figuring out if a payday loan affects the credit rating

Does a Payday Loan Affect Your Credit Rating?

Are you in need of a loan but are worried about how it might affect your credit? We all know how important your credit score is, so it is important to protect it. You might be wondering about the payday loan impact on credit score and if it is worth getting a payday loan. The good thing is, when it comes to credit rating and payday loans, the impact is minimal. In fact, when you come to Cash Cow for a payday loan, we won’t report your loan to the major credit bureaus. Keep reading to learn more about this.

What To Know About Payday Loans and Your Credit Rating

When Does A Payday Loan Affect Your Credit Rating?

As we said above, a payday loan won't directly affect your credit because we do not report your loan. In fact, we don’t even have to check your credit to determine if you qualify for approval. Instead, your income and ability to repay are seen as the primary requirements. In all honesty, the only way your credit is impacted is indirectly. What do we mean about that? Well, if you are approved for this loan and use it for an emergency expense, it could cause your credit to increase as the emergency goes away.

How Does A Payday Loan Affect Your Credit Rating If It Doesn't Go On Your Report?

Payday loans help you prevent common money problems that can lead to significant drops in your credit score. Not being able to pay your bills on time may seem like a small problem right now, but try approaching major banks with a less than perfect rating later on. You'll get turned down for auto loans and mortgages more often than not. On the other hand, payday loans can help protect your budget even in the face of adversity.

Credit blunders are often because of temporary shortages in cash, misalignments in paychecks or due dates, and unexpected expenses. Meanwhile, paycheck advances can help fill those gaps and may even prevent unnecessary negative marks altogether. Applying for loans through a traditional bank can harm your credit even if you don't get approved. Asking for money creates a hard inquiry on your report, which lowers your scores over time.

couple talks to payday loan representative about credit score

Does A Payday Loan Affect Your Credit Rating If You Get It Online?

When it comes to online payday loans credit score, it is the same as regular payday loans. What we mean by that is you can get this loan even if you have poor credit and we still won’t check your credit score prior to seeing if you qualify for approval. Really, when we say “online payday loans”, we mean filling out our online form to begin the process. It isn’t the official application, but it does get your information to the nearest store so we can help you continue through the process.

How to Get the Best Payday Loans Without Affecting Your Credit

Now that you know the payday loan impact on credit score, you can begin the process. You shouldn’t let your credit stand in the way of getting the loan you need. And we are here to help you get through the process quickly and easily so you can find out if you qualify for approval. All you have to do is go through a few steps. Here are the steps you will go through in order to find out if you can get this loan:

  1. Go the main page of this website and submit an online form: To start the process, all you need to do is fill out an online form located on our homepage. From there, your information is securely sent to the nearest store so we can give you a call. When we do call, we will go over the required items and set up a meeting for you to come in.
  2. Gather your required information ahead of time: Once you are off the phone, head over to the nearest Cash Cow location so we can go over your required items and see if you qualify for approval. Payday loans in Louisiana are designed with simplicity in mind, so this is all you'll need to find out if you can get approved:
    • Your most recent pay stub from work;
    • Your driver's license or a government-issued photo ID;
    • A blank check from an active checking account in your name;
  3. Find out if you are approved: Once we’ve had a chance to assess your items, we will determine if you qualify for approval. If you do, we will sit you down to go over the loan terms and have you sign the paperwork. When all the paperwork is complete, you are done! You can get the money either later that same day or the next bank business day.

black woman got payday loan cash

Get Started With Your Louisiana Payday Loan Today!

So, does a payday loan affect your credit rating? Yes and no. If you make wise money decisions, then you can keep your credit score intact. And if you feel like being ready for extra cash to deal with urgent financial issues, then don’t wait and get the process started today with Cash Cow! Go to our website and fill out the online form now to begin the process right away!

 

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

Daniel Dewitt

Daniel Dewitt is a lifetime blogger with a finely-honed ability to break down, analyze, and interpret economic trends for the layman. He's fiercely invested in spreading financial literacy and helping everyday people gain the tools they need for their own economic success.