Paycheck advance apps are used by some people who are short on cash between paychecks. These apps are a great option, but they are costly. They can also make your finances more complicated — paycheck to paycheck. Even a minor issue can throw your plans into disarray.
If you do not have any emergency funds on hand, even a minor inconvenience like a flat tire can throw off your budget. Taking out a payday loan or using a credit card to cover a two-week gap between paychecks may be an option if you do not have enough money to cover the costs. Those solutions, however, will lead to long-term financial woes that could spiral out of control if interest rates continue to rise.
To address your short-term liquidity concerns, you will need to find an alternative solution. A perfect world would not necessitate you to take a chunk of your paycheck out of your bank account early to pay for groceries.
Many Americans, however, scrape by paycheck to paycheck and may require a backup plan in case of an emergency. Fortunately, many apps can assist you, and you may be able to get more out of your money if you look at these options.
Top 4 Cash Advance Platforms Till Your Payday
- Earnin: Best Paycheck Advance App That Will Cover You Till Payday
- Dave: Best For Low Fees and Small Advances
- Brigit: Best For Instant Cash Advance
- MoneyLion: Best Same Day Cash Advance App
#1. Earnin: Overall Best Paycheck Advance App That Will Cover You Till Payday
Using your next paycheck as collateral, Earnin is an app that allows you to get money on the same day. Amounts borrowed are automatically deducted from your checking account on payday.
A direct deposit to a checking account must be set up through your employer, and you must either work at the same location every day or use online timesheets to keep track of your hours to use the app.
At least $4 an hour after taxes and other deductions are taken out of your paycheck. But, Earnin’s calculation excludes unemployment, supplemental security income, and disability benefits. Payroll data from a single employer and your work schedule are input into Earnin to determine your take-home pay. There is currently no way to include additional income such as commissions, tips, or a side job in your earnings. Earnin has a partnership with Uber that allows drivers to use the Earnin app, a notable exception.
When you use the Earnin app to borrow money, you will not be charged any interest or fees, according to Earnin. The company encourages users to “tip” an amount they feel is appropriate for their service use. However, the app can be used without leaving any tips.
When it comes to maintaining track of your bank account balance, there is a risk of overdrawing, resulting in hefty fees. A feature in Earnin called the Balance Shield can guard you against this. If your checking account balance falls below $100, the balance shield app will automatically transfer a $100 loan to your account.
To participate in Earnin’s Cashback Rewards program, you must first create an Earnin account. When you make a qualified purchase from a participating merchant, you will be able to get cashback. The merchant determines the cashback percentage, and the maximum cashback per transaction is $250.
- No interest
- Amount of your “tip” is up to you
- Prevent overdrafts with this tool
- Rewards customers with a cash-back incentive
- No requirement to run a credit check
- Inaccessible to the majority of potential buyers
The Earnin app may be a good option if you frequently need money before your next paycheck and meet the app’s eligibility criteria. Using this service can avoid the high interest and fees associated with payday loans. Tip money, however, is a serious financial drain. If viewed as an annual percentage rate (APR), they could result in exorbitant rates.
As a result, those who frequently use Earnin should assess their financial situation and take steps to strengthen it before relying on the app as a long-term source of funding. To borrow thousands of dollars for an expensive emergency expense, such as a large medical bill or a car repair, Earnin’s low maximum loan limits prevent you from using the app.
#2. Dave: Best For Low Fees and Small Advances
Dave can alleviate the burden of high overdraft fees. The app will check for impending overdrafts when you link your bank account to Dave. With Dave’s warning, you will be able to move money around to avoid an overdraft charge. Using information from your checking account, Dave will be able to determine when you will be paid and when your automatic bill payments are scheduled to occur.
Dave can lend you a small amount of money if you do not have enough, and as soon as your next paycheck is deposited, you will be expected to repay this interest-free loan. Moreover, Dave can assist you in finding a side hustle and helping you pay your bills until payday. To avoid a short-term loan from Dave, you may be able to find a side job. Instead, you will be able to supplement your revenue until your next paycheck arrives by working a side gig.
Using Dave will only cost you one dollar a month if you are interested in trying it out. However, if you would like, you can give a tip to Dave. The Dave Banking digital-only deposit account is another option.
No minimum deposit or overdraft fees are required to open a checking account with Dave. Direct deposit and access to 32,000 ATMs are also included in the package. Interest free cash advances are only available if you set up a direct deposit.
If Dave detects that you are about to overdraw your bank account, it will notify you via email or text. Overdraft fees are waived for Dave banking customers, and reward points can be used to get a free Dave membership. Dave has partnered with many companies that allow you to earn points by making certain purchases.
