Have you taken out a payday loan, and now need to pay it off with installments?
Payday loans don 't come with installment fees . In most cases, the loan is due in full, plus a huge interest fee, within two weeks of signing. That can add up quickly, and many people find themselves looking for a secondary loan to pay off their original one.
Installment fees are one way to do so, but it's not always a straightforward process. DoNotPay can help you get relief from a payday loan quickly with installments.
What If I Stop Paying My Payday Loan?
The due date for a payday loan comes all too soon. If you aren't ready, it may seem like it's easier just to ignore those payment notices until you have the funds to pay it, but that's not a good way to get out of a payday loan. According to Experian, you can expect:
- An increase in fees and interest
- To be turned over to a debt collection agency
- To face court summons if you continue to avoid payment
- Damaged credit
- Difficulty getting a loan in the future
Does an Unpaid Payday Loan Affect Your Credit Score?
There are two sides to this question.
- If you pay off your loan, it won't improve your credit score because payday loans aren't reported to the major credit sites.
- It will affect your score if you fail to pay on time because your debt is turned over to a collector and reported.
How to get out of your payday loan by yourself
Paying off your loan on your own may seem like the way to go, but it's not that easy. If you still want to try, here are some steps you can take:
|Pay off the entire amount||This is the most straightforward and legal way. It can seem the simplest as well, especially if you have the money to do so. The problem is that the interest rate can range from $10 to $30 for every $100 you borrow. So if you borrowed $500, you could end up owing $650, which can catch many people by surprise.|
|Pay off the interest rate||If you can't pay off the full amount, you could just pay off the interest. The full payment is still due, however, and this can turn into a painful cycle.|
|Get another loan||A third option is to sign up for another loan. The key is getting the right loan that will enable you to pay it off using installment loans as opposed to another loan that will lead you deeper into debt.|
Get help applying for an installment loan
Applying for an installment loan is fairly straightforward, according to Capital One . You get the money the same day if you're approved, so you don't have to wait for the money to come in. Better yet, you know exactly how much you'll owe, it's only due once a month, and you aren't expected to pay off the entire debt in one payment as you would with a payday loan.
How DoNotPay can help you apply for an installment loan
Applying for an installment loan to help extend your payments may not take long, but there are several factors to take into consideration.
- Are you getting a low-interest rate?
- Can you make the monthly payments?
- Are there better deals out there?
Rather than try to figure all this out on your own, let DoNotPay help c onsolidate your payday loan by getting an installment loan. We make applying a simple process.
How to lower your payday loan using DoNotPay:
If you want to lower your payday loan but don't know where to start, DoNotPay has you covered. Lower your payday loan in 5 easy steps:
- Search "Negotiate Payday Loans" on DoNotPay.
- Enter the state you took out the payday loan in.
- Tell us the amount you borrowed, the date you took out the loan, and when the payment is due.
- DoNotPay will automatically calculate the APR on your behalf, and determine the best way to negotiate your case based on the amount.
- You're all set! You can generate your personal negotiation letter with one click, and use it to contact your lender to get better terms for your loan.
Why You Should Use DoNotPay to pay off payday loans with an Installment loan
You can pay off your payday loans on your own but you don't have to. DoNotPay can help by making things:
- Fast --All you need to do is sign up with DoNotPay. We'll take care of the rest..
- Easy --You don't have to deal with forms, loan officers, or trying to navigate complicated sites.
- Successful --We'll make sure you get the best deal possible.
DoNotPay works across all companies/entities/groups with the click of a Button
When you're ready to apply for an installment loan, DoNotPay can help. We know all the lenders, and can help you pick the right one for you.
What else can DoNotPay do?
Helping you repay your payday loan is just one of many things DoNotPay can help with. But we can also help with other problems you may face, such as:
- Robocall compensation
- Free trials
- Financial aid appeal letters
- Parking tickets
- College fee waivers
- Settle your payday loans