Payday loans that accept child tax

Child Tax Benefits

The Canada Child Benefit (CCB) is a system set up by the government to offer financial help to parents. It is a tax-free monthly payment made to eligible parents to assist with catering to the need of children below 18 years old. The CCB offers financial help from when a child is born to when they turn 18 years old. It is also known as the “baby bonus.” The volume of the benefits parents get per month depends majorly on the number of kids they have. Child benefit funds are deposited directly into the recipient’s account.

How Much Is Child Tax Benefits

The current maximum Canadian child benefit for each child under six years of age is $6,833 annually ($569.41 per month) and $5,765 annually (480.41 per month). Canada child benefit payments are based on the age and number of the children in your custody, your marital status, and your adjusted family net income (ANFI).

Parents with shared custody of a child receive 50% of the amount they would have gotten if they had full custody of the child. This is based on each parent’s adjusted family net income. According to law, the government does not give the total amount to one parent if both parents have shared custody of the child.

Payday Loans and Child Tax Benefits

Child tax benefits can increase the amount of money you are eligible for when securing a payday loan. As mentioned earlier, you need to show proof of regular income or profit to get a payday loan. This means you need to show that you work in an organization or run a business to earn a stable income or make a profit consistently. 

To get a payday loan, how much you earn monthly is crucial because it determines how much you can get as a loan. The higher your monthly income, the higher the amount you can get as a payday loan. This is why you should consider other different profit sources that can supplement your regular monthly income. 

Benefits that are guaranteed over the year make a qualified source of income when applying for a short-term loan. Your child’s tax benefit is one of such benefits. It is an excellent supplement to your monthly income and just might be the boost you need to become eligible for a robust payday loan. More money certainly means you can take care of your expenses as they arrive. It is always great to have extra money to stay on top of your finances throughout the month. 

Features of Payday Loans that Accept Child Tax

Although there are numerous payday lenders available, not all of them accept child tax. You may have to do a thorough search to find lenders that do. There are a few features that are peculiar to payday loans that accept child tax. They include;

Loan amount ranging from $100 to $1500: Loan amounts typically range between $100 and $1500. However, lenders in Ontario and BC limit loan amounts to a percentage of the recipient’s income instead.

Short-term repayment option only: Recipients must repay the loan by their next payday, which is usually between two to four weeks.

Borrowing few: Each province has a maximum borrowing fee. Ontario, BC, and Alberta have a limit of $15 on every $100 borrowed.

No credit checks: Several payday lenders offer payday loans with no credit checks. Most times, it is stated on their website that they accept bad credit.

Non-employment income: Several payday lenders also accept non-employment income such as government benefits. Some of such benefits include; government disability benefits, private pensions, and child tax credit.

Requirements for Child Tax Payday Loan

• One (1) piece of government-issued photo ID
• Blank personal cheque and/or pre-authorized debit form
• 30 or 60-day bank statement from the day of application ( depending on the lender)
• Proof of address
• Most recent pay stub

Qualifications for Child Tax Payday Loan

To be eligible for a child tax payday loan, you have to have met the following criteria;

• Be at least 19 years old.

• Be a citizen of Canada.
• Have worked three months with the same employer.

• Have $800 minimum net income per month.

• Have direct deposit set up for your bank account.

• Be sure your bank account has been open for a minimum of 3 months.

• Have a valid email, home address, and a mobile phone.

• Have no record or intention of filing for bankruptcy.

Advantages of Payday Loans that accept child tax 

1. You can apply online:  Most payday lenders today simply require you to fill an application form online. You can do this from the comfort of your home.
2. It is faster: Unlike acquiring bank loans, the process of applying for a payday loan is faster. 

Final Thoughts

Several banks and credit unions offer payday loans that accept child tax, and they all have different rates and qualification criteria. Properly read through the rates and terms of different lenders before choosing a lender that best suits you.