Payday Loans in Iowa: A Full Guide on How to Apply

Traditional financial institutions may have turned you away because of BAD CREDIT. But bad credit is NOT a handicap to borrowing money.

Iowa residents have more loan options to consider — bad credit loans!

We will fill you in with the important things you need to know to find a loan that fits you.

What Is a Payday Loan?

A bad credit loan is like a personal loan. Its difference is that it CAN accommodate borrowers with bad credit history.

Bad credit borrowers do not have to look for no credit check installment loans. Iowa bad credit loans only use their credit record as a factor and not the basis for loan approval.

Reputable lenders design these loans to match their financial status. Release of funds can take as fast as one business day only.

How Do Payday Loans Work?

You do not have to go from one lender to another and fill up pages of forms to find a loan that is for you. It is easy to connect with your lender online.

You only have to fill out an easy online web form and choose a loan amount from $100 to $35,000.

Capital Payday Lonas can do ALL the work for you. We match your details with all the lenders in our network to find direct lenders that fit your situation.

Your personal background and credit history will translate to your loan terms. These are your loan amount, annual percentage rate, and loan duration.

Bad credit will not cause disapproval. Direct lenders value your ability to repay the loan more than your credit history. Lenders will ask you to provide proof of verifiable income.

What Are the Types of Online Payday Loans in Iowa?

The best direct lenders in our network offer different types of online bad credit loans. We will discuss each type to help you choose the one that is right for you:

1. Personal Loans/Installment Loans

The most common one is a personal loan. It is an unsecured short-term loan. You can get a personal loan through a lender online or storefront.

A personal loan can either be a single payment loan or an installment loan. It will depend on the repayment method you prefer.

Most bad credit borrowers prefer getting online installment loans. They have a longer term that distributes your repayment up to 24 months.

Equal installments make up your repayment scheme. You pay these equal installments bi-monthly or monthly to settle these loans.

The interest rate for Iowa installment loans increases for longer terms.

2. Payday Loans

A payday loan is another unsecured loan. It has a shorter term than a personal or installment loan since it is due on your next payday. This is 14 to 31 days after you get your funds.

Online lenders for payday loans are less strict in terms of qualifications. It is easier for them to accommodate borrowers with poor credit.

They make up for this with their higher interest charges.

3. Cash Advance

You can get a cash advance through your employer or your credit card.

A cash advance from your employer is a prepayment from your next paycheck. Your access to this depends on the company policy of your employer. Many employers only allow advances for major emergencies.

A credit card cash advance is a withdrawal that depends on your credit card limit. Interest rates for this are very high. Banks also charge fees. Interest charges start as soon as you get your advance. It is easy to overstretch your debt with this.

4. Credit Union Loans 

Another financial institution you can turn to is credit unions. They are non-profit lenders who can accommodate borrowers with low credit.

Credit unions can offer special deals but only to their members.

They are usually small and localized, so online loans from them may be hard to find.

5. Car Title Loan

A car title loan is NOT an unsecured debt. You must own a car to avail of one.

Car title loans have lower rates, but lenders require your car title as collateral. In case of a default, your lender has the right to take your car.

You can choose between a single payment car title loan or an installment car title loan. Its loan terms can range from 15 days to 24 months.

Who Are Payday Loans For?

A bad credit loan is for borrowers with poor credit history. These clients often do not have the means to borrow money because banks, employers, and other traditional lenders turn them away.

It also appeals to clients who need urgent funding. A direct lender can typically release loan funds within one business day. This makes a huge difference from the weeks and months of release for bank loan funds.

A bad credit borrower can use loan funds for emergency expenses like medical bills, credit card debt consolidation, late bills, and school fees. Many lenders do not restrict borrowers on how they allocate loan proceeds.

How to Apply for a Payday Loan in Iowa

All of the loans we discussed have general requirements and steps.

Here are all the details you need to know to process safe personal loans in Iowa: 

Requirements:

• You should be of legal age to secure a loan. You must be at least 18 years old. You can provide any government-issued ID to prove this.
• You must be an Iowa resident. Lenders should be able to reach you at the address you provide. Proof of residency can include recent utility bills and lease contracts.
• You must provide proof of verifiable income. Most lenders prefer a monthly income of at least $1,000. This can come from employment, business, or any income source.
• Online lenders prefer you to have a bank account. They usually release funds through direct deposit to your bank account. Lenders of installment loans automatically take payments here during your repayment schedule.
• Some lenders may also require personal references to verify your background.

Step 1: Provide Your Information

The first thing you have to do is fill up your personal details in the easy online web form.

