WEST VIRGINIA (WV) – Options besides Payday loan
West Virginia is known for its chemical industries and Bio-medical research. No doubt it is a fast growing economy but the majority of people are not getting the benefit of this. There are many workers who still fight with low pay and unstable work hours. Almost one out of the five is employed in low wage job. The fastest growing sector for jobs are cashier, retail sales people and service industry. Unfortunately, these jobs don’t pay well. It has been surveyed that there are more low wages jobs than high wages and this makes the life tough for people.
payday loans in West Virginia WV Installment Loans
Many people find it difficult to make both ends meet and many just move from one payday to other . There may be some who are not able to save much, so for them managing extra expenditure becomes all the more difficult. Life does not go according to your plan, there are certain things on which one cannot have control and emergency is one of them. Just suppose you and one more girl started living in a rented accommodation and it was decided beforehand that the rent will be divided equally between the both. One fine day she just went away without informing you and when you tried to contact her, her phone was switched off. You never thought, such a thing would happen , now you have to arrange money to pay all the bills on your own and the rent of the house too. You are flabbergasted. Stuck in the middle of the month you have no one to ask for help. The instant word that strikes the mind is the Payday Loan.
What is Payday Loan ?
Payday loan is the cash advance taken against your pay with a promise to be paid on the next payday. The rate of interest charged is high. Despite that it is very popular. It has been observed that at one or the other point of time almost every adult American has availed it to move away from the financially tight spot. There are reasons for its popularity. The first one is the speed with which the money travels to your account, the second is the availability of the services round the clock. It is very easy to avail as there is no requirement of long forms to be filled, proofs for assets to be collected. Even if you have bad credit history, still the lenders are ready to lend you the desired amount. What is required by the lender is the proof of current regular income.
Payday Loan in West Virginia
Payday loan is illegal in West Virginia both in front store as well as online payday loans.
The lenders are prohibited to provide payday loan.
There are reasons why payday loans have been banned, it was that the lenders just lured the borrowers to take loan, well aware of the fact that borrowers won’t be able to pay it in a lump sum because repayment included , principal amount , plus the rate of interest, plus the lender’s fee. This borrowing actually led the borrower into a debt trap.
The annual rate of interest charged by the payday lenders was more than 400%, so the state had to step in and put restrictions on the lenders regarding the exorbitant rate of interest they were charging. Consumer loan Laws allows APR 31% for loans up to $2,000.
Other Options
Installment loans – It is a loan that a person can take against any collateral, it can be your vehicle or house . The collateral depends upon the amount of loan to be taken. If the loan is spread over a larger period of time then the monthly installment will be less but then you end up paying more in the form of interest. On the other side if the period of loan is short then the monthly installment is high and the interest paid is less. As the money borrowed is paid back in shorter period of time.
Installment loans and auto- title loans come with high rate of interest.
Credit score is a must for installment loans.
A word of Caution
- Before opting for a loan , ensure to consider other options.
- The government agencies and the welfare agencies often provide free financial services and help those in some kind of distress. The West Virginia government can help people with the medical and food bills in the time of crisis.
- You should request for extension of date if you have not been able to pay the bill well on time.
- In the digital world there are many ways to earn money , spare some time and put extra labor to meet expenses.
- Be frugal on your expenses.
- Ask for loan from your friend or a relative.
- Take credit card cash advance as you will have more time to pay your debt .
- One needs to be wise to take decision to come out of a difficult situation. There is no harm in asking for help when required.
