If you need a little amount of money quickly, there are several loan companies ready to help.
Unfortunately, the majority of them are well aware of their target market’s predicament and take advantage of it by charging obscenely high rates.
If you are going to work with any of them, be sure you understand what you are getting yourself into first.
If you are contemplating Better Day Loans because you need a small loan, make sure you read this Better Day Loans Review.
Stewarts Point Rancheria’s Kashia Band of Pomo Indians runs Better Day Loans, a tribal lender.
It specializes in providing bad credit borrowers with short-term installment loans.
When you are ready to start the application process, Better Day claims your money may be put into your bank account as soon as the next business day, assuming you are accepted.
However, bear in mind that the time it takes to retrieve your money may vary depending on your bank.
Before you apply for a loan from Better Day Loans, be sure you have an immediate financial need such as a vehicle repair bill, medical expense, or other urgent financial necessity.
Contents
What Are Better Day Loans?
It is a “payday loan alternative” Company called Better Day Loans. To “help you obtain the cash you need fast and without any problems,” they provide high-interest, short-term loans.
Payday loans are what they are known as, although they are installment loans, unlike conventional payday loans.
After receiving a lump amount upfront, the borrower is responsible for paying back the principal as well as interest.
The majority of payday lenders expect their customers to pay back the whole loan amount on their next paycheck, usually within a few weeks.
Being an online-only lender, they do not have a physical address. To apply, you must do so through their website, where approval is quick and easy.
If an application is approved, the money will be transferred the next business day.
Is Better Day Loans Licensed?
As a result, neither the Californian nor the Federal governments have authorized Better Day Loans to provide loans.
The fact that they are a tribal lender indicates that they are owned by Native Americans.
The business is operated by the Kashia Band of Pomo Indians from the Stewarts Point Rancheria.
As a sovereign country recognized by the United States government, they are exempt from many of the regulations that apply to payday lenders in the United States.
In addition to charging higher interest rates, they are exempt from licensing regulations and may make loans up to three times the state’s cap on payday loans in California.
Typical Loan Terms:
Because they are a tribal lender, Better Day Loans’ products are much more costly than those of other payday lenders.
Even though they are located in the state of California, they are exempt from the state’s regulations governing payday lenders because of their tribal immunity.
“This is a costly kind of borrowing,” they state in their disclaimer.
This kind of loan is not meant to be a long-term financial solution, but rather to help you fulfill your short-term borrowing requirements.
Here’s a rundown of what to anticipate from Better Day Loans as a borrower:
- The principal must always be at least $200.
- New borrowers may have a maximum principal amount of $1,500 while returning customers can have a maximum principal balance of $5,000.
- The borrower must make the first payment on their first paycheck after receiving the money.
- After that, you will have to make a payment every 15 days or such.
- One year is the maximum payback period.
- Prepayment is not a problem for borrowers since there are no fees associated with it.
- Average annual percentage rates range between 700 and 780 percent.
- Better Day Loans’ website does not provide the precise conditions of repayment.
Borrowers will not know the APR or duration of the loan until they apply, so both will be different.
Reputation on the Internet:
Crowdsourcing lender views is usually a smart approach before signing any deal with them. It aids in the eradication of questionable personalities.
Better Day Loans, like many other conventional and tribal payday lenders, does not have a stellar internet reputation.
When looking for lender evaluations, the Better Business Bureau is a great place to start.
For information about a company’s dependability, they are the most respected and trustworthy resource you will find.
According to profiles on sites like Trustpilot and Yelp, customers have had a bad experience with Better Day Loans in the past.
Because they are not BBB-accredited, there have been many complaints about:
- Poor customer service due to a lack of communication.
- High borrowing expenses and interest rates.
- Dishonest or deceptive tactics.
On 12/19/2019, the Better Business Bureau (BBB) began an investigation into Better Day Loans.
Since then, the BBB has received 24 formal complaints and 34 consumer reviews.
These reviews have a combined mediocre star rating of 1.12/5.
A BBB complaint was filed at the end of 2019, thus this company is still new, at least according to BBB records.
As a result, you will not find many additional references to them on the web.
It is doubtful, however, that other consumer reviews would concur with the BBB’s assessment of them.
Pros:
Payday lenders are often only used by those in dire need of quick cash.
Even though we strongly advise against dealing with Better Day Loans, they potentially have some benefits to offer individuals in need of quick cash.
Better Day Loans is able to provide the following services:
- An application that may be completed quickly and easily over the internet.
- Readily available financing options despite a less than ideal credit history.
- A single business day’s worth of funding.
- Discounts for making repayments via automatic withdrawals.
- The freedom to pay in advance at any moment without incurring any fees.
These, however, are insignificant in light of the issues they raise.
Cons:
Working with Better Day loans has its drawbacks, but that should not come as a surprise to anybody by now.
