Which is Better for Me – A Personal Loan or a Cash Advance?

When it comes time to get a little extra cash you have options. Working adults have choices that range from asking for more hours at work to pawning a family heirloom, and everything in between. Those middle-of-the-road options are what most people turn to, things like personal loans and cash advances. You need to know what these are, and if there are any differences that would cause you to choose one over the other.

Why Turn to a Cash Advance or Personal Loan?

There are many reasons and varied situations for turning to some type of loan to get extra money. Most people turn to small loans for very basic needs, including the need to get weekly bills paid on time. When you have bills that are due, no cash left from your last paycheck, and a payday that is still several days to a week away, you may be one of those people searching for an extra source of cash. Another big reason people use these loans is to get money for unexpected or emergency costs, like a medical bill or when something important breaks down, like the car or furnace. There are endless reasons to get a personal loan or cash advance, but these are the big ones.

What is a Personal Loan?

A personal loan is a broad term that refers to any type of borrowing that is for one person as opposed to a company or organization. So this could be a large bank loan, a credit union loan, or a smaller payday or online loan. The latter is what most working Americans are seeking out when they want a small personal loan. The payday loan usually gets approved contingent on your income and a few others factors, and doesn’t rely much, if at all, on personal credit. This is a big distinction between a payday loan and bank loans.

What is a Cash Advance?

A cash advance is also a broad term, but it generally refers to a loan like a payday loan. This is a small loan that you get approved for mostly on the basis of your paycheck and what you earn. It’s like a small advance on your pay. Like a payday personal loan this type of loan is typically small as compared to other types of loans, especially bank loans. Cash advances are sometimes offered in storefront shops.

With a Personal Loan or Cash Advance, Go Online

While you can often get a cash advance in a storefront, there is a better option. You can get small, personal loans, usually a payday loan or a cash advance online. This is the most convenient choice you have when it comes to borrowing a small amount of money for bills and other expenses. In fact, most of these loans are also accessible through a mobile app, making the entire process even more convenient. It’s up to you to decide exactly what type of loan you want to use to get extra money this week, but either way go online or go mobile for the most convenience and the fastest way to cash.

Why Turn to a Cash Advance or Personal Loan?By Scott Lobo - 10/2/18