So you know that you can always take out a payday loan through Loan Stop. But Cash Advance is also a viable option. The two terms are often used in the same way, but there actually is a difference.
Payday Loan VS Cash Advance
A payday loan is a special kind of short term loan that is intended for emergencies. The idea behind a payday loan is to take out an amount that the borrower will be able to pay back with their next paycheck. The borrower might take the amount out because their regular paycheck is not enough to pay for something due to any kind of emergency situation. A paycheck advance loan will allow someone to have access to money they would not normally have until a later date.
A cash advance is the act of drawing cash from an ATM with a credit card. There is often a fee for a credit card cash advance as well, but an actual paycheck loan incurs a lower interest rate than that of a cash advance on a credit card.
Which is your best bet?
Now that you know the difference which option is best for you?
Well, if you have a credit card cash advance is probably the best option for you. It will give you the option to take cash out of an ATM using your credit card without having to go through the application process that you do with a normal payday loan. This will allow you to avoid possibly harsher interest rates you may rack up on your credit card, or if you are close to your limit on the credit card and do not want to reach it.
However, not everyone has a credit card and if you don’t a payday loan is pretty much your only option. While it may not be as convenient it will still give you the cash you need to get you out of the pinch. So all in all, they’re both great options as long as you manage your funds correctly and pay them off promptly.