They have many of the same drawbacks as conventional payday lenders as well as other tribal payday lenders, including:
- High rates of interest.
- Late payment, insufficient money, and returned-item penalties are all additional costs.
- Delay in disclosing the loan’s costs until it is too late.
- Poor customer service due to ineffective communication and lack of assistance.
They are also not accessible in some areas of the United States, but that may be a plus for the people who reside there since it is beneficial to them.
How to Apply for Better Day Loans:
When taking out a loan with Better Day Loans, here’s what you should do even if you know it is a terrible idea:
To Learn More About them, go to their Website:
There are no in-person applications since this is a strictly online payday lender. Somewhere on their main page, there should be a “Apply Now” link.
Personal Information:
In the initial part of their program, they will gather background information about the users.
Name, address, driver’s license number, and social security number are all included.
At this stage, borrowers will also be required to choose their loan type.
Describe your Earnings:
The borrower’s sources of income will be gathered in the second part of the application.
This covers all forms of income, including salary, bonuses, commissions, Social Security, and other forms of compensation.
Give your Bank Account Details:
The final step will be removing all the borrower’s financial data. Direct debits from the borrower’s bank account are only possible with the completion of this part.
Even if a customer chooses to pay using another method than a wire transfer, it appears difficult to refuse to give this information.
Using national databases like Clarity, Factor Trust, and Microbilt, Better Day Loans will validate all the information provided in the application.
Data sharing with affiliates is noted in the company’s privacy policy.
Even if you ask them not to, they will still give your data to others so that those who do not will be marketed to.
If they approve the application, a customer care person will assist the borrower in completing the loan before the money is released.
Also Read:
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Everything you need to know about guaranteed installment loans for bad credit
Better Alternatives to Better Day Loans:
Only in extreme cases should borrowers turn to cash advance lenders like Better Day Loans.
Even for individuals with less-than-perfect credit, there are many alternatives to using a payday loan.
Whoever does not want to take the risk of dealing with Better Day Loans may instead explore the following options:
Payday Alternative Loan:
PALs are an alternative to payday or tribal lenders for borrowers who want to adhere to traditional lending alternatives.
Small principal balances and minimal application criteria are among the characteristics shared by both products.
However, since the loans are provided by federal credit unions, the interest rates on these loans are much lower.
Get rid of Certain things you do not Need:
Most individuals seeking a payday loan have a monthly income of less than $1000.
However, selling a few personal items is less costly and less dangerous than taking out a large loan.
Almost everything in a typical garage may find a buyer thanks to the proliferation of online marketplaces.
Use the Gig Economy to your Advantage:
For recurrent crises, selling possessions or taking out ever more expensive loans are the only viable options.
Instead of going into debt or selling something, those having extra time and energy should search for ways to make more money.
There are possibilities in the gig economy for every kind of worker you can imagine, from waiters to dog walkers.
However, tribal payday lenders nearly usually cause more difficulties than they are worth when it comes to covering an unexpected cost.
They can only postpone an emergency for a short time at the most. As a result of the debt trap they create, it becomes harder for debtors to get out.
Should I get a Better Day Loans Installment Loan?
When it comes to borrowing money, a Better Day Loans loan is an incredibly costly choice.
You should only consider it if you have no other way to cover an unexpected expenditure.
Consider these options before asking for a loan from Better Day Loans if you require a vehicle repair, medical expense, or any other emergency.
Use a Credit Card to Make a Purchase:
Even while credit card interest rates may be very high, you will receive a better deal than you would with a Better Day Loan or a payday loan.
Even if your credit score is not the best, you may be eligible for a poor credit card.
Decide on A Payment Schedule and Stick to It:
If you have medical expenses, you may be able to set up a payment plan with your doctor’s office or hospital, which may enable you to pay the amount in smaller monthly installments.
You Should Ask for A Salary Advance:
If you have a job, ask your boss if you can obtain a payroll advance so you can start saving money now.
Enlist the Aid of A Friend:
A more cost-effective method to pay for unexpected expenditures when you are strapped for cash is to ask friends and family for a modest loan.
Instead of taking out a loan from Better Day Loans, create a budget and repayment strategy to make sure you can pay back the loan in full when it is due.
Make additional payments if you can to pay off the loan sooner and save money on interest costs.
Also Read: Twigby Review: 6 Things to Know Before You Sign Up
The Bottom Line!
Better Day Loans is not a suitable choice for people who do not need all the information and just want a yes or no response.
We would have to say no. A quick and simple loan provider may be appealing, but they are not the ones to choose. This Better Day Loans product is just too pricey.
Under their typical plan, a borrower who takes out a $500 loan from them would spend nearly $3,400 in financing costs throughout the loan.
In other words, it is a 780 percent annual percentage rate, more than double the state’s cap for non-tribal payday lenders.
You may still move your company someplace else even if you have poor credit and are eager for a loan.
