Sometimes, most salaried people are in urgent need of cash to deal with urgent bills. If there is some payment to be made to avoid penalties on late payments, then it is better to borrow some cash than to record a blemish in your credit history. There are, in fact, numerous reasons for borrowing a small amount of money ahead of your next day of getting the salary. Blacklisted loans are specially carved out for such emergencies.
Blacklisted loans are called so for two major reasons. First, these are payday loans that you can borrow until your next payday arrives. So, if you need cash for one or two weeks you can get the money on the same day from the lenders. Secondly, the cash is available to you in an easier manner. You can borrow the cash without involving any hurdles and hassles.
How much can you borrow?
Blacklisted loans are designed to provide cash to the employed people. So, the loan amount depends on the monthly salary of the borrower. A general range of these loans is R500 to R 150000. The lender will examine your documents of monthly paycheque of the last many months and your employment record to assess the risks. If you get a good salary, chances are that you will be approved the cash you need.
Another key feature of blacklisted loans is that it is easily available for the people who have a bad credit history. Such people have many late payments against their names. They also made some payment defaults. Some of these borrowers also have filed for bankruptcy. Banks and big private lenders usually avoid giving new loans to these risky borrowers.
But that is not the case with blacklisted loans lenders. These loans are available to them without any credit checks. This clearly implies that even with your risky credit history and resulted low credit score; you can depend on these loans for meeting your urgent expenses ahead of your next payday.
If you are in a job that pays you monthly salary regularly, you can borrow the loan. The lender will check your employment documents and status before approving your application.
However, the applicant must also be a resident of South Africa. Only adult applicants of above 18 years of age are eligible to borrow cash under the loan.
The loan process
Blacklisted loans are called so because of the easy loan process. It involves no security requirements on the borrower’s end. These are unsecured loans. So, the risks of putting a property at stake are eliminated for the borrower and it makes the borrowing process further easier. Typically, the lender makes some verification of the borrower getting a monthly salary and his or her employment status. This can be verified by having a look at the applicant’s bank statements and pay stubs.
In some traditional retain models, borrowers just visit a small cash loaning store and write a post-dated cheque to the lender. The cheque includes the full amount along with the fee. On the maturity date, which is the borrower’s payday, the lender submits the cheque to the bank to get the blacklisted loans no credit checks amount and interest back.
Today, everything is processed online. The borrower visits the lender’s website and fills the details on an online form and uploads the documents required. The documents can also be faxed to the lender separately later.
If the lender considers the applicant a worthy borrower, an email of the approval of the loan is sent to the borrower. After the borrower gives acceptance of the loan approval, the lender transfers the cash to the borrower’s bank account. Generally, this entire process is completed quickly. The applicant gets the cash in a few hours for the same day use. When it comes to repayment, the lender can electronically withdraw the loan repayable amount on the applicant’s next payday.
Make timely repayment
While blacklisted cash loans online are quickly accessible, make also sure that you repay on the due date and do not delay. These are expensive loans on which the interest charges go higher by many times, making these much expensive than any other unsecured loan.
You must pay off the loan along with interest charges on the payday itself. Any delay will cost you more interest charges and additional penalties. If you continue to delay the payment, it may result in the fee charges going above the principal amount.
We can conclude that blacklisted loans come handy for the employed people who need some cash to pay off bills urgently on the same day. You can borrow the cash with no fuss and hurdles. These loans are typically approved without credit checks from the lenders. You can surely borrow the cash to avoid late payments and penalties.