The short answer is—yes. The lengthier answer would be—it depends on the type of cash advance you’re considering. Suppose you’ve started shopping around for a cash advance. In that case, you may have already discovered that this term applies to several financial products. So if you’ve recently been wondering, “can I get a cash advance without a job?” then you’ve come to the right place.
Read on to learn more about the different types that lenders offer, how they work, and what to watch out for if you’re shopping for one.
The 3 Types of Cash Advances
If you’ve ever been in the market for a personal loan, then you’ve no doubt thought of applying for cash advance loans. But do they work? Are they safe and affordable? And if so, which kind is suitable for your specific financial circumstances?
Here are a few of the financial products that you may hear described as “cash advances:”
Credit Card Cash Advances
If you already have a credit card, you won’t need a job to get a credit card cash advance.
A credit card cash advance is a common practice for many credit cardholders. It means using your credit card to withdraw cash. This can be done through an ATM or online by transferring funds from your credit account to your checking account.
The odds are that if you have a credit card, you can use a credit card cash advance. But there are a few things to keep in mind before using one.
First, you may encounter higher APRs than you would for regular credit card purchases. Another thing to consider is the lack of a grace period. No grace period means the interest will accrue immediately. These are essential factors to remember when considering this product.
Payday Loan Cash Advance
“Payday loan cash advance” is a term that some lenders will use instead of just “payday loan.” You might be able to qualify for one without a job, depending on the lender. But should you?
These are short-term, high-cost loans that many borrowers use to stretch their funds to their next payday. They tend to come with very high interest rates (some as high as 400% or more) and very short repayment periods.
The high rates coupled with short repayment periods make these loans very difficult to repay on time. Many borrowers have to extend their loan to a new term, which is called rollover. Payday loan rollover creates more interest and fees for the borrower, making the loan even more difficult to repay.
Employer Cash Advance
This is one that you can’t get without already having a job.
An employer cash advance is when the company you work for allows you to get paid in advance for work you will do in the future. This is considered a short-term solution to get quick cash when you’re in need. But be careful; it can also create a financial hole that’s difficult to escape.
If you take a cash advance from your employer, it means that you have to work off that amount later. And while it may come with advantages like no interest or fees, it can end up causing you to need another advance later.
Think carefully about exploring this option, as it could potentially affect your relationship with your employer.
How a Cash Advance Personal Loan Works
How your personal loan works will depend on what kind you choose. Several lenders may describe their loans as cash advances. The most common cash advance personal loan would be a payday loan. As mentioned above, these are very risky options, so it’s crucial to know how they work and how to avoid them.
Many payday lenders offer online options, but some may require you to apply in person. Regardless, the process will be similar, whether online or in person.
- First, you’ll fill out an application and provide personal and financial information. Knowing what personal loan documentation you need ahead of time will help.
- The lender will review your information and application and determine whether they can offer you a loan.
- If they offer you a loan, you’ll want to review the terms, rates, and loan agreement. If you agree to take the loan, you’ll need to sign for it.
- They will then give you cash or deposit the money into your bank account.
- You can then use the cash however you like, and payments will begin on a date specified in the agreement.
- Once you repay the entire loan and interest/fees, the loan agreement has been fulfilled.
You’ll likely encounter a similar process whether you’re applying for a payday loan cash advance, a mortgage, or an online personal installment loan. While we always recommend thinking twice about taking out a payday loan cash advance, there are a couple of things to remember if you have to:
- Thoroughly review the loan agreement, the annual percentage rate, and all fees and conditions.
- Carefully research the lender, read reviews from past customers, and call to ask questions.
- Make sure you explore all of your alternatives to get the quick cash you need.
Loans for Unemployed Borrowers
If you’re unemployed and can’t pay your bills, you may be wondering how to make ends meet. Getting a personal loan without a job will not be an easy process. Many lenders will want to see that a borrower has a regular income. This is how they can reduce the risk of a borrower defaulting on a loan. Having a stable income shows the lender that you are more likely to meet your financial obligations.
Many borrowers who don’t have a job and need a personal loan will turn to payday loans. This is because many payday loans won’t require you to have a regular income. That’s because payday lenders end up making a lot of money through late fees and rollover.
And although payday loans might seem like a good option, getting a personal loan like a payday loan without a job is very risky.
Can You Get a Loan Without a Job?
So the short answer to this question is—yes, it is possible. Some lenders may be willing to work with you without proving you have a steady income. But you must think through this choice carefully. Quick solutions like payday loans could end up causing more harm in the long run.
A credit card cash advance without a job would be a safer option. It’s also an easier way to get quick cash without having to worry about predatory APRs and short repayment periods. It may be difficult to avoid payday loans if you need 100 dollars now, but we always recommend exploring other options.
The Bottom Line
Having no job or a low credit score will make getting a loan difficult. The best thing you can do is focus on finding a job quickly. Many lenders will require you to have steady income, and you may need direct deposit to get a quick cash loan. Getting a job and having a regular income will help you get better loan options in the future.