Advantages of Payday Loans in Colorado
If you’re facing a financial emergency, you may be considering a payday loan. Payday loans are loans that lenders give for a short term till you receive the next paycheck. The amount however varies from $30 to $2,500, depending on a state. Colorado law regulates such loans which can be obtained online or through storefront lenders.
Five quick facts about payday loans in Colorado
- Maximum loan amount: $500
- Minimum loan term: 6 months
- Maximum loan term: None
- Maximum APR: 45%
- Rollovers: You are permitted 1 rollover.
There is no limit on the number of loans borrowed as long as the combined total doesn’t exceed $500. If you pay off your loan early, your lender must refund you a pro-rated amount of interest based on the remaining term of your loan.
Reasons to Get a Colorado Payday Loan
- In the case when a bank has refused to give a loan, one can obtain a quick loan for a short-term period to cover your mortgage or rent.
- To manage everyday expenses and other consumer requirements.
- Fulfilling the requirement of covering credit card debt.
- You need to satisfy a debt that can cost you a lot if you miss it facing possible penalties.
What fees will I have to pay?
Finance charges: A lender can’t charge more than 20% for the first $300 borrowed. They may charge an additional 7.5% per $100 for any amount over $300.
Maintenance fees: The maintenance fee can’t exceed more than $7.50 per $100 loaned, up to a maximum of $30 per month the loan is outstanding.
Non-sufficient funds (NSF) fees: Lenders can charge $25.
Collection fees: If you fail to repay your loan, a lender can charge you the full amount of the loan and attorney fees if the default is brought to court.
Benefits of Colorado Payday Loans
- One can receive cash fast.
- One is free to spend the money on whatever he/she deems fit.
- One can get cash loans in Colorado without a check on the credit score.
- Payday loans are easy to obtain.
How can I apply for short-term loan?
If you’re interested in applying for a short-term loan in Colorado, you’ll need to meet the following eligbility criteria:
- Be at least 18 years old
- Be a US citizen or a permanent resident
- Have a regular source of income
To complete your application successfully, prepare to submit some basic information:
- Personal details, such as your name, date of birth, Social Security number and a valid form of ID
- Contact details, such as your residential address, email address and phone number
- Details about your employment and income
To obtain the loan in Colorado, one needs to be a legal resident of the state. Bad credit is not a problem. However one needs a stable income of more than $1000 per month. You must also not be a debtor in a bankruptcy. One can also exercise the right to rescind (cancel) a payday loan before 5 p.m the next business day after the loan transaction has taken place.