Military Payday Loans

Military payday loans are generally small cash advances to qualified military personnel based on a military person's ability to repay. They are usually in the vicinity of $500 or less. To receive this funding, a borrower will give the lender a postdated check for a withdrawal authorization from their own bank account. There is a fee for this type of loan and it is generally in the ten percent range. When a military person receives the cash advance, he or she receives it less the loan fee.

With this type of funding, the lender holds the check or electronic debit authorization for a week or two. This is usually the time frame for the borrower's to pay back payday loans. At that time, the borrower has the option of paying back the cash in exchange for the original check, letting the lender deposit the check in the lender's account, or renewing or rolling over the loan. This process can continue, allowing the loan to extend over a length of time, but the lender is receiving payment for every extension period. Because military personnel receive a steady income and can be easily approved with government identification, military payday loans are easy to access and qualify for. They can be accessed from any part of the world. The Internet provides the ability to apply for and receive quick cash from them. Because of the job status with the armed forces, a loan can generally be extended to those with bad or no credit.

As with any type of debt acquirement, there should be a word of caution. A payday loan can lead to a vicious cycle of borrowing money and paying large fees to do so. Soldiers have been the targets of lenders because of their steady income, inexperience in financial matters (usually young new recruits), the government's assurance that the money will be repaid, and the soldier's current circumstances of low incomes and large responsibilities. Payday loans should be explored only as an emergency option, and not for day to day living.

To find out more about this type of credit, one can search the Internet. There are payday loans that can be applied for over the Internet, and the cash will be electronically e-mailed to the borrower's bank account. The Internet can also reveal more information about the fees associated with this type of loan. Consumers are encouraged to read and discover as much information about military payday loans as possible before making a financial commitment to a lending agency. But our first resource for our financial lives is God. Psalm 24:12 says, "What man is he that feareth the Lord? him shall he teach in the way that he shall choose." God will help us use our money as good stewards in His kingdom. Search Him wisdom to help you become a godly steward of all that you have.