Perfect Payday Loans That Accept Unemployment Benefits
Last updated on October 14th, 2023 at 12:16 am
It’s Randy, here, from Ready Payday Loans again. Many of our readers are curious about payday loans that accept unemployment benefits. It can be difficult or sometimes impossible for unemployed people to get a payday loan. We’ll help you understand how you can use unemployment benefits when you lose your job unplanned.
A small percentage of your income is usually allocated for unemployment insurance. When your contract ends, the insurance provides unemployed benefits. Your employer will provide the benefits in the form of a weekly check. Below, I will provide details for other benefits of payday loans that accept unemployment benefits.
It is also important to note that payday loans are not free for the unemployed. There are charges such as prepayment fees, late fees, and origination fees. Unemployed borrowers should look for loans that provide fixed interest rates. This reduces the charges associated with payday loans.
Lenders will need proof of income if you’re unemployed and are applying for a loan. I’ll help you to know what else is needed for payday loans that accept unemployment benefits. We’ll also provide you with other ways of borrowing money when unemployed.
How To Know If You Are Eligible For Payday Loans That Accept Unemployment Benefits?
Unemployment income gives you access to payday loans that accept unemployment benefits. If you are eligible, you can even get them within 24 hours after applying. So, what kind of unemployment income do lenders accept? You are eligible for payday loans that accept unemployment benefits, such as:
- Social security benefits
When you’re unemployed, you can get income from social security. Those who are on retirement or have medical issues are also eligible for this income. This benefit will help you be eligible for a payday loan when you don’t have a job.
- Retirement benefits or pensions
These benefits are for those who might not have a job that pays a living but still receive a steady income. They are for those who are in retirement.
Lenders consider the income from your employer, who is offering you a retirement fund. If you’re collecting retirement funds, the chances of approving your loan application increase. Extra retirement income from 401(k) and IRA accounts are also considered.
- Child support or alimony
If you’re unemployed and are receiving child support or alimony, you can qualify for a payday loan.
- Income from a spouse or partner
The income of your spouse can assist you in getting the payday loan that you are looking for. This is another unemployment benefit to consider. When applying, your spouse will have to cosign the loan in order for lenders to take the income into account.
A cosigner is also accountable in case you fail to repay the loan. The credit rating of your partner may be at risk in such a situation. Also, take this into account before asking your spouse to be a co-signer.
Other Ways To Borrow Money When Unemployed
There are other various loan options available for those who don’t have a full-time income, such as
Pawnshop loans
These loans require you to take personal property to be used as security for a loan. Personal property can be anything like a watch, camera, or gold coin. You can get these types of loans quickly once you provide these items.
The loan that you get from a pawnshop is less than 50% of the value of the item. It comes with a very high-interest rate. You do not require a job, for these loans.
A pawn ticket is given after approval, with a deadline for repayment and returning your items. Like any other collateral, the pawnshop will list your item for sale if you miss the deadline
Personal loans
It is also possible for unemployed individuals with bad credit to get a personal loan. Personal loans have more broad uses, including the possibility of borrowing. Sometimes they have cheaper and better interest rates. To be eligible for a personal loan, you must have decent credit.
Payday loans
These are short-term personal loans that give you the cash you need even when you’re unemployed. Since they are short-term loans, lenders will require you to pay them back in full on the due date.
Your paycheck from an employer normally determines the approval of payday loans. However, a number of payday loan lenders accept unemployment benefits.
Credit card advances
Credit cards offer cash advances to a certain limit. This means that the amount available for withdrawal depends on the credit limit. They are good for those who want to cover daily small expenses.
You can get cash advances easily as they do not need a credit report. With your PIN, you may use an ATM to request a cash advance on a credit card. You may need to contact customer care by calling the number on your credit card. This is if the card issuer didn’t provide you with a PIN. You can also visit the issuing bank to get the advance.
Car title loan
If your car has enough equity, you can use it to secure a car title loan. Your title is used as collateral by the lender for a payday loan. The title has to be one that is not restricted by a bank lien. This is a secured loan since the value of your car serves as collateral.
The good thing about these loans is that they have a few basic qualifying requirements. This makes them appear to be a great alternative, but they have a high APR. In case you miss payments and the monthly fees of the APR, the lender may seize your car. This can make it challenging to commute and look for a job.
The Bottom Line
Choosing the correct payday loan lender will prevent you from entering a cycle of debt. When applying for payday loans, read the terms and conditions. Make sure you understand the interest rates and fees of each loan that you apply for.
If you have questions about payday loans, I’m always ready to answer. Whether your questions relate to re-payment or the types of loans, I’ll sort you out. Remember, you can get a payday loan that accepts unemployment benefits, it is very possible. Feel free to ask any more questions.
Finally, we can also help you out with the following types of loans:
-Randy 🙂
