There are many instances in life when you need to make urgent payments but you find your bank balance to be insufficient. The panic that sets in because of this is very real and many people face it. Left with no option, you are forced to delay the expense and wait till your next paycheck arrives. Unfortunately, this leads to many missed opportunities and uncalled for troubles. Thankfully, these days you get a salary advance loan, which is also known as a payday loan. This is a very short-term loan that you can take to meet the expenses that come up before your monthly salary reaches you. Take a look at this article to know more about the salary advance and how you can use them to your benefit.
How does a salary advance loan work?
A salary advance loan is a short term personal loan that you can take for a few days. You need to clear the loan on or before the day your monthly salary comes in. The loan amount is usually around the same amount as your salary. The lender lends you this amount so that you can clear it as soon as you receive your next paycheck. The advance against salary is available instantly and you can get it online in a paperless manner.
How to apply for an advance salary loan
Here are the steps to follow when you want to apply for such a loan:
- Download the app of a good fintech company
- Click on the “apply” button
- Enter your personal details such as your name, your age, your salary, along with your PAN number
- The lender will instantly display the loan amount you are eligible for
- Choose a suitable loan principal (that is less than or equal to the approved amount)
- Choose an EMI scheme
- Upload a selfie, along with your Aadhar number and the names of both your parents
- Type in the details of your bank account such as the account number and IFSC code
Once you enter these details, the lender will instantly check your eligibility and within minutes you will get to know your loan application status.
Reasons why you may need a salary advance loan
Let us look at a few scenarios when you may require a short term personal loan till your salary arrives:
- For a medical emergency – Medical emergencies come unannounced. Whether it is a cardiac arrest or a road accident, you may find yourself or a loved one admitted in the hospital out of the blue. At times, the treatment costs are very high and you do not have the funds to clear the bills. Ignoring the ailment and waiting till the end of the month is never an option, so you are bound to take care of it at that very moment. At such times, the salary advance loans prove to be tremendously helpful and you get to pay the medical bills in a hassle-free manner.
- Damage to your house – If you wake up one day and find your floor flooded because your roof has started leaking, you cannot leave it unattended. Such home renovation projects need urgent attention and you cannot delay them due to the lack of funds. So rather than waiting till the end of the month, it is a good idea for you to take a short term personal loan against your salary advance and repair your house so that the damage doesn’t worsen and you don’t have to end up paying extra money later on.
- Vehicle breakdowns – Your vehicle, whether it is a car or a bike, take you to work every day. It is the vehicle that you rely on. It saves you the troubles of travelling in public transport and it also helps you to save money and time. Thus, if your vehicle gets damaged or simply breaks down, you cannot afford to leave it like that because you don’t have the money to get it fixed. In such a scenario, all you have to do is apply for a salary advance loan and repair your vehicle at the easiest.
- Education costs – Let us assume your child needs to pay his college admission fee in two days’ time or else he won’t secure admission in that college. Would you still wait till your salary comes in more than three weeks later? Would you risk losing your child’s opportunity of getting the best education? Perhaps not, and this is why you should turn to a salary advance loan in such cases. Urgent education costs are another reason why people opt for the short term personal loans as advance salary.
These are some common unforeseen expenses that come up in all our lives. If you are faced with any such problem and do not have the funds to take care of it, do not hesitate to take a short term personal loan. Pay it off as soon as your salary arrives and your credit score will remain intact.
The bottom line
Getting a personal loan as a salary advance loan is not a difficult job. It is understandable that not everyone has savings. Especially since the expenses are so high, it becomes difficult to have a fixed budget and savings each month. This is the reason why many people struggle to pay off their sudden and unexpected expenses in the middle of the month. But thankfully, with resources such as the salary advance loans, such problems can easily be tackled. Explore the available options and choose a good short term personal loan and meet the financial emergency with ease. There are many good NBFCs that offer these loans nowadays.
