There are many questions we’ve answered on our site when it comes to online payday loans in California. We have broken down what we think is the future of California payday loans. We’ve touched on the latest updates concerning California payday loan laws. Another topic we covered involved different ways to find the best payday loans California. One topic we haven’t covered in much detail involves the amount of money you can borrow with a payday loan in California. Common sense tells us this would be a simple question. Turns out, there are many factors at play when it comes to determining exactly how much a California resident can and should borrow with an online payday loan.
California, like most other states has it’s own rules that limit the amount of money you can borrow with each direct payday loan. Did you know there’s also a minimum amount of money you can borrow? That’s right, in California you need to borrow a certain amount of money in order for the loan to qualify as a payday loan. Check the state’s website to get an accurate reading on what this number is. In terms of how much you can get with a payday loan in California it’s typically going to max out at $255. You may say to yourself, “I think I’ve seen companies online promoting payday loans California for much more than $255”. You undoubtedly have. Most online lenders get around this rule by offering installment loans or personal loans that last for much longer than a normal payday loan, albeit with a lower interest rate. Another tactic some lenders use it not license themselves as a company that sells online payday loans California. These are typically going to be offshore lenders or online companies that are not based in California.
Another factor to consider when it comes to how much you can borrow with a direct loan is whether you actually need the money in the first place. Are you looking into an online payday loan in order to pay past due bills? Or are you trying to be a popular gadget or pay for a weekend vacation? We’ve talked about it many times but you have to remember that California payday loans carry huge interest charges. Even though you may be able to borrow a lot of money you should only borrow what you need. Most people would admit that California payday loans fulfill a need when you have nowhere else to turn. But you’re simply going to be throwing away hundreds or thousands of dollars interest charges if you borrow more than you need. If you find yourself in this situation you may not be able to pay back your loan. Also consider whether you can get a bank loan or personal loan that has more favorable terms. Assuming you’re a California resident, you have many options available to you when it comes to getting a short term loan. Even if you have bad credit there are often times going to be ways to get a loan from a direct lender with favorable lending terms. You may also want to check with the California State Government or even with your local city agencies to get more info on California payday loans. Simply ask them if there are programs in place for people with bad credit or no credit history that need a short term direct loan to pay urgent expenses.