What are Instant cash loans and how do they work?

Emergencies such as medical expenses, urgent repayment of the loan, financial opportunity or any other instances wherein we would require instant cash on the same day, on short notice or instantly, can come up at any point in life. And, sometimes, on impulse, we decide to go for a trip with no preplan or planning at all. Or would want to gift jewellery, want to buy a gold ring for your partner, or something special to your loved ones, irrespective of what the case may be, instant cash loans could be your option to go.

What are Instant cash loans and how do they work?

Getting instant loans via banks is way difficult and complicated as the loan process application takes several days to process. Often, the borrower has to go through several verifications, documentations and meetings before the approval and disbursement of the loan. Considering the time banks take for the loan approval, people also look for non-banking financial aid providers. For instance, local moneylenders, pawnbrokers, or non-banking financial institution for an instant loan and to fulfill the need for immediate financial assistance. The money borrowed from these markets are at a comparatively higher rate of interest and also comes with mortifying experiences.

It is now possible to get loans instantly to cover small, unexpected or emergency expenses in less than a day. Let us see the instant cash loans process and try to understand its working.

Know more about instant cash loans

Instant cash loans are short term loans which are processed within an hour. The funds are immediately disbursed in your bank account. These loans are designed specifically to offer the borrowers with the ease of application and quick approvals. The process takes hardly any time and can be completed in one shot. It is a completely no-brainer application process. These types of loans are also termed as cash advance loans and payday loans.

Under instant cash loans, the borrower can borrow a small amount to meet his or her immediate financial needs. One of the distinct features of these loans is that under this scheme, there is no compulsion to declare the expenditure of the cash borrowed and hence can be utilized to meet any of the financial crisis. You can use the money without any limitations for any purposes, thereby offering the flexibility to the borrower about the loan amount’s usage. Also, both individuals, as well as businesses, are eligible to avail the instant cash loans and need not spend long hours of meeting, verification, paperwork or any hassles. You can get an instant loan just at your fingertips.

The key benefits of such loans are that the customers do not have to offer any collateral. Plus, you don’t need a third-party guarantor as a security for this loan. Also, for such kind of instant loans, lenders typically do not check the credit history of the borrower. Thus, even a person who is not eligible for a traditional loan from a bank owing to low credits or missing credit history can also avail of such loans.

The interest rates for these loans usually have a high rate of interest as the risk associated with it is high. The interest on the loan amount starts from the very first day when the individual borrows the amount, and there is no grace period. The repayment of this scheme is also comparatively shorter, i.e. ranging from few weeks to few months. Although the instant cash loans can be quite expensive as compared to the other traditional loans but are hassle-free and straightforward to get it approved and disbursal. 

How do instant cash loans work?

Requesting for instant cash loan is quite simple and quick. You are supposed to fill the form with all the required details. Once the application form is submitted, the lender will explain the terms and conditions for the complete approval. After the approval process is completed, it takes hardly any time to receive and often less than one day to get your money into your bank account.  The money is directly and instantly disbursed into the borrower’s account. Even though the disbursal is instant, better to always ask the lender about the number of days it would take for the disbursement of the loan amount.

Simple steps to apply through an app for an instant cash loan

You can apply through an app for an instant cash loan in a few simple steps:

  • Visit the download the lender’s official mobile app like Upwards
  • Create your profile and complete it with the necessary details on the Upwards mobile app.
  • Upload the necessary documents
  • The lender will then review the documents submitted by you. If the lender finds that everything is perfect, they will approve your loan application.
  • Choose the loan amount and repayment period. The loan amount then will be disbursed to your bank account.

These types of loans are not a good option for long term financial needs as instant cash loan comes with a high annual percentage rate (APR).

But the bottom line is that instant cash loan are the easiest, quickest and convenient options for instant money. However, the loan amount and the interest may differ from lender to lender. Hence, it is highly advisable to go through the terms and conditions well in advance to get the best option.

Scroll to Top