With many new payday loans companies going online, some had to bring forth a new variation to the loan industry and tech stocks. Enter Text Payday Loans. Like most other payday loans, these are generally for small term borrowing and offer little amounts with high APRs.
The basic working mechanism behind a text payday loan is quite simple. Similar to online payday loans, a borrower has to fill out 8 or less pieces of information regarding their age, work related background, expected salary, on an online form, and then send a text message to the lender to get the loan.
With payday loans becoming a fundamental part of the financial landscape across the world. There is no wonder that the advent of smartphones have led to the inception of text payday loans. These mobile payday loans as some like to call have a relatively quick and easy application process. Though different loan companies may have different procedures the general rules to applying for text payday loans are quite similar:
Step 1: Register Online
When applying for fast and convenient text payday loans, it is essential on your behalf that you visit the website of the lender first hand. On the website they would provide you to fill their registration form thus marking you as registered borrower in their database.
Step 2: Meet the Criteria
Text payday loans are accessible to all borrowers who fulfill the following criteria:
- Must be 18 years of age
- Possess a bank account
- Have a regular income
Step 3: Receive the PIN Code
After filling the online form as per requirements and meeting the criteria for eligibility for text payday loans. The next process is to receive a Personal Identification Number (PIN) from your lenders. This PIN code would be provided to you on to your mobile number which you have registered at the lenders website.
Step 4: Send a Text for Your Loan to the Lenders
Once you have received this PIN code you can use it to send text message to you respective lender’s number regarding the amount which you require as a loan. This would be generally received by your lenders reply confirming that your query was well received and now awaits confirmation from your side.
Step 5: Confirmation
Once both the lender and you are reasonably aware of the required amount to be loaned. Your lender will send you a text asking for your confirmation. Again use your smart phone to reply so as to confirm your consent for the required amount along the applicable terms and conditions. This step essentially completes the text payday loans procedure as after this you would be informed about the amount being wired into your bank account in usually 15 minutes.
Apart from the above mentioned, if you are interested in text payday loans, then it’s a must that you always look for lenders with the following attributes:
- Legitimate provider with appropriate accreditation and licenses.
- Should have a good reputation.
- No hidden fees apart from the cost of the loan.