Do Payday Loans Affect Your Credit?
If you’re in a pinch and have been looking at ways to get cash together fast, payday loans have likely hit your radar. Accessible, quick, and simple, they’re often considered one of the best options for handling emergencies, but what is the impact of payday loans on credit score?
In this article, you'll discover the payday loan effects on credit history and when and how you should apply for one in Mississippi.
Questions You Should Ask About Credit Score And Payday Loans
If you’re serious about applying for Mississippi payday loans, you should probably dig a little deeper than the surface information most sites provide. One such question we’ll be digging into today is “What's the impact of payday loans on credit score?"
Do Payday Loans Affect Your Credit?
In an overwhelming majority of cases – no. At Mississippi Title Loans, Inc. we don't report loan information to any credit bureaus, so your credit score isn’t likely to get affected.
Credit scores don't influence your chances of getting approved. If it turns out you have bad credit or no credit at all, you’re still a perfectly eligible candidate for payday loans, as long as you satisfy our requirements.
Do Payday Loans Affect Your Credit Negatively?
Some potential borrowers fear their credit will take a hit if they apply for a payday loan, as it’s not a traditional bank loan – and can thus be seen as “lesser”.
Applying for a payday loan at any of our locations won’t reduce your credit score. The loan stays entirely between you and Mississippi Title Loans, Inc., thus having no negative effect on your credit history. Your credit score will remain as is. If it does change, it won’t be due to a Mississippi payday loan.
Do Payday Loans Affect Your Credit Positively?
If you want to acquire a payday loan as a means to improve your credit score – you'll need a new strategy. Even if you stay on top of your payments, and pay off your payday loan swiftly without stalling, your credit score will be affected.
The purpose of a payday loan is to help you out of an emergency while you are in between pay periods at work. If you need to improve your credit and eligibility for more traditional forms of loans, you will need to find another way – payday loans, unfortunately, won’t be able to help.
Other Ways To Improve Your Credit Score
Improving your credit is a process and will take time to achieve. Creating a financial plan, if you don't already have one, is a great way to get started. Next, take some time to review your expenses and income so you can set up a budget to eliminate any unnecessary spending. That will help you to avoid further debt and save along the way.
Once you've found a budget that works for you, decide how you would like to tackle your debt. You can start with the smallest or the largest bill, it's up to you what method you prefer. As you begin to make strides in paying down your credit card debt, among other debts, you'll start to see an improvement in your credit score. This is a better way to achieve a high credit report than creating more debt with another loan.
Do Payday Loans Affect Your Credit If You Run Into Problems Repaying?
Even with the best intentions, things don’t always go according to plan, and you might run into trouble when trying to pay off your Mississippi payday loan.
Luckily, when it comes to credit score and payday loans you don’t need to worry about overdue payments influencing your credit. A payday loan as stated previously, stays between you and us as your lender – so you can easily contact one of our representatives to figure out the best way to proceed. Your payoff schedule might get adjusted, or your loan might be “rolled over” – or we may find another way to assist you.
In any case, if you experience any problems, you can skip worrying about payday loan effects on credit history, there are none!
When Should I Apply For A Mississippi Payday Loan?
Now that you’ve learned the impact of payday loans on credit score and that Mississippi payday loans won't influence your credit, you might feel bolstered to apply and solve all your problems with one swing.
The question is ‘When should I apply for a Mississippi payday loan?' They certainly have a lot of attractive points, but that doesn’t change the fact that it is a loan and you should apply responsibly.
Getting A Payday Loan
Getting a payday loan, like any other loan, means you are required to pay it back. Seeking a loan of any kind should only be an option when you’ve considered all the pros and cons and know that not applying could be more damaging than applying.
No good ever comes out of abusing debt, even if it’s only a few hundred dollars, as is the case here since you can get between $100-$400 with a cash advance in Mississippi.
Having the option to use this type of loan when you’re in an emergency, without the impact of payday loans on credit score to worry about, is a great way to access a short-term solution for an urgent expense. This means the problem you’re facing needs to be dealt with urgently, as it’s likely to escalate with time or cost more in the future.
Medical bills and car problems are just a few examples of expenses that can affect your finances and should be dealt with right away. If your problem isn’t time-sensitive you should try to get the cash you need another way first.
Apply For A Mississippi Payday Loan Today!
Applying for payday loans in Mississippi is pretty straightforward. You can start the process now if you have a government-issued ID, your most recent pay stub, and a blank check from an active checking account in your name.
If you have these items, visit Mississippi Title Loans, Inc. to complete the inquiry form and a loan representative will call you to set up a meeting.
Bring the required items to the meeting so the loan representative can determine if you qualify for the loan. If approved, get the cash you need the same day or the following business day.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.