The duration of payday loans in Georgia, that a lender can stretch is not more than 36 months and 15 days. It is also prohibited for a lender to charge more than 60% per year for the loans to any type of borrowers.
Georgia Payday Loan Alternatives
As short-term lending is restricted in the state of Georgia, you may want to consider alternative sources of financing. The most popular ones are:
- Online Installment Loans up to $5,000
- Unsecured Personal Loans for Bad Credit
- Online Car Title Loans with no credit check
How to qualify for a payday loan in Georgia?
Even those lenders with no or poor credit history can still ask for a payday loan in Georgia. Payday loan lenders apply special risk-assessment methods to understand whether you are able to repay the loan. This method does not take into consideration your credit score and relies more on whether the potential borrower has a steady source of income. Once you have decided to apply for a payday loan, it is necessary to have all documentation with you. Here is the list of basic documents:
- Valid ID
- Proof of residence
- Proof of steady income
- Active bank account
Choose your city in Georgia to get instant cash at a loan place nearby:
- Sandy Springs
- Johns Creek
- Warner Robins
- Peachtree Corners
- East Point
- Peachtree City
- Sugar Hill
- Union City
- Forest Park
- St. Marys
- North Druid Hills
- North Decatur
- Belvedere Park
- Lithia Springs
- Wilmington Island
- Villa Rica
- College Park
- Powder Springs
- Druid Hills
- Mountain Park
- St. Simons
- Richmond Hill
- Holly Springs
How much can I borrow in the state of Georgia?
It happened, that payday loans are illegal in Georgia since 2004. However, lenders from other states can still offer loans to residents of Georgia, with the condition that they operate according to the requirements. Loans may not be more than $3,000 and may not have a loan term of more than 36 months and 15 days.
What if I fail to repay the loan on time?
On the due date, a lender will automatically withdraw the payment from your bank account. You will receive a fee from your lender if there is not enough money on your bank account and the lender didn’t manage to withdraw it. It usually happens that repaying the loan becomes harder if you do not manage to make payments on time. If you realize, that you will not have enough money to repay the loan on the due date, contact your lender in order to find the way out of the situation. Planning your budget will help you to avoid such problems.
Who can apply for a payday loan?
Anyone of legal age is allowed to apply for a payday loan. However, at the age of 18, a person will probably have a very short credit history. This turns out to be challenging for the creditor to decide if a borrower worth getting a payday loan or not.
How to qualify for a payday loan?
Usually, payday loan lenders require to provide a proof of your current source of income, as well as your employment history. These factors help a lender to see the degree of your creditworthiness.
Loans are available to borrowers in Georgia, subject to the following:
- The maximum loan amount is $3,000.
- The maximum loan term is 36 months and 15 days.
- The maximum APR is 10%.
- The maximum origination fee is 8% of the first $600 and 4% thereafter.
Choose your lender wisely and you will have a chance to improve your credit history.