How do quick cash loans get so fast?

There is no doubt that there are different reasons why Americans or U.S. residents need other sources of financing.

As a thriving industry, fast money lenders challenge traditional institutions with their "too much" attractive offers. To find out how they can offer you money so fast, we will analyze these quick loans.

May interest you: What happens if you don't pay back a loan?

First impressions about quick loans

Offers of mini-loans, fast loans and instant credits are accompanied by claims that might be too good to be true.

Promotions that state: "Apply in 5 minutes and get your money today", "Get money immediately and without so much paperwork", among others, are not uncommon.

LendYou

• Loan amount: between $ 100 and $ 35,000
• Term: entre 7 days y 12 months
• Extra:Interest rate between 6.63% and 485% APR
  Address: 1125 E. Broadway #545, Glendale, CA 9120

APPLY

Buddy Loan

• Loan amount: between $ 200 and $ 50,000
• Term: entre 15 days y 120 months
• Extra:Quick online loans up to $50,000

APPLY

MrFinan

• Loan amount: between $ 500 and $ 50,000
• Term: entre 15 days y 120 months
• Extra:Fast loans up to $50,000 for whatever you want.
  Interest rates from 6% to 439% APR
  Finansi Group SL - Calle de las Barcas 2 Piso 2, 46002, Valencia

APPLY

CashUSA.com

• Loan amount: between $ 500 and $ 10,000
• Term: entre 3 y 1728 months
• Extra:Fast online loans even with bad credit.
  Interest rates between 5.99% and 35.99% APR
  3315 E Russel Rd Ste A-4 Box #105, Las Vegas, NV 89120

APPLY

Bad Credit Loans

• Loan amount: between $ 500 and $ 10,000
• Term: entre 3 y 36 months
• Extra:Interest rates between 5.99% and 35.99% APR
  Address: Chief LLC, 2661 N Pearl St #431 - Tacoma, WA 98407

APPLY

While there are reasons to doubt these seemingly unrealistic claims, there are also reasons to think that not everything they say is pure fantasy.

With just over 10 years in the U.S. and European markets, these alternatives are here to stay. Proof of this is that their influence continues to grow and more and more companies are offering these services.

Why are instant loans so fast?

The reasons for the boom in quick loans are based on one main aspect: technological platforms that take advantage of the resources of the network.

Moving away from traditional models that favor bureaucracy and whose update has been slower, fintechs can be faster for several reasons:

They work 100% online.

This simple fact makes all the difference when it comes to processing a procedure that traditionally was quite cumbersome for many people.

These companies and private lenders use websites and automatic systems to process the data provided by their clients. That is, they can make the relevant evaluations in minutes without the need to call or request information from third parties.

This translates into a response time of minutes or hours within the same day you make the quick loan application.

When you give them your cell phone number or an active email address, they offer you a response through those means and without the need to complicate the process. The end result: greater convenience for anyone who can't afford to spend 1 or 2 hours at a bank.

The process has become standard in many ways. When you make a direct request, you simply fill out a form with personal and financial data for them to evaluate whether you are able to repay or not.

Once you receive approval, you have the option to continue with the process or pursue other options because there is no obligation to accept the conditions they offer you.

You also have the option of making your application on portals that work as intermediaries, like Greenlightcash or LoanSolo, that put you in contact with different lenders.

When you send the information, they are in charge of generating a list of possible lenders for which you have already been pre-approved. At that point you can choose the alternative that seems most attractive to you.

Requirements are minimal

The online operation of the sites for quick loans makes it possible to simplify several processes to speed up the application, approval and deposit of the financing.

According to many of these platforms, entering the data can take between 5-15 min, the approval less than 1 hour and the transfer of funds a maximum of 2 working days, and you can even get the money the same day.

May interest you: How to compare quick online loans

Unlike the paperwork with traditional banks, whose process inevitably ends with a visit to a branch, this is not the case with online lenders.

In fact, all the paperwork is done over the Internet and you can attach any document they need, you can send a photo or a scan you have on hand so they can verify it in seconds.

This ease also means that you can carry out the application from an app or on the financial company's official website from your favorite mobile device.

It doesn't matter if you are on vacation, resting at home or working in the office, the whole process will take you just a few minutes. In addition, you will only need to meet these requirements:

• An active cell phone in the United States.
• A bank account in your name.
• A document proving your current residency.
• A valid ID that indicates you are of legal age.
• A bank statement or pay stub showing your source of income.

Check and compare terms

We are in favor of taking out quick loans as long as they serve as a resource for your personal finances.

Like the U.S. authorities, we encourage you to avoid the predatory practices of payday loans with APRs in excess of 300%, which hurts you more than it helps you.

There are many online lenders offering you urgent loans with an interest rate of less than 36%. However, you should be aware of the conditions, fine print, fees and any other charges that raise this percentage.

Español: Cómo logran ser tan rápidos los préstamos de dinero urgente