A payday advance loan allows a person to access the funds from their next paycheck early. Private companies have taken up the business of supplying workers with a liquid supply of cash via their upcoming paychecks. These types of cash advances have become increasingly easier to acquire over the years, and equally more convenient.

The best reason to apply for a payday loan is that you will save money if you need to cover a bill payment before it becomes over due. Many people see that situation as an ideal opportunity for a payday advance loan. We can compare the worst case scenario versus late fees and penalties. A standard cash advance fee is $15 on $100.

Let us see how that stacks up:

A bounced check for $100 will, on average, carry $48 in NSF and merchant fees. A late payment on a credit card balance of $100 will typically charge a $26 late fee. The worst culprit is a utility bill. Even on a $100 monthly bill, a missed payment typically causes the utility to be shut off.

The above three examples are an excellent illustration of where payday advance loans really shine. In rough financial times, they are going to save workers money in the short term. All of this from a simple cash advance.

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