Washington DC Payday loans

A payday loan can be a good way to resolve a financial issue if - and only if - you get to repay it quickly with your next paycheck. When it comes to Washington DC payday loans, there are a few things that you need to know when it comes to the legality of it all and the repayment strategy  prior to signing the dotted line that will increase your chances of succeeding.     Here is our guide on how to best utilize Washington DC payday loans  

Are Washington DC payday loans legal?

Washington DC payday loans are not legal because of their interest rates are too high to qualify within the local legal framework.   In practice there is an Annual Percentage Rate cap which is 24% for all small loans. This is much lower than what payday loans customarily charge across the world and hence why companies will not operate Washington DC loans.

Washington DC loan options

It is true that you cannot get payday loans in Washington DC but that does not mean there aren't any other means to get money (in small amounts) quickly.  

• Personal loan There are many types of Washington DC personal loans such as secured loans, debt consolidation loans and peer to peer loans. There are also home equity loans you can talk about with your bank.
• Credit cards Look into a credit card - even if you have bad credit - as these are available with low introductory interest and can help you offset your financial problem.
• Installment loans These are long term versions of payday loans, in other words, they can have really high APRs and you should be careful and really think it through
• Balance transfers This is basically a transfers to a debt into a credit card with a lower interest rate. This can be very helpful.
• Tribal loans Even with Washington DC payday loans being illegal you can still get a payday loan from a tribal lender which is able to offer the loan because they are in sovereign land. Consider Blue Trust Loans.

Washington DC installment loans

This is a type of loan that is like a payday loan but the repayment terms span a longer time period. In other word, you don't repay on your next paycheck, but actually repay in multiple weeks or months. If you have can show you have the ability to pay, some loan companies will lend the money even if your credit isn't that great. Remember, interest rates are high.   OPTIONS  

What to do if I cannot get approved to a Washington DC loan or credit line

There are other options out there since short term loans aren't a possibility in Washington DC  

• Borrow from friends As we have talked about before it is a good idea to before considering a Washington DC loan try to ask friends or family for money
• Community organizations There are plenty of coops and credit unions that help out those in need in communities across the country
• Talk to creditors Arrange to extend your current payments and see if you can defer those until you get your finances in order
• Local social services It is possible to get assistance with the cost of utility bills, food and housing from public service systems
• Side work Perhaps try get a side job being an Uber driver?

 

Costs of Washington DC loans

There will always be costs with any loan and you will pay more than the amount borrowed in fees and interest rates. The APR is the annual percentage rate which is the most accurate way to depict the true cost of a loan.  There could also be a fees such as what you pay if you promise to pay and your check bounces, which is called the NSF - Non-sufficient funds fees.