- Helps to avoid overdraft fees by preventing them
- Create a customized financial plan
- Dave’s Side Hustle service can assist in finding additional work
- Manual or automatic payment methods available
- No late fees
- Only $100 can be borrowed at a time
You can keep tabs on your monthly spending and avoid incurring overdraft fees using Dave. With Dave, the average user can save up to $500, making it a useful app to check out. If you only save yourself from paying one NSF fee a year, the small monthly fee for using the service quickly pays for itself.
To avoid overdraft fees or keep an eye on your checking account balance, give Dave a call. When it comes to free cash advances, this user-friendly app could be the answer to saving hundreds of dollars annually.
#3. Brigit: Best For Instant Cash Advance
One of Brigit’s features is getting cash advances in between paychecks. However, you must have a checking account that has been active for at least 60 days to work with Brigit. A positive balance and a record of at least three direct deposits from your employer are also required for the checking account. You will be able to request a cash advance on your upcoming paycheck once your account is set up. Depending on your earnings, you may be eligible for a cash advance of $250.
Using Brigit, you can get a short-term loan transferred to your account whenever you are close to overdrawing. Additionally, Brigit, like Dave, can assist you in locating a side hustle to supplement your income in times of need.
Although Brigit’s basic membership is free, you will not be able to use all of the site’s features. With Brigit Plus, you will be able to apply for cash advances whenever and wherever you need them at $9.99 per month.
Brigit’s best feature is the advance on your next paycheck. Paycheck advances can be used to buy things you need or to pay for unexpected expenses, but their core purpose is to avoid overdraft fees.
A growing number of personal finance resources can now be found online thanks to the rise of mobile banking, and one such example is Brigit. You do not have to consult a brick-and-mortar location to get the money you need. With Brigit, you can get a cash loan from the convenience of your own home.
- Overdraft protection provided automatically
- Track your spending
- Credit monitoring service available
- Simple to extend the repayment deadline
- No support for irregular pay schedules
Using Brigit, a personal finance app, you can get advice and tips on how to improve your financial situation. Although a free version is available, the most advanced features are only available to premium members at $9.99 per month.
Premium members have access to credit monitoring, identity theft insurance, and the ability to make immediate deposits to cover expenses and avoid overdraft charges.
#4. MoneyLion: Best Same Day Cash Advance App
For $500, MoneyLion, a leading mobile finance platform, offers a fixed APR of 5.99% and a minimum loan duration of one year. If an investment or savings account secures the loan, even those with poor credit can get a 5.99% APR.
Remember that MoneyLion’s loans are only accessible to Plus subscribers. In exchange for just $29 a month, you will get a no-fee checking account, free investing, and 0% APR cash advances. Credit monitoring and fee-free access to 55,000 ATMs are also included in your membership. Lincoln Savings Bank holds all banking funds, which are FDIC-insured to a maximum of $250,000.
Moreover, MoneyLion gives you $1 in cashback for logging into the mobile app each day. Your entire membership fee will be reimbursed if you swipe through every card on the MoneyLion app every day. However, keep in mind that you must make a monthly investment of at least $50.
Also, you do not have to reapply for a loan as a Plus member. The company will automatically re-deposit funds into your checking account because your information has already been verified. In addition, there are no origination or early repayment fees, and your monthly payment is always the same because the APR and installments are fixed. Your borrowing limit will also rise if you increase your savings and build your credit history.
MoneyLion’s website and app are both encrypted, and their site and database are constantly monitored for any threats. The MoneyLion app can also lock a stolen card and provide real-time transaction alerts.
MoneyLion adheres to stringent privacy and security policies, so you can rest assured your personal information is safe and secure. FDIC insurance covers your MoneyLion checking account and debit card.
Additionally, MoneyLion has recently added support for cryptocurrency to its list of services to provide. Right now, only Bitcoin and Ethereum transactions are supported by MoneyLion, but these cryptocurrencies can also be invested by setting up debit card round-ups.
MoneyLion’s crypto trades are routed through Zero Hash. However, Zero Hash will charge a spread on each transaction, but there is no set schedule. Before making a purchase, check the current exchange rate on your order confirmation page.
- Features and rewards of cryptocurrencies
- Digital personal financial services that are fully integrated
- There are no account minimums, and the few fees charged are relatively low-cost
- Investment portfolios that can be customized
- Useful services such as 0% APR cash advances and credit builder loans
- Neither a personal nor a professional financial planner is employed
Despite MoneyLion’s reputation, we do not recommend borrowing money. If you want to make more money, you should start a business and increase your income by creating a digital asset.