Choose your preferred loan amount from $100 to $35,000.

In only a few minutes, the information you provided will match with the best direct lenders in our network.

Step 2: Get Connected

As soon as you choose your preferred lender, you will finish the loan application DIRECTLY on their website.

Your lender may ask you to provide additional documents and information to support your application. Comply with these for your loan approval.

Your lender will draw up an online contract. This serves as your loan agreement. Make sure that you fully understand the terms and conditions of your loan before you sign these documents.

Step 3: Get Your Cash

You can get your funds within 24 hours or one business day. Your lender can release funds through:

1. Direct deposit to your bank account
2. Check delivery through the mail
3. Cash pickup from the office of your lender

You can get your cash faster if you apply in the morning of a workday. This gives your lender the entire day to process your loan. You can get your funds the next morning.

The Benefits of Payday Loans in Iowa

Iowa bad credit loans are for you because they have the following advantages:

#1 All Credit Types

Loan availability is for borrowers of ALL credit types, good or bad. Lenders do not disqualify a bad credit score. Lenders evaluate other factors aside from your credit rating.

#2 Fast Cash

This is your answer if you need instant cash. Requirements are easy, and processes are fast. You can get the funds you need within ONE business day when applying.

#3 Range of Loan Amounts 

The gap between the minimum loan and the maximum loan amount is wide. It is easy to get an amount that suits your financial needs.

Of course, a small loan is easier to approve. Do not go overboard with your loan request.

#4 Online and Offline Channels Available

You can get a loan through an online bank or storefront lender.

The more convenient option is online loans. You do not have to take a while from your busy schedule. They only take a few minutes of your time to complete.

Loans from storefront lenders are more personalized. You can discuss loan options easier, but you will have to spare a few hours in your schedule.

#5 Credit Score Boost

A bad credit loan can boost your credit rating thanks to responsible lending. On-time payments and full loan settlements will affect your credit report positively.

Things to Keep in Mind When Applying for Payday Loans in Iowa

Watch out for these 3 Cs you search for a loan and a lender:

Cost

The cost of your loan translates to its rates and fees.

Be sure to compare rates of lenders using their annual interest rate. Many lenders only publish their monthly percentage rate.

Lenders can charge a loan origination fee. Some return the amount to you if you prepay your loan. Some deduct this fee straight from your loan proceeds.

Credit Score

You can still get a loan with a low credit rating. It is easier to get approval if the score requirement of your lender is lower than your current score.

Cons

Be careful of lenders who are desperate to get you to borrow money from them. Guaranteed or instant approval and no credit check are often misleading claims.

Are Payday Loans Legal and Safe in Iowa?

Yes, they are legal and safe. All the lenders in our network are subject to the Iowa state lending law the same way the bank or storefront lender is.

We only match you with the best direct lenders who are fully compliant with federal law.

The law requires these lenders to provide you with a copy of the terms and conditions of your loan before you sign their online contract.

They must disclose your interest rate, repayment schedule, loan duration, and the other details of their offer.

We guarantee only safe personal loans with our network of licensed and reputable lenders.

Frequently Asked Questions

Can I Get a Loan With a 550 Credit Score?

It is possible to get a loan with a 550 credit rating.

The lenders you are used to usually require credit scores of at least 580, but there are still online loans available for borrowers with 550 credit scores.

Available loans for borrowers with lower credit scores may not be as high as those with higher scores, but it is still possible for them to get a loan.

What Kind of Loan Does Not Check Credit?

No credit check loans do not exist.

Online lenders perform a credit check. But unlike banks and traditional lending institutions, they do NOT automatically disqualify you because of bad credit history.

Credit scores are only an aspect of your loan assessment. Lenders also consider your personal details, employment, assets, and other sources of income.

What Is the Easiest Loan to Get Approved For?

It is easiest to get approval for online installment loans.

The total cost of your loan is divided into smaller amounts. The bi-monthly or monthly payment scheme of an installment loan is easier to match with the monthly income of the borrower.

PRO TIP: A small loan request gets approved even easier.

Which Is Better: Payday Loans or Personal Loans?

Prioritize personal loans over payday loans.

A payday loan has shorter terms and higher interest rates. Personal loans have more flexible terms and lower interest rates. Payday loans may have less strict qualifications, but there are more direct lenders for personal loans.

Conclusion

Fill up our online application form now! Allow us to provide you with loan options you can consider regardless of your credit score.

Bad credit should not trap you in a deep financial hole. There are still lenders who are willing to provide you with a loan.