Rates and Fees
Our aim at MachedLoans
The aim of MatchedLoans.com is to help those who are unemployed access payday loans in order to get them back on their feet or to overcome temporary financial stresses. These loans are designed for those that still have a source of income despite unemployment and have been perhaps unfairly barred from other forms of credit because of their joblessness.
Although the entire application process can be completed easily online in many cases, this does not make the financial commitment any less serious. Unemployment loans or any payday loan should never be used to recycle debt or try to hold back long term financial problems. Lenders will do their best to assess your situation but the customer should also be honest in their application and with themselves, about whether they can truly afford the obligation.
Payday loans come with a short term and no installments. Repayment is typically due within just two weeks or at the time you next receive your regular income payment, whether that be from unemployment insurance, disability, or any other kind of regular benefit payment. You should only proceed with our loan request form if you know you will be able to repay the loan in full within this short time period.
If you are in serious financial problems we advise you to seek the help of an expert or consider other forms of loan for unemployed people, such as those secured by collateral, backed by a co-signer, or even just borrowing from friends and family.
How Much It Costs
Like all forms of credit payday loans are not free, but fortunately there is only one clear finance charge to worry about if you make the repayment on time. Comparatively the actual rate this is based on is higher than traditional loans, and this is because it's unsecured, a very short term and can be obtained by those who are unemployed or have bad credit. However due to the small principal amounts offered and the short term, it is still not a lot of money for those who have a regular income source. Participating lenders can offer between $100 and $1,000, but the amount you will be offered if approved will be based on the information you provide in the application.
MatchedLoans is not a lender itself, rather we match you with suitable lenders from a large pool. Each lender will have slightly different internal polices about how much to charge you and the limits of this may also be determined by your state's regulations on payday lending. We do not have access to the lender's policies and cannot give you an accurate quote, however if we match you with a lender and they subsequently make you an offer, you will be given a full copy of the terms and conditions before signing any contract. There will never be any hidden charges.
The Annual Percentage Rate (APR), or the amount you would pay if the loan was outstanding for a year, typically falls between 200% and 1386% in states that are regulated. The amount you are personally charged will partly be determined by your income level, amount of existing debt, and your credit history.
Your finance charge is based on the APR, but because the loan must be repaid in one lump sum with no installments, it is not an interest rate in the traditional sense. The only time interest will begin to rack up is if you miss the repayment and the loan carries on outstanding. Your finance charge will be made clear before you sign the agreement with the lender.
If you are approved by a lender it is up to you to read and understand the full terms and conditions which will be provided to you. This will outline the full cost to you, the repayment date, all potential added fees, and the repercussions and policies of failing to make repayment.
Whether the lender can renew the loan (issue a new loan to cover the old loan, to give you more time to repay) or extend the loan (increase the loan term for an added charge), will be down to their own internal policy and your state's regulations. It is not permitted to take out more than one payday loan at a time.
If you fail to make the repayment and do not contact the lender you may face added fees and interest, as well as charges from your bank if the transaction fails. Collection proceedings may also begin. This is where the lender will attempt to recover the debt by email, phone calls, visits and possible legal action. The amount you will incur during this process will be much more than if you paid back the loan to begin with.
Your Credit Score
Applying for a payday loan may be recorded on your credit report even if you don't accept an offer. This informs other lenders that you were recently seeking credit. It should not have any long term effect.
If you successfully repay your loan this may help build up your credit score, as it is a sign to other lenders that you can meet your financial obligations. Conversely paying late or completely defaulting on the loan may be reported to the major credit bureaus and make it harder for you to obtain credit in the future.
Any lender that says there will be no credit check before making you an offer is likely misleading you, however lenders in our network will still consider your application if you have bad credit. Many different factors go in to the approval decision.