Next Day Loans
Next Day Loan Versus a Credit Card
You can apply for a next day loan or a credit card loan to meet your short-term cash requirements but keep in mind there is a basic difference between them.
As a general rule, the terms and conditions associated with a credit card loan are more stringent than the next day loan.
If you apply for a credit card cash advance you would need to wait for a few days before the cash advance feature is activated. This also includes waiting time for a PIN. Moreover, you would also have to pay an additional fee for the first cash advance.
There are some basic criteria that have to be fulfilled for applying for a credit card advance. Apart from these, each bank has its own rules and regulations also. If you wish to avail a credit card advance to finance your commitments, you should first contact the issuing bank to know the terms and conditions before sending in your application.
If you apply for a next day loan, you will get the amount within 24 hours, provided you meet the eligibility criteria and your application is accepted by the lending body. Unlike the credit card loans, you do not have to provide any documents or fill up lengthy and complicated application forms. A next day loan requires minimum paperwork. You just have to provide proof of your employment and salary status, your active bank account as also that you are a citizen of the UK (England, Scotland, Wales, or Northern Ireland). So in case of next day loan, there are no documents that you need to fax.
Payday loans charge higher rates of interest than credit card advances. But the way credit card companies structure the repayment options, it is really difficult to know how much interest they are actually charging. For your credit card, you will receive a monthly bill with a demand for a minimum payment. A majority of the payment will be to pay off the interest for that month. The next month the credit card will charge additional interest and this will continue till you finally pay off your loan. So more likely, the total amount you pay in the form of interest may be considerably higher. Compare this to the next day loan and you just need to pay a flat fee. There are no hidden charges and you have a clear cut idea of what you are paying.