Over the course of a year, the average person will spend about $70,000 on goods and services. You may read that number and think to yourself, “How can people afford to drop that kind of cash?”
In many cases, the answer to that question is with the help of loans.
Whether it be medical expenses, home repairs or family vacations, millions of Americans turn to various loan products to bridge the gap between the things they want/need and what they can afford.
We probably don’t have to tell you that loans aren’t as easy to get as they might seem though. While requirements for various loans vary drastically, almost every loan that you’ll ever apply to will require that you have a bank account.
Does that present a problem for you? If it does, fortunately, almost doesn’t mean all.
There are some loan without bank account options out there, 5 of which we’ll discuss now.
A lot of people think that a pawnshop is a place where people buy and sell used goods. While the trading of goods is a core function at any pawnshop, how most pawn organizations make the majority of their money is by giving out loans.
Pawnshop loans are straightforward:
A customer brings in an item (a watch, game console, etc.) and the shop’s clerk assesses it to determine its worth. Based on the item’s worth, the clerk offers a loan to the customer that’s dollar amount aligns with the item’s value.
Upon acceptance, the recipient has a certain amount of time to pay back the borrowed money plus interest. If they don’t, the pawnshop forgives the debt and retains the item that the customer brought in.
Pawnshop loans are 100% cash-based and do not require a checking account to receive.
Car Title Loans
If you’ve ever watched network television, especially during the day-time, you’ve seen an advertisement offering car title loans.
Car title loans are very similar to pawnshop loans:
A customer brings their car’s title into a lender. Based on the car’s value, the lender will offer that customer a loan amount.
If the customer pays back that loan plus interest on time, they get their car’s title back. If they don’t, the lender keeps the vehicle in lieu of payment.
It may come as a surprise to see payday loans among our loan without bank account options. After all, every payday loan provider has always required that you have a checking account, right?
While checking account requirements have been the norm in the payday loan industry for many years, that’s starting to change.
Today, payday loans are offering loans with no bank account options to consumers. These loans load onto prepaid debit cards which lenders give to their customers upon approval (additional fees may apply).
Note that many local payday loan lenders may not offer this service yet.
Be aware that checking account or no checking account, every reputable payday loan provider will still want to see proof of employment and proof that you’re over the age of 18 before lending to you.
With the advent of Bitcoin has come the ability to buy items online without the help of banks. Loan providers have taken notice that millions are flocking to this form of currency and have started to offer Bitcoin loans.
Bitcoin loans deposit directly into your Bitcoin wallet and they are ready to use. You can use them at any vendor that accepts Bitcoin as a form of payment.
If you need to spend your Bitcoin money with businesses that don’t accept Bitcoin, you can always buy prepaid Visa cards with Bitcoin online, have them mailed to your house and then purchase goods locally.
Personal Network Loans
When people think about loans, they generally think about going to a bank or other formal lender. What a lot of people forget is that they might have somebody in their immediate network that can help them out.
If you’re lucky enough to have a friend or a family member that cares about you, talk to them about your financial struggles. Let them know that you need help.
If you’ve proven yourself to be trustworthy in the past, somebody that’s close to you might be willing to loan you the money that you need to get by.
Given the informality of receiving loans form your personal network, you won’t need a checking account to borrow money. You also won’t need to worry about interest, fees or any of the other potential pitfalls that come with taking out lender-based loans.
Don’t have a friend or a family member that can lend to you? You can expand your network loan options by talking to your employer.
They may be willing to give you an advance on your next paycheck free of charge.
Our Final Thoughts on Your Loan Without Bank Account Options
Loan without bank account possibilities are harder to come by than loan with bank account options. If you’re willing to think outside of the box though, there are viable choices out there that can get money in your pocket.
As you search for these flexible types of loans, always look closely at interest rates and fees.
Many unconventional loans prey on desperate people by offering horrendous terms that can send borrowers into deeper financial trouble.
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