How to Get Out of a CashNetUSA Loan
Posted on November 17, 2022 in Debt
If getting out of a CashNetUSA payday loan is your goal, you’ve come to the right place. Read our complete article, or use the table of contents below to jump right to the information you need to get out of CashNetUSA payday loans quickly.
Table of contents
- What is a CashNetUSA Loan?
- What’s a payday loan?
- How high are the interest rates?
- 5 Ways to get out of a CashNetUSA Payday Loan
- FAQs About CashNetUSA Payday Loans
- Conclusion: Get Out of a CashNetUSA Loan
Tough economic challenges have led to Americans seeking alternative sources of cash to supplement their income. Many have resorted to borrowing unguaranteed payday loans from companies like CashNetUSA.
These loans offer a quick source of capital but at what cost? Well, the interests are high, putting borrowers into a payday cycle for the longest time
In this article, you will understand what CashNetUSA is and the five ways of getting out of a CashNetUSA loan.
What is a CashNetUSA Loan?
CashNetUSA is a credit lending facility located in Illinois, Chicago. If you need a quick-fix loan, this organization will sort you out. It offers various financial services, including payday loans, personal loans, installment loans, and lines of credit, to over 29 states in the U.S.
CashNet payday loans are a favorite among consumers because they offer loans with zero regard for your credit score. You can qualify for a payday loan even with a negative credit score because they use different credit rating checks to determine the amount to award you. Besides, their services are swift, and you should expect to get the cash within 24 hours of approval.
Before we get into the details of how to get out of a CashNetUSA loan, let’s discuss what a payday loan is.
What’s a payday loan?
Imagine yourself broke, and it’s the middle of the month. What do you do to stay afloat till your payday? Well, you have few options, and payday loans are among your last resort. Payday loans are quick cash loans you will repay on your next payday.
Consumers love this type of short term loan because it comes with no collateral. They aren’t guaranteed, making them high-risk investments for lenders. As such, payday lenders tend to charge high-interest rates for them. Other standard features of payday loans are;
- Most have a limit of $500. The limit can change depending on the amount you earn and your state.
- You cannot make partial payments on your payday loan. Repayment is in a lump sum before the agreed upon due date. Ideally, this is two to four weeks after receiving the loan. However, some states allow for a rollover or restructuring of your repayment period with higher interest rates.
- Access to your payday loan is typically within 24 hours after completing a loan agreement. You can expect to receive your funds electronically in your checking account, cash, check, or loaded to your debit card.
- Payment of the loan is by cash, check, or granting your lender access to electronically debit the full amount from your bank account or prepaid card.
- Late repayment can result in the lender directly deducting the loan from your account electronically or cashing the check, usually with an applicable penalty fee.
Unless you are in a tight spot, you shouldn’t consider payday loans since they’re predatory and can lead to a cycle of loan fees and debt. What makes them unattractive to borrowers is their high-interest rates.
How high are the interest rates?
Lenders know the high risks they take by lending out money without guarantees. They are also aware of the urgency you have. What’s more, who will offer you cash in such a short period?
Lenders charge exorbitant interest rates on payday loans to caution themselves from the high risks of unsecured loans. They also leverage the dire situations most borrowers find themselves in. For most people, they are corporate greed.
What makes payday loans by CashNetUSA an excellent example of corporate greed is that;
- They won’t consider your previous credit records. As much as it’s a way of rebuilding your credit score, you might as well find yourself committing to pay a never-ending debt.
- Their debt-to-income (DTI) ratio is also unspecified. It would help if you were wary not to get into shady deals that might cost you a fortune. Continually reevaluate the terms of repayment and servicing of the payday loan to get good value for your money.
Since they charge a hefty interest rate of 30% to 805% for your payday loan, CashNetUSA wants you to make it easy to apply for their loans and does not put any difficulties in their application process. Mainly, they just consider whether you pay bills on time and your employment status. Other than that, you may present documentation if;
- you are a resident of Illinois, Rhode Island, Nevada, and New Mexico
- you are running your own business
- you get alimony
- you are getting Social Security or disability benefits
The interest rates vary based on the following;
- the amount borrowed
- the time of repayment
- the state of residency
Some lenders charge a flat fee of $15 for every $100 borrowed instead of interest rates. I know! It feels like a rip-off, and it actually is! Imagine borrowing $500 only to pay up in two weeks. Such high transactional fees make 80% of consumers repeat clients begging the question, is it possible to escape from this rat race?
5 Ways to get out of a CashNetUSA Payday Loan
Many lawsuits have been published to govern payday loans since the 2008 great recession. The government and different states have come up with regulations to remedy this situation of debt trapping. However, getting out of a CashNetUSA payday loan should be your initiative. If you’re in over your head with payday loans, here are five ways of getting out of a CashNetUSA payday loan.
1. Repay the loan with a new, more affordable loan
It sounds crazy, but it works. I mean, why pay extra when there is an option for you to spend less? Maybe a third of what you’d have paid. Isn’t that a shot worth taking?
