Guaranteed Payday Loan Lenders: Who Are They and What Do They Do?
Have you heard of payday loan lenders who’ll guarantee approval? If you’re looking at payday loan sites, you’ve probably seen advertisements from these lenders.
Are they for real or is it just a marketing ploy? How can anyone possibly guarantee approval for a loan from someone they haven’t even vetted yet?
Here’s all the information you need to know about guaranteed payday loan lenders.
How the Guarantee Works
The guarantee always comes with conditions. For example, you’re guaranteed a payday loan if you match the criteria of having a job that pays at least $1,000 a month, you live in the United States and you have a checking account.
The company that’s making this guarantee knows that they’re able to successfully lend to people who match this description. As a result, they’re able to let customers know upfront that they’ll get a loan approval if they fall into this category.
Working with guaranteed payday loan lenders can take a lot of stress off your shoulders. Instead of having to wonder whether or not you’ll get approved for the money you need, you can send in your application with full knowledge that you’ll get the money you asked for.
The One Thing Guaranteed Payday Loan Lenders Don’t Promise
There is however one thing that these payday loan lenders don’t promise: They don’t promise to give you the amount you’re looking for.
Let’s say you earn $1,000 a month and want to get a payday loan for $1,500. Even though the lender you’re applying to has a guaranteed approval process, they might only approve a $500 loan for you.
In other words, these lenders will guarantee a 100% approval rate if you fit their criteria; however if they think the amount you’re asking for is too risky, they’ll only approve your loan for a certain amount.
In reality however, this is probably a good thing. Even payday lenders who don’t guarantee approvals will do this. Lenders are very skittish about lending out more money than they think borrowers can pay back.
Guaranteed lenders will do basically the same thing that other lenders would do anyway, but you’re guaranteed to at least get some of the money you’re asking for. Plus, if you’re not asking for an amount that’s far outside your earning zone, you’re very likely to get the entire amount.
In summary, guaranteed lenders are absolutely for real and will make real guarantees on their approvals. They might not give you all the money you ask for; but if you fit their requirements you’ll definitely be approved for a loan.