It can take anywhere from two days to two weeks to get your typical bank loan application approved. For some, that waiting period isn’t an option-or, at the very least, it isn’t the best option. Quick cash loans take mere hours to approve. Without the credit checks, they’re also widely available to Canadians who need them.
Taking out a loan isn’t a small decision to make, and it’s reasonable that you may have some questions and reservations. How do you know if it’s the right time to request a no-credit check loan? What is the best way to make use of online loans?
Read on for five good reasons to apply for quick cash loans when you’re in a pinch.
1. You Need to Consolidate Debt
If you’re indebted to more than one lender, you may find that a cash loan can assist with debt consolidation. The goal is to pay off all other lenders using your cash loan so that you only have one lender to pay off each month-and one interest rate to worry about. Keep in mind that cash loans don’t often exceed a few thousand dollars, which means that you can only use them to consolidate a relatively small amount of debt.
For example, nearly half of Canadian adults have some amount of credit card debt. If you’ve put a few hundred dollars on each of your credit cards, a cash loan will allow you to pay off each of those credit card bills so that you only have to make one payment per month. If you have trouble remembering to make multiple payments on time or your credit cards have raised your interest rates due to late payments, this kind of debt consolidation may help to protect or improve your credit score.
2. You Don’t Have Emergency Funds
As credit card debt increases, the availability of emergency funds decreases. That’s right, more Canadians are reporting that they don’t have substantial enough savings to deal with the unexpected. This includes things like job loss, emergency medical expenses, emergency home maintenance, and more.
Keep in mind, this isn’t the same as not having the money to make an unexpected or last-minute purchase. As we mentioned earlier, taking out a quick cash loan isn’t a decision that should be made lightly, and it shouldn’t be done often. It’s best to supplement a lack of savings with a cash loan when it’s a necessity, not when you’re making a purchase that could otherwise wait.
3. You Need a Payday Loan Alternative
Payday loans may sound useful in theory, but they can cause more trouble than they’re worth. For example, you might be between jobs and know that a payday is coming in the near future. You can take out a payday loan to cover the expenses in the coming weeks, but that payday loan has an interest rate of well over 100% and you have to use your entire paycheck to cover it, which puts you back in the same position you started in.
While quick cash loans tend to have higher interest rates than standard bank loans, they are often lower than the average payday loan. Plus, you can secure a longer payback period than two to four weeks, making it easier to carve out part of your future paycheck to make a payment without having to give up the entire thing. While a quick cash loan may not cover the full cost of your expected paycheck, it can still help cover upcoming expenses like rent, bills, groceries, or credit card statements.
4. You’re Financing a Specific Project
As we mentioned earlier, it’s never a good idea to take out a loan to cover impulsive expenses. In other words, you shouldn’t take out a loan so that you can go on a shopping spree. Accruing debt to buy items you don’t really need doesn’t make solid financial sense, especially when you factor in interest rates.
However, if you’re approaching a specific project and need some extra cash to increase your budget, a cash loan may be the right choice. For example, some may use cash loans to cover down payments to wedding vendors or to cover part of the expense of a home renovation. Because these kinds of projects involve planning, you can incorporate paying off your loan into your long-term plan.
5. You’re Starting a Business
Entrepreneurs are often stifled by startup costs, especially when they don’t yet qualify for typical avenues of business funding. Even an at-home business can come with the cost of purchasing new technology (e.g., computers and printers) or fulfilling an early manufacturing order. If you feel confident in your ability to turn a profit in the long term, it can make good business sense to secure a cash loan to get your business off the ground.
Keep in mind that to secure a Canada King Cash loan, you will need to provide proof of employment and proof of income. Unfortunately, we cannot accommodate applicants who are self-employed, even if they are making the minimum income required to secure a loan.
However, we can help you make the transition. If you’re currently employed but have a dream of running your own business, we can help you get started. As long as you remain employed while paying off your loan, you’ll remain in good standing while you pay off your loan.
Need Cash Loans Fast? Kingcash.ca Can Help
A savvy spender will consider all options before applying for a cash loan. Remember that in order to secure a King Cash loan, you need to meet the requirements including proof of employment and a minimum monthly income of $1200. We encourage you to learn more about interest rates and other loan stipulations before applying.
Are you ready to apply for your own cash loan from Kingcash.ca? Fill out our online application in less than five minutes and we’ll get back to you within a few hours. As long as you meet our requirements, we’ll get your loan to you much faster than the typical lender.