Even though you can read in most payday loans guides that you can borrow a sum up to fifteen hundred dollars, in Alabama the maximum sum you can get via the no fax payday loan is of four hundred dollars. In addition, another difference to what you knew about these loans is that you will need to return that sum within a minimum of six days. On the other hand, similar to what you probably heard about payday loans is that you are allowed to repay the loan in a maximum of thirty-one days. Another difference is that, even though you are charged an interest rate of ten percent, you will need to pay an extra five dollars for the ID card and a check of ten dollars.
Therefore, even though the interest rate seems to be bellow what one should expect to pay for no fax payday loans, if you add up the extra fees you will find out that for each one hundred dollars you borrow you will need to pay 22.22 dollars. Not that cheap as it may seem at first glance is it not? Besides the high interest rates, you are also limited regarding the number of payday loans you can have at a time: you can only have one active payday loan from one location.
Even though you can take out no faxing payday loans for almost a month, it is important to note that you will encounter further inconveniences when you are applying for payday loan in Alabama. Since you are not allowed any rollovers, that means that you will not be able to consolidate or renew your current payday loan. Consequently, you should think carefully about the period of time in which you can return the money in order to avoid paying the astronomical delay fees.
Similar to collection rules across the country, when you are unable to repay the payday loan no fax you took, the sum you borrowed along with the associated applicable fees will go into collections. The good news is that the lender cannot press criminal charges against you if you simply do not have sufficient money to pay off your debt. On the other hand, he can take you to court and win the trial, if you intentionally closed your bank account while the lender was trying to withdraw the money or cash your check.
The strict limitations to obtaining a payday loan in Alabama seem to be the result of authorities trying to discourage people from accumulating more debt. The bad consumer behavior in the state also lead to implementing a regulator institution for the payday loans, where interested people can file complaints and learn more about the mechanism of these loans. The institution is called Arkansas State Board of Collection Agencies and you can find out its contact details by Google-ing its name.
Considering the details of this type of loans in the state of Alabama, your best bet is to apply for no fax payday loans direct lenders when you are in a tight situation or you simply have a very low credit score. Even though they are quite simple to get, as the requirements are the same as for the rest of the country, you should think twice and check your options carefully before you apply. In case you have a history of poor money management and are already struggling to pay off you other loans, then the 22.22 dollars interest rest should make you see the payday loans as your last option.