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Why Are Payday Loans in Kentucky Popular?

There is no doubt that many Kentucky residents use payday loans. A statewide database indicates that there were 2.1 million payday loans in Kentucky contracted out in 2015. That amounted to approximately $717 million borrowed.

Here's Why Payday Loans In Kentucky Are So Popular

Looking At Numbers

That number dropped substantially in 2020 with the onset of the pandemic. Statistics from the Kentucky Department of Financial Institutions show payday loans in Kentucky had 20 percent fewer loans in March 2020 than in March of 2019.

The raw numbers from the database showed 104,000 loans processed in March of 2020 while 129,000 loan transactions were made the previous year. The 2020 sudden drop in payday loans came after data shows they were booming with 168,000 payday loans approved in August of 2019.

What Happened?

The primary reason for the drop was that 282,000 people in Kentucky filed for unemployment in March of last year.

Now that states are reopening and people are going back to work, many are finding they need some extra help when it comes to emergency cash for things like home or car repairs.

Compared to Banks

The fact that payday loans in Kentucky offer low loan amounts with short-term repayment is another reason for their popularity.

Banks often don't allow such small loans, quick repayments and they require a lot more time to get applications approved and more credentials to gain a loan.

Moving Forward

Coming out of a pandemic where 10,489 Kentuckians filed for unemployment for the week of February 6 and 57,488 filed claims for Pandemic Unemployment Assistance (PUA) the same week, many of the state's residents are starting new jobs where they haven't worked long enough to qualify for a traditional bank loan.

Many also suffered credit issues over the past year because quarantine and unemployment delayed them from making payments as they always have.

Get Payday Loans in Kentucky

Fast Payday Loans Kentucky offers small, emergency funding loans to working people who need temporary help and fast financial relief. The loan amounts range from $100 to $500 and you can apply either online or in a store.

Clients can't have more than $500 in outstanding debt or two outstanding loans at one time.

Advantages of Payday Loans

There are three basic advantages to using payday loans in Kentucky.

Fast Process

Sometimes people need money quickly to handle an emergency. A bank can take anywhere from three days to two weeks to process a loan. With Fast Payday Loans Kentucky, a loan could be approved in 30 minutes.

Small Loans

Most banks and credit unions have a minimum of $500 people must borrow to even be considered for a loan. Sometimes, the minimum loan amounts are higher.

Easy Approval

Many people use payday loans in Kentucky for extreme situations because they don't have a strong relationship with a bank or have past credit issues.

payday loan money

The Quick Process

The process to get a loan through Fast Payday Loans of Kentucky is quick and painless. You can do it from the privacy of home or in a store. The first step is to submit a cash online form available on the website. A representative will then call to give you information about the loan and set up a time for you to meet to complete the loan process.

You will need:

  • A driver's license or state-issued identification.
  • Your most recent pay stub.
  • A blank check from an active checking account.

An associate will meet with you at a Fast Payday Loans of Kentucky location nearest to you to see how much cash you can be approved to obtain. They will answer your questions and explain the process.

Once you decide the loan is right for your situation and are comfortable with the terms, you can get your cash!

About Credit

At Fast Payday Loans of Kentucky, those with bad credit or no credit can apply for a loan because the most important thing is that you have a job to repay the loan. That means a discharged bankruptcy, bounced checks, charge-offs, and other issues will not affect your loan form. One reason Fast Payday Loans of Kentucky has a solid reputation in the short-term loan market is it keeps private information confidential. No one will ever know what is on your form.

How to Properly Use A Payday Loan

Payday loans in Kentucky aren't meant to meet chronic cash shortfalls. They are meant for people to use in emergencies such as a home or car repair or an unexpected medical bill.

Get a Payday Loan in Kentucky Today!

Payday loans in Kentucky serve a valuable purpose because they fill needs that banks don't. Many Kentuckians have used these types of loans, like those at Fast Payday Loans of Kentucky, to fund an unexpected expense in between paychecks and continue to use these short-term loans as they head back to work after a year of losses.

Follow our lead at Fast Payday Loans of Kentucky LLC when it comes to payday loans in Kentucky. Let us make it easy on you to get the fast payday loan cash today!

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.

Mason Roberts

Mason Roberts is a seasoned economics writer and blogger with a knack for breaking down and simply communicating the ever-changing world of finance. He is philosophically committed to the premise that financial knowledge equals financial freedom.