Extensions on Payday Loans
Many times, when you borrow money from a payday loan company, you have a certain amount of time to pay back the loan along with the interest charges. That could be as little as 1 week, or as long as 3 weeks. As with anything, other emergencies may arise, you may find that you don’t have the money to pay back the loan when required to. That is where payday loan extensions come in handy.
Many companies allow you to pay at least enough to cover the interest due, and they will extend your loan until your next pay day. If you have a payday loan from an Internet company, which is how most people apply for payday loans, you simply log into your payday loan company website. There may be an option of extending your loan through just a simple click of the mouse. If not, you will be able to contact customer service who may be able to extend it for you.
If you are granted an extension for your payday loan, there is a minimum amount to pay which is usually the interest charge. You will have a chance to pay off a portion of the principle which will lower your interest charges for the following payday when you need to pay the loan back. The money will be automatically drafted from your checking account which you gave the company when you first applied for the loan.
Most companies have a strict maximum of between 4 and 6 extensions to avoid lengthy finance charges without paying the principle, which usually comes out to be 12 weeks. Again, this depends on the company, so you should check all the frequently asked questions so that you are well aware of the extension policy. You should contact the company at least 2 to 3 days before the payday loan becomes due to make sure that you can get an extension because if you contact them too late the automated system may automatically deduct the full loan amount from your checking account.
Filed under: Payday Loan Extensions
