Payday Advance Pennsylvania
The fast cash received through payday loans help millions of Americans get past difficult financial situations that can occur suddenly and unexpectedly. Many people have little to no savings that can be used for such emergencies, with many more living paycheck to paycheck.
Having access to rapid funds that can be used to meet sudden medical needs, purchase required medications, repair vehicles, home systems or appliances, pay overlooked bills, etc., can reduce stress and get you over the financial hump before your next paycheck arrives. Payday advance loans are designed to meet such needs, although they apply high interest rates and associated fees. Some states completely prohibit or substantially restrict payday loan lenders.
Pennsylvania Payday Loan Laws and Restrictions
Although payday loans are legal in most states, they are prohibited in Pennsylvania. Payday advance Pennsylvania laws restrict any lenders from operating within the state unless they obtain a license and adhere to strict limitations, which most companies are unwilling to do.
Only what is termed "small loan" companies can operate in Pennsylvania, while payday loan lenders known as "check cashing lenders" are prohibited from operating in the state. Even non-check cashing businesses must hold to a maximum 6% interest, with specially licensed companies being able to charge up to 24% APR on small loans. Most companies who would offer Pennsylvania payday loans cannot afford to do business at such low interest rates. This includes online payday loan lenders who work with other states with less restrictive guidelines.
Alternative Ways to Acquire Funds Other Than Pennsylvania Payday Loans
Since Pennsylvania payday loans are considered illegal, those seeking extra cash to meet dire financial situations will need to look to alternative means for acquiring the needed funds. There are various alternative sources that you can turn to in times of financial crises. The following are some top suggestions.
The first thing you could attempt to do is to contact the administration office of your employer and request to work overtime. If that is not available, you might ask for a cash advance, which can be deducted from one or more paychecks. This would be similar to a payday loan only without the high interest rates and attached fees. You can also increase the number of dependents you have listed on your W-2 so that fewer taxes are deducted from your subsequent paychecks.
You might also seek a small loan or traditional loan through your credit union or bank. Credit card cash advances might also suffice. However, both of these options charge interest and involve long-term payment periods that can add financial pressure to your situation. In the case of credit card cash advances, extremely high interest rates and fees apply.
Local emergency hardship programs might be another source of financial assistance during difficult financial times. You can contact your city's Department of Human Resources to inquire on what programs are available. Local humanitarian organizations and churches might also be able to assist you, or you could inquire about federal programs for which you might be eligible.
Other solutions for acquiring quick cash could be to work a side job, consolidate bills, pawn or sell valuables, or borrow money from friends or family.
If your financial situation involves paying upcoming bills that cannot be met on time, you can contact your creditor(s) and request an extension. Most creditors are willing to work with you by extending due dates in order to receive payments and avoid the risk of the account going into default.
Pennsylvania Payday Loan Laws and Other Financial Information
You can contact the following department to obtain more information surrounding Pennsylvania payday loan laws or other financial topics.
Pennsylvania Department of Banking and Securities
17 North 2nd Street, Suite 1300
Harrisburg, PA 17101-2290
Phone: 609-292-7272 or 800.PA.BANKS (In-state)