Why Are Installment Loans Better Than Payday Loans?

In North Dakota, a comparison between payday loans and installment loans define which choice is better. Each of the loan options is available in a short amount of time. The loans are provided according to the amount requested, and the products are available to consumers with bad credit, too. A local lender offers a beneficial loan for all consumers who face sudden emergencies.

A Longer Duration to Pay It Off

The payday loan is paid back on the consumer’s next payday. However, the installment loans are paid off according to the terms of the loan contract. Consumers have up to one year to pay off the installment loan. Instead of paying it all at once, they submit affordable monthly payments.

Higher Loan Values

The payday loans are provided according to the value of the borrower’s paycheck. The installment loans range up to $2,000. Consumers who need more cash should consider the installment loan instead of the payday loan. The lender provides a comparison in value between the two loan options for the applicants. Consumers who only need a small loan are accommodated by payday loans, and the larger values are provided through the installment choices.

More Payment Flexibility

Instead of paying the full value back on payday, the loan is paid in installments. The consumer has the option to choose their preferred payment value and the total number of installments. The lender provides flexibility for the consumers to make the installment loan more affordable. Payday loans aren’t as versatile, and consumers must pay at least the interest, or the loan value is deducted from their checking account.

Monthly Income is Used to Identify the Total Value

The consumer’s loan value is based on their monthly income if they choose an installment loan. They aren’t restricted to one paycheck only. For some consumers, the paychecks aren’t the same value. The consumer won’t receive the highest value available if they use the paystub showing a lower wage.

In North Dakota, payday loans require consumers to pay them off by the next payday. The value is limited to the value of the consumer’s most recent payday. Installment loans aren’t as restricted to a lower value. Consumers who need more information contact Maxlend Loans now.