Wells Fargo Direct Deposit Advance Loan.
If you have a short term financial emergency, the Wells Fargo Direct Deposit Advance loan may be able to help. It can provide short term assistance for paying bills and expenses in a crisis. The salary advance loans offered by Wells Fargo are intended for customers at the bank who have their paychecks automatically deposited using a direct deposit service. These loans by the bank are meant to provide short term advances on the customers paychecks, and the money is intended to provide help to people who experience unplanned bills or emergencies. Examples of what the funds are used for can include a medical bill, car repair, or similar unplanned expense.
If you are a Wells Fargo customer who has a checking account, you may be eligible for a short term loan or line of credit with a maximum of up to $500, and the cash can be immediately deposited into either your savings account or checking account for a quick cash advance. These short term loans from the Wells Fargo Direct Deposit Advance service can assist you with getting through a short term financial crisis by providing you with options and flexibility. It amounts basically to providing you with an advance to your next recurring deposit or paycheck.
How much can I receive from Wells Fargo Advance Loan?
You can borrow up to one half of your monthly income, with a maximum of 500 dollars. So the amount is capped, this reducing some of the risk from using this product. Individuals can also only have one outstanding loan at a time.
What is the interest rate?
The fee you will pay amounts to two dollars for every 20 dollars that you proceed with borrowing. This interest rate is equivalent to an interest rate of 120 percent Annual Percentage Rate (APR). So this is not an inexpensive option, and should be used cautiously.
This product was created to help customers get through an emergency situation, and is meant for short term relief. Some examples of when it may be most useful include expenses such as a car repair, medical emergencies, or the repair of a critical appliance such as water heater or air conditioner. It is not meant to be used for everyday expenses. Both the fee and the salary advance need to be paid out of the next paycheck.
Pros and cons of the Wells Fargo Direct Deposit Advance salary advance loan
Cons include:
- The short term loan is expensive, and it needs to be repaid quickly. The finance charge that you need to pay is equal to an interest rate of 120%.
- These payday type loan products are intended to provide short term cash needs and it is not recommended that they be a solution for any longer term financial needs that you may have. A good example of the use would be if your car breaks down and you need money to either fix it or risk losing your job.
Pros are:
- This is a good option and may be very useful if you are experiencing a short term financial emergency and need a little extra money on a short-term basis to get you thru the situation.
- The loan is automatically repaid when your next check or electronic deposit is made into your Wells Fargo account. This eliminates the risk of running up unpaid loans and entering into the dreaded cycle of taking out multiple loans.
- Consumers will be dealing with a well regarded, national lender and not some fly by night payday company.
Learn more or apply for Wells Fargo Direct Deposit Advance
To apply for this loan product from Wells Fargo, it is best to contact the lender for information. As they can offer various low cost loan products, counseling, or other services to consumers.
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