Payday loans, or installment loans as they are also called, are short term loans the dollar amount of which is comparatively low. The reason that these unsecured loans are referred to as payday loans is that the term of the loan typically lasts for the remaining time period before the next pay check of the borrower is automatically deposited into his bank account. Once this paycheck has been electronically deposited, the lender will immediately withdraw a previously agreed upon payment amount from the checking account of the borrower. The amount of this payment may be for a small portion of the original loan, meaning that the remainder of the loan must be paid on the following payday. However, a borrower may also agree to have the entire amount of the loa (more…)