Payday loans have a bad reputation and movies have seen them associated with shady figures extending cash advances to desperate people to help them out of a fix. The payback in this Hollywood context is usually to menacing loan sharks coming to collect with some force.

But nothing is further from the truth with modern payday loans and many reputable lending institutions are prepared to help you with minimal hassle and fuss. They are a good option for sourcing emergency cash for those with bad credit records or a poor credit score.

There are a few myths about payday loans that prevent those in need from even considering them as an option. So here are a few facts to bust those myths about payday loans:

Myth 1: My reason for a payday loan isn’t good enough

The fact is the folks you’re asking to lend you money won’t be asking what you want it for. Nope, you don’t need to give them a reason, and there is no requirement under any consumer laws for you to state why you need a loan. What you do with the cash is your business, whether you’re using it for Christmas shopping, a holiday, urgent dental work, car repairs or spending it on groceries. No one is going to judge you on the other side of your application.

Myth 2: I won’t get it because I can’t pay it back by the next payday

You can extend a payday loan and pay it back the payday after next. If you negotiate the payback terms, it will usually cost you extra, but it can be done. But do try to pay the debt back as soon as you can and don’t consider a payday loan if you’re already in a big debt hole.

Myth 3: I’ll never get a payday loan because of my bad credit record.

You’re wrong. Most lending institutions offering payday loans won’t carry out a credit check, and if they do so, it will be only to determine your fee and the rate by which you pay them back. Remember, if you had a good credit score there would be other products on offer to you, and you wouldn’t have to consider a payday loan.

Myth 4: I don’t own assets.

This doesn’t matter because your monthly wage acts as your security. If you fail to pay the lender can apply for a court order to ensure your employer pays them before they pay you.

But what you do need to qualify for a payday loan is a permanent job and an active bank account that your salary is paid into. Also, your loan will be paid into your bank account so having one is a prerequisite.

Look for responsible financial institutions that are affiliated with member organisations and comply with government credit regulators during your research. An example of such a lenders are lender who offer emergency loans for people with bad credit records or a poor credit score.

The internet is the best place to search, and most good lending institutions will state their credentials and track records on their websites. They will even feature testimonials from satisfied customers.

The lender will list its criteria and would want to know that you’re in permanent employ and earn a set amount of cash per week.

To qualify for a payday loan from most lenders, the criteria will require that the applicant is at least 18 years of age, lives in the country where they do business, and has an active bank account where funds are regularly transferred electronically, among other. You will also be required to provide some form of ID as part of your application.

Responsible lenders will remind you that if you already have debt, then you shouldn’t be adding to your burden by applying for a payday loan. They advise you to rather turn to debt counselors for assistance than to opt for an unsecured loan like a payday loan.

Remember, the person arranging your loan is not there to judge you so don’t worry about them digging into your files and exposing your credit history. You will also be able to negotiate more flexible repayment options or extend the due date if you encounter any problems while repaying.

As long you bear in mind that extending the terms of a payday loan will cost you extra in fees. Also, bear in mind that a payday loan is going to have a higher interest rate than a secured loan.

Use a service to get quotes from four reputable lenders within minutes, you can have cash in your account within an hour by simply completing an online application form and providing the documents required to meet the lender’s criteria.

Author Bio:
David Giltner is a Senior Content Marketing Specialist. His long experience as a blogger made him an expert on different niches like technology, finances and home improvement.