You can do this through the following;
- You can sign up for a loan from credit unions or any other financial institution that offers a lower interest rate than CashNetUSA. It is the best method of getting out of payday loans if you have a good credit score or no credit ratings. Alternatively, you can seek for peer to peer lending platforms if you have a poor credit rating.
- Consolidating loans entails combining all your debts and paying them off as one colossal debt. You’ll have to get a loan to pay off the payday loan and sustain your daily financial needs.
- Get a guarantor who can back up your bid of getting a loan. However, this method is risky to the guarantor since they’ll be liable for the loan if you default. Late repayment also affects the guarantor’s future loan requests.
2. Utilize savings to pay off the loan
As stated by Randy Thurman, “a penny saved is worth two pennies earned . . . after taxes.” It is a vivid example of the importance of good savings habits.
These habits can bail you out from a constrained financial future if you remain a regular saver. You can use part of your savings to pay up your payday loan. Not only will you save yourself from the mathematical stress of fumbling with how much to pay, but you’d also free yourself from financial limitations.
3. Talk to your present lender about setting up an extended repayment plan
We’ve all been there! Not being able to pay up your loan on the agreed date is an understandable scenario that you shouldn’t shy away from talking about to your lender. It can be due to too many financial obligations; this doesn’t translate to being unable to pay up. It simply means you need more time to pay your CashNetUSA payday loan.
What you need to do, is approach your lender with open-mindedness. You will eventually agree on a more extended repayment plan. Definitely with some extra charges, but it is more worthwhile than preceding your daily financial obligations.
4. Revise your current budget to increase your ability to make loan payments
Occasionally, we tend to live large. It can be on holidays, eating out, shopping, or even partying. It often leads to the uptake of payday loans to meet our extravagant lifestyles or survive until the next paycheck arrives.
Such financial planning is poor and lacks no basis for defending or upholding. Avoid such scenarios and focus on revising your current budgets to make ends meet. Cutting costs can help you spare more cash for your payday loan repayment.
In the long run, you should be able not to fall into economic traps that disrupt your financial health.
5. Seek help from a professional debt relief company
Do you feel overwhelmed by multiple debts? Don’t fret. Many debt relief companies can get you out of this financial pit.
Debt relief companies help you get out of payday loans based on the scope of your debts and credit ratings. They sit with all your lenders and negotiate a new repayment plan, usually made to the debt relief company for dispatch to different lenders.
A well-versed debt relief company may land you a discount from your lenders. What they seek to achieve is a flexible payment plan with a longer repayment time. Their services come at a small fee, considering the mess they will sort out for you. One of the solutions they put on the table to stop the payday loan cycle for good is loan consolidation.
FAQs About CashNetUSA Payday Loans
How long do you have to pay CashNetUSA back?
The repayment period for paying CashNetUSA depends on the type of loan and the amount requested. Ideally, the repayment plan for payday loans is four weeks, except for the extended ones. They try to structure their repayment plan for the other financial solutions to take you between six to 24 months.
How can I get a payday loan to stop withdrawing money from my account?
You may have granted lenders the ability to withdraw money from your account in case of late repayment. This can feel like an infringement on your privacy. You can remedy this by stopping a payday lender from automatically debiting your account by revoking their ACH authorization. To do it, follow the steps below;
- Notify your lender –You can do this by calling and writing to inform your lender that they won’t be able to make automatic payments.
- Notify the credit union or your bank -Inform your financial institution that you’ve revoked the automatic payment process.
- Issuing a stop payment order– Send an order enforced by the bank on your behalf to stop making payments to your lender. Beware of the time frame associated with this process of revoking automatic payments.
- Be on the lookout for your account– If you spot any suspicious or unauthorized activity in your banking statements, notify your bank immediately for a reversal. Note that you will still owe money to your lender.
Can you cancel a loan from CashNetUSA?
Yes, you can cancel a loan from CashNetUSA. However, to meet this objective, you must cancel before the end of the next business day upon issuing the loan by returning all the amount offered to the lender.
How Do I Contact CashNetUSA Customer Service
If you have any questions, need help with your payday loan, or need customer service, the CashNetUSA customer service team is available seven days a week. To speak with a team member right away, send an email to email@example.com or call 888-801-9075.
CashNetUSA Customer support hours can be found here:
Monday – Friday: 7 a.m. – 8 p.m. CT
Saturday: 8:30 a.m. – 5 p.m. CT
Sunday: 10 a.m. – 6:30 p.m. CT
Conclusion: Get Out of a CashNetUSA Loan
Because of their high-interest rates, lending platforms like CashNetUSA are predatory. As much as they offer a quick cash injection when needed, you should steer clear of them to avoid falling into a debt trap.
I hope this blog has provided you with sufficient knowledge of what CashNetUSA is, what a payday loan is, and how to get out of a payday loan permanently. I wish you all the best in improving your financial health and staying debt free.
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