How to Avoid Expensive Cash Advance Fees

Do you need cash for an emergency expense? A cash advance loan can provide short-term cash within 24-hours. Although convenient, these loans can involve high finance fees. Yet, there are ways for borrowers to keep loan fees low.

Instructions

1. Borrow only what you need. Since it is easy to qualify for a no-credit check cash advance loan, some people are tempted to borrow a larger amount. To keep the balance and fees low, only borrow what you need. This way, the balance stays low and manageable, and you won't get hit with a huge finance fee.

2. Borrow a lesser amount. Let's say you need $300 for a car repair. Can you borrow $100 from a friend or relative first? Even if you need a cash advance loan, try and keep the loan balance low. Contact close friends and relatives and ask for a short-term loan, and then apply for a cash loan. Your family and friends may not charge interest, which allows you to pay back the money without penalty.

3. Shop around. Cash advance loan companies vary, and so do their fees. To keep loan fees low, shop around. On average, cash loan companies charge $15 to $20 per $100. Rather than pick a company randomly from the phone book, contact each company personally and inquire about loan fees. What is the late fee? When are loan balances due? Choose the loan company that offers the lowest finance fee.

4. Payoff loan before due date. The majority of cash advance loans are due within two weeks. However, persons able to payoff the loan sooner pay a lower finance fee. Make plans to repay the loan within a few day or one week.

5. Payoff the loan on time. Borrowers who submit late payments will pay additional interest. Before applying for a loan, read the loan agreement carefully. Somewhere within the small print, the cash advance company will explain the penalty for late payments. In some instances, you'll pay additional interest and late fees per day.

6. Establish a new payment arrangement. Borrowers unable to repay the loan by the due date should contact the cash advance loan company immediately. Rather than pay high late fees, establish a new payment due date. You'll likely pay additional interest, but you won't have to worry about late fees.