Ontario is the most productive province in Canada. With its resources, manufacturing, and educated workforce, it generates almost 40% of Canada’s GDP. Employees in finance, tech, and vital industries that contribute to their national income. Although this is so, emergency and other unexpected costs incurred can still result in a financial crisis individually. There arises a demand for payday loans through the years.
Online Payday Loans Ontario
Even as Ontorio’s economic performance dominates others’, as reasons for costs are unceasing, payday loans may also increase in its demand through the years as Ontario residents continue to seek financial assistance for different causes.
In Ontario, payday loans have been a beneficial product for them as they use this to cover immediate financial needs, pay bills, and other transactions. The average annual rate of payday loans is 400%. This is when the charge for every $100 borrowed is $15. More so, compared to other provinces that have 14 days or two weeks as its given period, you can get payday loans in Ontario that can last up to 60 days.
The Advantages of Online Payday Loans:
1. Convenience
Going out of the house to a physical store lender can be tedious. Using any device from your home or wherever you are, you can apply for an online payday loan whenever and wherever with just some taps. Also, waiting for approval may just be within minutes or a day.
2. Simplicity
Applying for online payday loans is only as simple as answering a three to the five-minute application form, submitting the documents needed, and waiting for approval. Once approval is granted, you will receive the money in your checking account and is expected by the lender to be paid on your next paycheck.
3. Safety
Legitimate lenders have different security features that they use to keep their clients’ private information protected. Additionally, you won’t have to worry about them losing your file in drawers since after you submit the online application form, it proceeds immediately to the lending networks of the website or
Tips When Applying For Online Payday Loans in Ontario
Applying for online payday loans is as easy as ABCs. However, there are still some precautionary measures and reminders that you need to keep in mind in order to have the best experience and not to encounter any kind of problem in the future.
First, do your research
Basic knowledge about online payday loans is important so you can be efficient and prepared throughout the process. It is important to plan first before availing of the loan. There are certain dos and don’ts in getting an online payday loan for both lender and borrower. For example, a borrower should know how much a lender should charge fees and interests. Moreover, you must be aware of the underlying regulations under the Payday Loans Act, 2008 which helps protect individuals who get online payday loans such as:
- The charge for every $100 should not go above $15
- Your payday loan cannot be rolled over to a second payday loan as it is not allowed to have two payday loans from the same lender
- It is prohibited to sell or offer a good or service in connection with your payday loan
- You are given two business days to cancel your contract in a payday loan without needing to give a reason or being charged a penalty fee.
You can learn more about the laws, rules, and regulations through Consumer Protection Ontario.
Then, weigh all pros and cons
There are still certain risks that you will be exposed to once you avail of payday loans. As mentioned earlier, the annual rate of the loan is 400%. If you are not capable of paying this on your next paycheck, this will be moved to a later date however, additional charges will be imposed on this new date. The more you prolong the date of payment, the greater the charge is.
However, if you deem yourself as able to pay with your next paycheck, you won’t have to worry about anything and the advantages will be the only things you reap from the payday loan.
After deciding on online payday loans, finalize your budget
Given the financial problem that you are faced, you can base your budget on how much you will be needing as a financial solution to this circumstance. It is crucial to keep your budget just within how much you need since you don’t need any extra charges that can, later on, double when unpaid on the given date.
Find the right lender
Finding the right lender is not an easy task. It requires research since you need to find out vital information about different lenders. You can ask your family, relatives, and friends if they can refer you to reliable lenders. It is best if you can find someone you trust that already has experience with online payday loans.
Furthermore, the lender you are to avail of must be registered and licensed. You will know whether the lenders are reputable or not if they have their license posted on their website. You can also verify through a list that can be found on your state’s or attorney general’s website.
Don’t underestimate the word-of-mouth strategy. Look for online reviews and testimonials you can find on the internet about the lenders you are choosing from. It would also be advantageous for you if you have multiple options. That way you can compare and evaluate the lenders based on their credit policy, customers’ feedback on their service, and more.
Prepare the requirements beforehand
The only requirements for an online payday loan are:
- You must be 18 years old and above.
- You must have a valid ID.
- You must have an active bank checking account.
- You must have proof of a steady income source.
Once you have all these, you are ready to get payday loans in Ontario. Just head to the website of the lender that you have chosen, submit an application, wait for the approval, and make sure to evaluate your paying capacity. Your payment will be automatically withdrawn from your account through the bank details you will be providing the lender through the form or an Automated Clearing House authorization.
