Life has a way of surprising us with unexpected expenses — from medical emergencies to urgent home repairs. If you're facing a cash emergency, a payday loan could be the solution. These short-term loans offer fast cash when you need it most. This guide explains how payday loans work and what you can do to boost your chances of payday loan approval.

What Is a Payday Loan?

A payday loan is a small, short-term loan designed to help you cover expenses until your next paycheck. Most payday loans are under $500 and are repaid in two to four weeks. While they come with higher interest rates, they offer quick approval and access to fast cash, sometimes within the same day.

At Tennessee Title Loans, Inc., we offer payday loans up to $400 with a simple, fast application process. If you're unsure whether a payday or title loan is right for you, learn more about the differences here.

How Do I Apply for a Payday Loan?

Applying for a payday loan is simple:

1. Fill out our online form to begin. 
2. A loan representative will contact you to review your information.
3. Bring the required documents to the store.

To qualify for one of our payday loans, you'll need:

• Your latest pay stub 
• A valid state-issued photo ID
• Your most recent bank statement
•  A blank check from an active checking account

Once you bring these in, you can finish your application and receive your cash fast.

Tips for Getting Payday Loan Approval

So, what do you need for a strong application? First, you'll need to do some self-research. A lot of what makes a difference in an application comes down to you knowing your financial story well enough to know how much you can ask for. Let's get started:

Know Your Credit Score

Knowing your credit score is vital to a good application. Your credit score is a diagnosis of your financial health. It tracks your loans, your savings, and your payments. If you make payments on time, keep a low balance on credit, and have more in your savings, you are already well en route to a good credit score. A credit score tells lenders what to expect as far as your ability to pay back the loan. A high credit score is a safer option to lend money to than a low credit score, which lenders see as more of a risk. Even if the service says, "Bad credit? No problem!" you should still keep an eye out on your score. The better your score, the higher the chance you have of getting approved, and the better terms and rates will be.

Be Aware of How Much You Should Ask For

Knowing how much you can ask for is important. This is also known as your debt to income ratio. If you only make $1,200 a month, they probably won't lend you $1,000; the odds of you paying that back are very low. You probably have bills and things that money needs to go towards. Instead, the lower the ratio, the better your approval chances. So, if you request $300-$400 and get paid $1,200 a month, your chances of getting approved increase dramatically.

Don't Lie on Your Application

So, this might feel super obvious, but, seriously guys, don't lie on your payday loan application. When they run your background check and credit check, lenders will find those inconsistencies, and that is a sure-fire way to get your application rejected. Now, you might be like, "What could I possibly lie about?" Well, one thing people fudge on their application is their monthly income. They'll put a higher amount (remember, you are going to need pay stubs) or they will list "freelance" work as a way to bump up their monthly income. Lenders aren't interested in any income outside of your permanent, steady job. So, don't mess with those numbers. Just fill out the application honestly.

Be Timely

Nothing helps a payday loan application out quite as much as getting everything in on time! If a lender gives you a time limit of "twenty-four hours" to get something in, make sure you've got it in on time. Remember, lenders are looking for someone who is reliable to loan money to. If you aren't reliable when it comes to turning in a form on time, how does that look for returning borrowed money?

 

 

Start Your Payday Loan Application Today

Hopefully, you took some notes and have started thinking about if a payday loan is the right fit for your needs. If you've come to that conclusion, great! We would love to help. Fill out our online form so we can get this application process started for you! Remember our application tips and you could be smooth sailing to payday loan approval soon. Don't let a financial emergency send you into free fall. Fill out our form now to get the help you need!

 

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.