Can I Get a Payday Loan if I Am Unemployed?
Traditional lenders like banks tend to reject loan requests if you don’t have a regular job, but there are many direct lenders who are prepared to look at a loan application provided you have some source of regular income.
This may be unemployment benefits, alimony, veterans benefits, social security, and other non-work-related income. Also, lenders who offer payday loans for the unemployed will not be too concerned about credit history and are more focused on your ability to repay the loan.
Such loans can be expensive with high-interest rates and other fees, so you should be really sure you need one before you consider applying for unemployed payday loans
What Are the Benefits of Payday Loans For the Unemployed?
There are a number of benefits of payday loans that make them a good choice for unemployed people. To start with, they are unsecured loans so you don’t need to provide any collateral.
- Payday loans are easy to get approval for, and conveniently the whole process can be done online from your own home.
- Payday lenders recognize your urgent situation so approval is very fast, and the funds are provided as quickly as possible, usually within 24 hours.
- You don’t have to worry about your credit score, payday lenders do not look at that too much, and taking a payday loan does not affect your credit rating in any way.
Can I Get Payday Loans for Unemployment With Bad Credit?
Payday lenders do not usually base loan approval on your credit score, so you can easily find payday loans for the unemployed with bad credit provided you have some other regular income. You need to show that you can repay the loan on time as well as cover your normal monthly living expenses.
Where Can I Find Payday Loans for the Unemployed With Bad Credit?
When you are out of work and you also have a bad credit score you might think it is impossible to get a loan, but you can find plenty of lenders willing to help in an emergency.
Direct Lender for Bad Credit
If you search online for payday loans with bad credit for the unemployed you will find some direct lenders. You then contact them individually and apply on their websites, and wait to hear back. Then you can compare their loan offers and decide what best suits your situation.
Online Loan Broker
A more convenient way is to use an online broker like CocoLoan. You just fill out one simple form on our website and we will quickly find a number of lenders from our extensive network who offer payday loans for the unemployed. You can then compare the various rates and terms and choose the best deal for you.
How Does CocoLoan Compare
|Why Trust CocoLoan?|
|How much can you get?||$50 to $35,000||Zero upfront charges|
|What are the loan terms?||1 - 36 months||Easy repayment|
|Are credit checks needed?||Yes||Mostly soft pulls|
|Are bad credit accepted?||Yes||All credit considered|
|How to apply?||Totally online||Simple and straightforward|
What Are My Alternatives to Unemployed Payday Loans?
Payday loans are good in an emergency but they can be expensive to repay, so you may want to consider other options:
Cash Advance Apps
Cash Advance apps like Dave provide short-term, small-dollar loans to be repaid on your next payday but there are no interest fees or charges. They sometimes have a low monthly fee or ask you for a ‘tip’. Cash Advance apps are cheaper if you just need some extra cash until payday.
Payday Alternative Loans
Payday Alternative Loans (PALs) are loans offered to credit unions for their members, and you usually have to be a member for a reasonable time to get one. You can borrow up to $2,000 and repayment periods are up to 12 months with monthly installments.
Take On a Side Hustle
If you can’t find full-time work you might consider part-time, casual work. For example, if you have a car you can try a food delivery service or Uber. Perhaps look for part-time retail work, or maybe telemarketing, all of which will give you a bit of extra cash.
Small Personal Loans
Personal loans are usually for higher amounts than payday loans and repayment terms are more flexible. However they can be difficult to find when unemployed, and you can also expect the lender to do a full credit check. Interest rates are generally lower than payday loans and although they are not easy to get, there are lenders who will negotiate a loan depending on your ability to repay.
Borrow from Family & Friends
For many people, this is the last option because it can damage a relationship if not paid back as agreed. With such loans, you need to be absolutely clear on the terms of the loan, and make sure it is repaid as soon as possible to avoid any problems with personal relations.