You do not have to worry about your credit score or personal credit when buying a digital asset. You do not even need to talk to lenders about a high credit limit because your business expenses are low.
Factors You Should Consider While Choosing Payday Advance Apps
Before applying for an instant loan, make sure you have the money you need and the ability to pay it back. Take advantage of your savings, sell your investment, or ask for a loan from friends and family instead of getting a loan. If you decide to take out a short-term loan, make sure you can afford to repay it in the months ahead. High-interest rates can make instant loans a trap.
Rate of Interest
There are instant loan interest rates that range from 12.5% to as high as 72.5% per year, depending on which app you use. The interest rate is extremely high, and if you fail to pay, the interest is added to your bill. Look for short-term loans with low-interest rates that you can afford to repay.
Repayment terms range from 60 days to 5 years. Due to high repayment amounts, few apps offer a short pay period that is easy to manage. Your monthly budget will not be affected by the length of your repayment period.
Loan App Ratings
The app’s ratings and reviews can reveal a lot about the app’s current users’ experiences. They have a better user experience, application process, and loan management features than the most popular loan apps.
Processing Fees & Other Charges
A fee of between 1% and 6% of the loan amount goes into processing instant loans. The processing fee or other fees, such as sign-up or service fees, should be reduced when using instant loan apps.
Tips for Interest-Free Advances
Although stopping the paycheck-to-paycheck cycle merits a separate post, there are a few things you can do right now that are more critical:
Get on a Strict Budget
First and foremost, if you are always short on cash, you need to get on a strict budget. That means you will have to stick to a strict budget for each category. Try the cash envelope system if you have had trouble budgeting in the past.
Focus on Ruthlessly Cutting Your (Big) Expenses
To save money, you need to focus on larger expenditures where you can find substantial savings rather than just clipping coupons. One of the excellent apps for finding and eliminating expenses is Earnin or Dave. You can lower your monthly bills by canceling subscriptions that you are not using or cannot afford.
Consolidate Your Debt to Save Money
A personal loan to consolidate debt may be an option if your credit score is high enough. It is probable to save a lot of money by getting a lower interest rate on a loan than you currently have on your debt.
Learn How to Make More Money
Once you have cut all of your expenses to a manageable level, you will need to find a way to supplement your income. A good starting point is your regular job, which is your primary source of income. In your current company or a new one, you can ask for a pay increase, work more hours, or look for a better-paying job than the one you are in right now.
Alternatives to Instant Cash Advance
Call Your Company
If you owe money to a credit card company, a utility company, or another entity, contact that company to learn about your options. You may be eligible for a hardship plan that lowers your monthly payments and interest charges. Some utilities will allow you to pay half of your bill now and the rest in two weeks or the next month if you have a good reason. So, you may not have to take out a loan.
Home Equity Line of Credit
HELOC stands for a home equity line of credit, and it is a way to borrow money against the equity in your house to pay for a variety of expenses. You can use a credit card or a check to pay for your purchases during a ‘draw period’ if you apply for a loan of this type.
If you use some of that money, you will be responsible for making payments on the balance until the draw period is up. Depending on the terms of your HELOC, you may be required to repay any remaining balance over time or in one lump sum once the term of your HELOC expires.
Do you have some spare time? It is time to start moonlighting in a skill you excel at. You can make money in many ways, from delivering pizzas to making and selling your handicrafts to working as a freelance writer, artist, or videographer. You might be exhausted after a long day at your primary job, but it is better than constantly receiving debt collection phone calls.
Family and Friends
To avoid hurting a close friend or family member, you should proceed with caution in this situation. Get it in writing and stick to the terms, including due dates, interest rates, and payment amounts.
Act as if you are dealing with a bank when dealing with this. Your loved one may be a good source of income if you work to pay off your debt by providing childcare, labor, or some other service.
Some employers may be able to do this, but it is not universal. You may be able to get a payday loan from your bank account. Again, this will vary by employer, but it is worth asking to see what they can do for you.
It is possible to get a personal loan from a bank or a lender for various reasons. To put it another way, personal loans are versatile and can be used for a wide range of purposes, provided the loan amount is sufficient. Personal loans can be used for different purposes, including debt consolidation, travel, auto financing, and even financing another debt. Since personal loans are a type of installment loan, you will have to pay them back monthly or biweekly. As a result, the amount you pay each month is a combination of principal and interest.
FAQs: Lenders Offering Paycheck Advances
Q1. What is the minimum credit score needed to get a loan?
