Grand Prairie is located in Texas. The county is Dallas. Total population is 195,651. The median annual income of $67,388. Poverty rate is about 11.31%. Female rate is 51.23%. Male rate is 48.77%. The rate of issued payday loans Grand Prairie, Texas is 54%. 62.7% is the rate of home ownership in this city. 49.8% is overall marriage rate. ZIP codes are 75054, 75052, 75051, 75050.
What are payday loans Grand Prairie, TX?
Payday loans Grand Prairie, Texas are issued by people who do not have collateral to secure a bank loan, or who currently do not have a job or do not have a perfect credit history. The main function of payday lending is to provide financial services to those who are not suitable for standard sources of credit, and helps them achieve a better quality of life.
Payday loans focuse on the potential present, not on the past experience of the person. In situations when classic loans are simply impossible to take out, the expansion of payday lending serves as a vote of confidence in the individual’s ability to completely change his condition and become financially solvent. The basic concept of payday lending options has been successfully used to help countries, for example, recover from natural disasters or cover unexpected responses.
What is the difference between a payday loan Grand Prairie, Texas and a bank loan?
Recently, there has been a trend — when financial problems arise, people address a bank or an MFI to issue a loan or a payday loan.
What is the difference and similarity of these financial products? A microloan and a loan are similar to each other in that they are borrowed funds issued by financial organizations at a certain rate for a definite term.
A loan and a payday loan differ in the following parameters:
- the amount of the loan. Credit offers of banks, as a rule, start from several thousand of dollars. In MFIs, the lower threshold is usually not limited – $100.
- validity term. You can take out a payday loan from 1 day to a month, you can issue it for longer, but very rarely. A bank loan is repaid from several months to several years.
- the interest rate. The rate in payday lending companies is much higher than on bank loans due to the small amount and urgency. And although, in order to attract new customers, many microfinance companies issue the first microloan at a reduced rate.
- documents/certificates for registration. To get a microloan, it is enough to have a passport and TIN with you. To apply for a bank loan, you will need to collect a package of documents. The list of official papers will depend on the type and duration of the loan agreement, the main parameters are credit score and a certificate of income.
- the waiting period for approval. Since a payday loan Grand Prairie is a small amount, issued for a short period, then they will not carefully check the place of work, income and credit history, the check will take no more than 15 minutes. When applying for a loan from a bank, the information will be checked in detail, the decision to issue is made within 1 to 3 working days, but if the amount is very large, the check may be delayed.
Advantages of payday loans
Advantages of the microfinance online service:
- the interest rate on a short-term loan is lower than in a similar MFI with a branch, because there is no need to spend money on renting premises and hiring employees;
- convenient registration, you can fill out an application through any device with the Internet, and the money will be transferred to the card after a while;
- the site’s work schedule is 24 hours a day, 7 days a week;
- offering various promo codes, discounts and participation in loyalty programs.
The main advantage of online services over conventional MFIs is that there is no need to personally visit the office, now, this is very important.
What opportunities does payday lending offer?
A regular bank loan always offers a larger amount of money at a high interest rate and even if you need a small amount, the rest is spent very quickly and in a short time a person finds himself in a rather heavy financial bondage. In the case of payday loans Grand Prairie, TX, you get exactly the amount that you need right now, without the temptation to spend more than planned. In addition to this advantage, a small loan to the card is rich in other benefits for the client:
- it makes it possible to receive a small amount for a short term, while the interest rate remains minimal;
- provides online instant receipt of money to the card;
- a payday loan is issued online, by filling out a ready-made form, such a task takes only a few minutes;
- when making a transaction, you will not be required to provide information about income, the availability of other loans and will not require a bunch of documents, a scan of your ID will be enough;
- while with classic lending, regardless of the loan size, the interest rate is at least 7%, with a quick loan, your interest will be only about 0.1% per day, so you will not have to overpay;
- online lending saves a person from long-term “paper” red tape and long bank queues, you can apply for a payday loan online just being at home.
Why is microfinance profitable?
Banks did not offer loans for such low amounts and in any case refused to lend to people considered insolvent. Then Muhammad Yunus decided to lend money to these small businesses, which, as such, were able to develop their activities and repay the loan.
Thus, microcredit allows you to finance activities that would otherwise be impossible to finance.
It is based on simple systems adapted to local terms. It is an development engine from an economic point of view, as well as from the point of view of society or well-being, especially in the water and sanitation sector, although it is still very often used to help people in difficult situations.
Many leading experts in the field of finance recognize that payday lending has proved to be an effective weapon against poverty and hunger, and in 2005 declared the International Year of Microcredit within the framework of the Millennium Development Goals.