Credit Cards Point

They believe  that tough  times call for tough  measures, and that might have a lot to do with the fact that many of the dearest  fast cash loans are becoming more popular. Payday advances and  Log book loans are two of the loans that we turn to when we require  quick credit, but what are they and are they a good idea  ?

Fast cash advances

The cash advance is a credit product that  allows you to get access to cash with very short notice and without any hassle . You generally have to repay the loan the next time you get a paycheck from your job which means that they are meant for very short term financial emergencies.

The  best bit about  the  payday cash advance is that they are so easy to get approval for . The only stipulations are that you are at least 18 years old , are in full employment , and you have a current  account that you can use to pay of your debt on the due date at the end of the month.

While this could sound great, you have to be aware that they have have prohibitive interest rates  which means you are paying back a lot more than you borrow . On top of that you should be aware that the company will charge high fees  if you fail to settle your debt on time.

Logbook Loans

The other option is to get a logbook loan which is quite similar to the previous product , but this is a secured loan that  uses your car as collateral for the cash . This means that the lender has an insurance policy against the possibility that you might fail to repay the loan. Considering this  the lender can afford to lend you more cash because they know that if you fail to make repayments they can take your car off you and sell it to make up for their losses .

Log book loans  are also available in larger sums than  cash advances  and you get a much longer time over which to pay them back . They have the same downsides in that they have  massive  interest rates, and big charges which can make them much more expensive than you might expect . Of course you also have the problem that you could lose  your car  if you get into even more money  trouble before the lender has got their money back .

At the end of the day  both these products are better avoided if at all possible. Only use them if you have absolutely no other option, and ensure that you pay them back on the date that is agreed.