Should One Get a Cash Advance During the Holidays?

iQuanti: The holidays can be a happy and exciting time visiting with family and friends, but they can also be a difficult time financially. And if you've overspent on gift-giving or are having more time than normal off from work, you may be caught in a bind if an emergency bill pops up or you run out of money to cover expenses. Luckily, a cash advance can give you the extra funds you need before your upcoming paycheck. If you're considering this option, here's what you need to know about how cash advances work and when it may make sense to get one.

How do cash advances work?

A cash advance is a short-term fast money loan that enables borrowers to access small amounts of funds. Then, the borrower will repay the loan in two to four weeks, depending on when they get their next paycheck. Cash advances can help borrowers cover essential expenses or bills when they're low on funds before payday.

Benefits of getting a cash advance during the holidays

There are several benefits of using a cash advance to cover emergency expenses during the holiday season:

  • Limited requirements: One of the major benefits of a cash advance is that lenders often have more lenient credit score requirements and may look at other factors when determining eligibility, like income and employment history. Applicants who are working to improve their credit score may still be able to access the money they need using a cash advance.
  • Simple application process: Many cash advance applications can be submitted entirely online. Plus, you may receive a decision in a matter of minutes, so there's no waiting around for days to confirm if you'll be able to get the money you need.
  • Quick access to money: Once approved, borrowers can receive the funds in their bank accounts the same day they apply or within 24 hours. This means you can quickly pay what you need to and then pull together the funds to repay the loan.

When it makes sense to get a cash advance

If you're low on funds this holiday season, a cash advance could make sense. It's worth considering if you want to:

  • Take out enough to cover a small emergency: Cash advances are typically issued for a few hundred dollars. And that means you could cover a utility bill, minor car repair, or food for your family until your next payday. 
  • Avoid asking friends and family for money: Money can be a sensitive topic, especially around the holidays. Getting a cash advance can help you avoid having to ask friends and family for a short-term loan.

The bottom line

When you need money to cover essential expenses or an emergency during the holiday season, a cash advance can be a good option to consider. You can fill out an application online in just a few minutes and may get the funds the same day you apply, if approved. Additionally, you don't need a great credit score to qualify. Make sure to research cash advance options online and assess your financial situation to find the right loan for your needs.

Notice: Information provided in this article is for information purposes only. Consult your financial advisor about your financial circumstances.

Source: iQuanti, Inc.


Categories: Personal and Family Finances

Tags: cash advance, holidays, personal finance