Loans given to people who are very low on the credit rating scale are known as a High Risk Personal Loans.
When a loan is given to a person who was either bad credit or no credit at all, the loan is considered high risk. It is called "high risk" because people who have bad credit may have had financial problems such as not paying bills on time, maxed out credit cards, or owe too much money based on their income. The company providing the loan is taking a risk by giving the loan, and these companies refer to these loans as "high risk loan payday loans."
In today's economy, you would be hard pressed to find major banks willing to loan you money, even with excellent credit. Imagine them, these same banks agreeing to loan you money if you have bad credit or no credit at all!
Since most major financial institutions that lend money are actually borrowers themselves, they just cannot afford to lose money accepting applications from bad risk individuals. This is why the banking industry is making it more difficult to obtain loans. They must have enough cash on hand to operate. If they give out "high risk loans," there is no assurance they will receive payments in a timely fashion or, for that matter, at all.
The Reason Why We Take the Risk
Internet Cash Advance, on the other hand, is not too concerned about giving out such high risk loans because we believe in our customers. We do no think that lending money to customers who are considred a "bad risk" poses a bad risk for us.
Providing loans to people with bad credit is our specialty. When someone who has a bad credit rating approaches us, we do not conduct any extensive interviews and paperwork. Credit checks are also not performed and, as a result, we are able to save the money and time that would have been lost during the course of the processing of the loan application.
We believe in the repaying ability of most of the so called "high risk" customers, and believe they would be able to repay the loan in the specified time if they receive the financial support at the exact time they need it.
High risk loans are provided by us because we can do it. We believe that all people are entitled to financial help when they need it. That is why we also offer loans to people with a good credit history. Since our overhead is quite low, the time and money that is associated with the loan application processing minimal.
Even thought the finance charge on a payday loan is quite high compared to other loans, it is nothing compared to what you might have had to pay in the form of late fees and penalties on traditional loans.
Therefore, you have nothing to worry about and should not be hesitant to apply for a PayDay loan at Internet Cash Advance.