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Texas Online Payday Loans

Overview. Payday loans are loans that you take for a short term. In other words, you borrow a sum of money, then repay the debt in full when due. The repayment is usually from your next paycheck. Above all, remember that a short-term loan is not meant to meet long-term financial goals.

Amounts.You can apply for a payday loan up to $1,000 and more in the state of Texas. Although state rules don’t specify a maximum amount, the sum borrowed plus fees must not exceed 20% of the customer’s monthly income. Lenders usually offer up to $1,500 in payday loans. The amounts most popular with borrowers are $100, $300, $500, $800, and $1,000.

Terms.Texas state regulations allow for payday loan terms of up to 180 days or six months. The typical terms for amounts up to $1,000 are between two weeks and one month.

Cost.The finance charge for a payday loan is calculated depending on the payday loan amount and term. As a rule, the finance charge fits within the range of a maximum of $30 for each $100 that you borrow.

Example.Say that you borrow $250 at a loan agreement rate of $0.96. Your fee is $28 for each $100 borrowed, and your payday loan is for 14 days. Therefore, your fees will be $70, and you will have to repay a total of $320.96.

Texas Online Installment Loans

Overview. An installment loan money obtained in a lump sum, then repay over several months, with finance charges. Compared to payday loans, online installment loans are one of the best long term financial solutions.

Amounts. Texas residents can apply for an installment loan of up to $5,000. Certain loan services will have lower limits. The state doesn’t cap the maximum amount you can lend. However, the sum for repayment (principal amount plus fees) should not exceed 20% of your gross earnings per month. Popular amounts for installment loans include $1,300, $1,500, $1,900 and $2,000.

Terms. Installment loans have to be repaid within six months. Depending on your income type, you can pay bi-weekly or monthly.

Cost. The loan provider calculates the charge for a payday loan depending on the amount range, the exact loan duration, and your income details.

Example. Say you get a $400 installment loan approved for five months at an interest rate of 9.98%. Your fees would be $328.49. Each month, you would have to pay around $150. If you keep to the repayment schedule, your final payments will add up to $746.44.

Interest Rates for Texas Online Payday Loans

Nationwide, the rates on Payday Loans range between $10 and $30 for each $100 that you borrow. However, a few more specific rules apply in Texas based on a customer’s principal, term, and financial circumstances. For example, if your payday loan is over $100, the finance charge would be $10 tops plus $4 a month for each $100 borrowed. If the offer is over $35 but less than $70, the fee for processing the loan can’t be more than $3.50 a month. 

In terms of APR (annual percentage rate), payday loans can reach an average of 400%, according to official statistics. According to Texas regulations, you can pay back your loan before term. In this case, the no third party lender will reimburse you the fees that “were not earned.” 

Alternatives for Texas Payday Loans

If you don’t want to borrow payday loans in Texas, you may choose auto title loans. With this loan product, you may borrow whatever amount you want but with one condition: your vehicle must be the collateral of your loan. The biggest advantage of these auto title loans is that you are allowed to drive your car. If you don’t manage to pay the full amount of your auto title loans, the lender might seize your vehicle. That is why we suggest you be a responsible borrower and make payments on time.

Terms and Rates for Texas Payday Loans

Texas payday loans allow borrowers to take a cash advance for a minimum of 7 days and a maximum of 180 days. Since there is no fixed financing, the APR can reach and exceed 400%. As a borrower, you have the right to check whether your lender has a license to offer loans in your city.

For the cities that have passed the Lending City Ordinance, the total amount of your loan must not exceed 20% of your gross monthly income. You may have three rollovers maximum, as long as you pay a minimum of 25% of the principal. Take note that, in case you break the rules, there is a $500 fine you risk paying.

When you receive your funds from the lender, you will be requested authorization to withdraw the debt on the due date automatically. Thus, it is convenient for lenders to get their payments on time and borrowers to ensure timely repayment of their debt.

Examples

Loan principal
Fee
Amount to repay
Term
APR

$300
$15
$345
14 days
391.07%

$350
$15
$403
14 days
391.07%

$400
$15
$460
14 days
391.07%

$550
$15
$633
14 days
391.07%

$800
$15
$920
14 days
391.07%

Why Consider a Payday Loan?

Anybody can run into financial issues when you need emergency cash as soon as possible. Even the best-organized planners may need a quick short-term loan at some point. As a result, you start your quest for instant approval or no credit check payday loans near me. And it’s not easy to find a store that’s open now to assist you with your short-term cash needs. If that sounds familiar or plausible, guaranteed payday loans may be what you need. Generally, borrowers typically consider payday cash advances in situations similar to the following: 

• Medical expenses. Medical emergencies call for immediate action. You may require medication, hospitalization, or a medical procedure. With a payday loan, you may get your cash advance the next business day or even the same day.
• Repair works. Your house and your car need the occasional maintenance investment. Leaky pipes, faulty wiring, a broken fridge at home need fixing. If you have to repair your vehicle to go to work, it only adds to the urgency.
• Daily expenses. Expenses are not always predictable, be it groceries or utility charges. Therefore, your electricity or medical bills may sometimes exceed your planned costs, and you may find yourself saying, “I need money now!
•  Family events. Life is more than worrying about your paycheck. Being close to family on holidays and events is essential to your emotional wellbeing. Small-dollar loans are fast financing options that will help you make your loved ones happy.

How to Qualify for an Online Loan in Texas

To be eligible for a payday loan in the state of Texas, you need to meet the required criteria: 

• Be 18 or older and provide a valid ID to prove it;
• Have *steady source of income. It’s advisable to have had a job for at least three months before applying for a loan. Moreover, some direct payday lenders also require you a minimum monthly wage of at least $1,000;
• Hold an active banking account;
• Provide accurate contact details (home address, phone number, email address);
• Hold US citizenship or have a permanent residence status.

*Having a steady job when applying for payday loans from direct lenders gives you more chances for approval. However, unemployed people with a source of recurring earnings may also qualify. For instance, disabled people on social benefits can try applying for a loan. Single parents with no job but receiving alimony may also have a chance.