Payday Loans Livonia, MI
Livonia is a city in Michigan located in Wayne County. It is situated about 20 miles northwest of Detroit. Total population is 94,567. 48.8% is male share of the population. 51.2% is female share of the population. Median family income is $92,336. 5.5% is the rate below poverty. The rate of issued payday loans in Livonia, Michigan is 42%. Median gross rent is $1,043. Median house value is $180,300. Standard Zip codes are 48150, 48152, 48154. Time zone is America/Detroit.
What are payday loans in Livonia, Michigan?
Payday loans in Livonia, Michigan are a loan type for a small amount for a short period. It is also known as a daily loan/short-term loan. The main peculiarities of payday loans:
- a simplified system of application – a loan is approved with one document at a time, for example, by an ID, immediately upon visiting or online;
- high interest rate – up to 1% per day, in contrast to the bank 10-20% per year.
Initially, payday loans were created for the needs of small businesses. The entrepreneurs urgently needed money for a short period, and the bank loans were not processed quickly. But due to the simplicity of receiving money, the service has become popular among ordinary citizens.
What is the procedure of issuing payday loans Livonia, MI?
First, you need to choose a bank or payday lender that is capable of taking out a payday loan on more favorable terms for you. You can get acquainted with information on the terms of issuing payday loans on the official websites of banks and microcredit organizations (if any) and / or by visiting their offices.
Having decided on the organization to which you wish to apply for a payday loan in Livonia, MI, you should submit the following to the bank or microcredit organization:
- application for a payday loan;
- identity document (ID card / new driver’s license / military ID);
- documents containing information about their activities and income.
What to consider before applying for a payday loan?
- Consider the purposefulness of the loan;
- Check the selected company in the state register of the MFI;
- Check the interest rate and read the general terms of the agreement;
- Carefully study the terms of the agreement for the availability of additional services – they may affect the amount to be paid back.
- Note the full loan cost. It is indicated on the first page of individual conditions in the upper right corner and is usually framed.
What are the pros of payday loans Livonia, Michigan?
The main pros is accessibility. No bunch of documents, no certificates from work, only an ID and, possibly, SSN or other document. This is especially true when money is needed urgently, and this is how it usually happens in our life. In this case, the borrower’s cash will be transferred the same day.
Usually, people who have taken out a loan, if possible, try to get rid of debt as quickly as possible, but with a bank loan, money cannot be taken out for a week. You have to pay for the use of money for many more months, which, in fact, a person does not need.
Less risks from global shocks. The short loan term excludes dependence on global economic changes. And it is much easier to predict the situation in a short period, both your financial situation and everything that is happening around.
To issue a payday loan in Livonia, Michigan, a person needs access to the Internet, basic identity documents, and an account for which he will receive money. MFIs can be selected from a variety of companies represented in the network. First, you will need to register on the selected resource and study all the rules for using it.
The main differences: payday vs bank loans
- In most cases, payday lenders only require an ID to issue a short-term loan. The bank issues loans upon presentation of a whole package of documents (passport, salary certificate, SSN).
- MFIs, as a rule, do not refuse to issue a payday loan MI, while the bank takes time to think and may refuse to issue a loan.
- A lender will take out a loan even with a bad credit history, and any adult resident of Michigan can apply for a small quick loan.
However, the rates at MFOs are much (tenfold) higher than at banks. The average size of a short-term loan is significantly less than the average consumer loan.
Reasons for addressing a payday lender
Urgently needed money (for example, for medication, healthcare bill car repairs);
- there is no time to wait for the approval of the loan at the bank, or the bank refused the loan;
- a small amount is required before receiving a paycheck or retirement benefits;
- lack of official earnings and, accordingly, a certificate of income.
Rules for lending options’ use
However, before you take fast loans, you must remember a number of rules:
- plan to repay the loan. If you are given the opportunity to choose the date of loan repayment, it is better to choose a day 3-4 days after the salary;
- when paying for several loans in addition to a loan, it is better to plan payments on them on different days of the month for a reasonable distribution of the debt burden;
- choose the term and size of the loan thoughtfully and do not borrow if you are not sure that you can return the money on time;
- the recommended debt burden for all loans and borrowings should be more than 40% of monthly income;
- study the individual terms of the agreement for the availability of additional services;
- check the full loan cost. The total cost cannot exceed the market average by more than a third.