Instant Cash Loans for Unemployed Students 

What type of loans can I get as an unemployed student?

Payday Loans

A Payday loan is an excellent loan for unemployed students. If you’re having difficulty paying for books or covering unexpected expenses, a payday loan may be the way out. You could also pay your rent and utilities with this type of loan.

The best thing about a payday loan is that almost anyone can apply and receive instant funds regardless of their credit score. Payday lenders understand that not all students have a steady source of income and as such may have difficulty maintaining a good credit score. 

A payday loan is no doubt a great alternative to a bank loan. The application process and eligibility criteria are less strict and do not include the excessive paperwork that comes with getting a loan from a traditional financial institution.

You can fill and submit your loan application online. You may need to download a payday loan app to do this. 

Payday Lenders usually provide quick approval of loans and even as an unemployed student, you can get instant cash of $50 – $1500. The repayment term is usually 7 to 31 days depending on your agreement.

Although there are benefits to getting a payday loan, they may not be the ideal loan for every student in need of financial aid. Payday loans are quite expensive as they usually come with high-interest rates. If you are not able to meet up with your repayments, you may end up with more debts on your hands.

You could also consider other less expensive loan types, such as; 

Installment loans

Installment loans are very similar to payday day loans but you get to spread your repayment over a longer-term. If you’ll need a longer time to repay your loan, an installment loan could be a better choice.

Line of Credit

A line of credit would be great to settle the big financial expenses that come with your education. You can take a line of credit through your bank or credit union. Most banks and credit unions will require that you have good credit before they can approve a line of credit, so if you have poor credit, you may need to build your credit score first.

One benefit of a line of credit is that you only pay interest on the money you use. Whenever you take out a line of credit, make sure to make repayment on time to avoid incurring additional costs.

Auto-title Loans

Another loan you can take as an unemployed student is an auto-title loan. You can use your car, boat, or your motorbike as collateral for this loan. 

Note that this type of loan carries some risk because you’ll be using your vehicle as collateral. It is however a great choice if you have poor credit and need a longer time to repay your loan. If you want to take an auto-title loan be sure you can afford the repayment before you go ahead. This is because your vehicle will be confiscated by your lenders if you fail to repay your loan at the agreed time.

How to Qualify for Unemployed Student Loans?

Generally speaking, there are some basic criteria that students need to meet for them to qualify for an instant loan. Some of them include:

• Be a Canadian citizen or a permanent resident.
• Be 18 years of age.
• Have a valid bank account.
• Proof of income

If you are currently not working, a lot of lenders accept the following as proof of income:

• You have income from investments.
• You receive benefits or welfare from the government.

Canadian Lenders That Offer Instant Loans to Unemployed Students

Here are some of the most popular online lenders that offers unemployed student loans in Canada:

Go Day

Go Day offers payday loans to unemployed students from $100 to $1,500. The loan needs to be repaid in 14 days with an APR ranging from 391.07% to 495.36%. APR depends on the region you live in. Your application can get approved in as fast as 2 minutes. 

Money Mart 

Money Mart offers unemployed student loans ranging from $120 to $1,500. They have a repayment period of up to 62 days. They charge a 14-day APR of 460.10%. Your loan application with Money Mart has a turnaround time of at least one hour. 

iCash

iCash is another Canadian lender that offers loans to students that are currently unemployed. Their loans range between $100 and $1,500 with a repayment term of 7 days to 62 days. They charge $15 to $19 per $100 borrowed depending on the region you live in. 

Conclusion

As a student, you are likely to face financial challenges at some point in your life. When you are unemployed, it’s even more difficult to meet your financial obligations. However, with the right loans, you can get through the difficult times and still have a brighter financial future ahead.