Cash advance serves as an important source of cash during financial difficulties. It offers the perfect solution for the need of quick cash required to pay unexpected expenses.GET CASH
Lenders typically make the process of applying for the loan easy and simple. A cash loan can be obtained within matter of minutes after applying for the loan. Bad credit score is usually not a hindrance for getting the required loan amount. In addition, a credit check is not typically conducted on loan application, which greatly speeds up the loan process.
With online cash advance, the process is even simpler and convenient. An online application is filled that generally takes only a couple of minutes. In most cases, submitting documents is not required when submitting an online application. Getting cash advance online in the US is in general less costly as compared to using credit cards to pay for cash expenses. It is considered the best short-term solution to pay for unexpected expenses.
Online cash advance, also known as payday loan, is legal in most states in the US. However, the states have put tighter regulations for cash advances so that both lenders and consumers act responsibly when using cash advances to pay for expenses.
The tighter regulations are put in place to avoid lenders from any exploitation when giving loans to creditors. The regulations are especially targeted to prevent lenders from carrying out predatory lending practices with high interest rates.
Cash loan is currently legal in 27 states with 9 states allowing the lending practice with restrictions. Individuals in these states can obtain cash advance online as long as they fulfill lending requirements. Still, there are 14 states including the District of Columbia that forbid cash day lending practice.
Cash advance regulations in the US prohibit investors from charging high interest rates on loans. In addition, the regulations are put in place to avoid illegal and unfair debt collection and lending practices. The aim of the regulations is to prevent lenders from exploiting customers and overburdening them with too much loan.
The Dodd–Frank Act in the US gives authority to the Consumer Financial Protection Bureau (CFPB) to regulate all cash lenders in the US regardless of their size. The CFPB has issued several regulations and penalties for aggressive lending and collection practices by the lenders. Moreover, the Military Lending Act places a 36% cap on certain cash advances made to active duty armed personnel and their dependents.
On a final note, cash advance online is protected by various state and federal rules and regulations. All these regulations prevent lenders from carrying out unlawful lending practices or violate any provisions of the Fair Debt Collection Practices Act.
That being said, you must conduct your own research before selecting an online cash advance lender. The extra hours spent in finding a reliable cash advance lender will go a long way in ensuring that you remain protected from unlawful lending practices.