To determine your eligibility, lenders look at a variety of factors and your credit score. In other words, you may have excellent credit but a mountain of debt. Potential loan applicants will be turned down by lenders who believe that their incomes are not sufficient for repaying a new debt.
A person with a low credit score, on the other hand, may have few or no debts. Lenders are more likely to approve a loan application with a higher interest rate or origination fee if the borrower has a regular monthly income that can cover the loan repayment.
In addition to your credit score, banks may look at your work history. You have a good thing going if you have been working at the same place for a long time and have not changed jobs a lot. It means that your income is consistent, and there are no gaps in your paychecks.
Q2. When should you use cash advance apps?
Cash advance apps allow you to get your money sooner if you need it to pay your bills or cover other urgent expenses. They can help you avoid overdraft fees and other banking charges in a pinch. The best time to take out a cash advance is when a borrower has good spending habits, usually has enough money to cover their expenses, and is confident that they will be able to pay back the withdrawal plus any fees or interest.
If you can prevent it, it is best not to rely on cash advances regularly. Payday loans and cash advances can range from free to 700% annual percentage rates (APRs). Recurring fees can be difficult to pay back and recover from. But, a financial professional can help you find alternatives to cash advances and improve your financial situation if you feel you rely on them.
Q3. How do check advances work?
Small, short-term, unsecured loans such as a check advance are typically repaid by their next payday. Short-term loans are commonly referred to as check advance loans, payday loans, cash advances, and short-term loans.
A lender will look at your proof of income, typically a pay stub, and your state identification to determine if you qualify for a loan. The money you borrow is due on your next payday, or in some cases, up to three months in the future. Depending on how much money you borrow and state regulations, lenders typically charge a fee of $15 per $100 borrowed.
Q4. How do you get a payday advance?
Payday loans can be obtained in various ways, including online, through mobile apps, and at physical locations. You will be questioned to provide documentation of your income bank statements and possibly access your checking account as part of the application process.
Payday loan lenders want to know that you have a steady source of income, a healthy bank account, and good spending habits. Payday lenders use your personal and financial information to determine what services are available to you and discuss repayment options, fees, and interest rates.
Q5. Is a personal loan better than a cash advance?
Your earning potential to pay back a loan will determine how much money you need and how quickly you can get it. You can apply for a loan of up to $500 from the cash advance apps on this list, with repayment due on your next payday.
These are not big loans, but they will help you get by until your next paycheck arrives. There are no fees or minimal fees associated with these loans, in contrast to other high-interest cash advance loans. Moreover, they do not require a credit check to be approved.
A personal loan is the best choice for larger loans or getting more time to pay off your debt. With a personal loan, you can borrow up to $10,000 and have up to 72 months (6 years) to pay it back. Loan amounts and lenders have an impact on your monthly payment.
One of the benefits of a personal loan is that your lender will report your monthly payment and your loan amount to at least one credit bureau. Credit scores can be improved by making on-time loan payments each month. As a general rule, credit bureaus do not report payments on cash advance loans.
Q6. What is a cash advance app?
If you have a computer or mobile device, you can use a cash advance app to apply for a loan. You can apply for either short-term cash advances or personal loans according to the service you choose. If you are looking for a personal loan, you can apply for one at any of the online loan networks listed above. Requesting a loan will not affect your credit score and may lead to various loan offers.
With a personal loan, you can spread out the cost of repaying your debt. Instead, a cash advance will deduct the entire loan amount from your bank account on your next payday. The cash advance apps on this list have a maximum borrowing limit of $500. Cash advance apps require you to maintain a bank account and receive direct deposits, which is not ideal if you do not want to change banks.
Q7. Is it safe to use a quick loan app?
Unjustified fear of cyberspace pervades society. This, however, is not the case. As long as you are dealing with trustworthy parties, you can be confident in your transactions. If you want a quick online loan, you just need to find a trustworthy lender, and you will be fine.
Read our reviews here, check out how many people have downloaded it, and check the app’s ratings. Earnin uses a secure HTTPS connection and 128-bit SSL encryption to protect your transactions, so you can stay safe when going with them.
Conclusion: What’s Is The Easiest App To Get A Cash Advance?
Millions of Americans rely on these apps for safe and private financial transactions, making them an excellent choice for your next mobile purchase. But, you should do your research when it comes to matters of your own money.
If you are looking for a large, long-term personal loan or an immediate cash loan to get you to your next paycheck, we have you covered.
Both types of loans will provide you with the money you need, regardless of your credit history. The good news is that making on-time monthly payments on paycheck advance apps can help you raise your credit score and thus your borrowing capacity in the future.