Find the Best Payday Loans in Kansas City

Payday lending is illegal and unavailable to consumers in some states. Payday loans usually have very high interest rates and carry risk. As with any loan, consumers should have a clear understanding of the fees, terms and conditions of any payday loan before borrowing.

How to get a payday loan in Kansas City

Each year, more than 12 million Americans use payday loans to keep from defaulting or paying late penalties that could affect their credit. Although more than a dozen states have outlawed payday lending, both Kansas and Missouri allow the practice.

Before committing to a payday loan, it’s important to research your cash options. Alternatives to payday loans include establishing a savings plan, reaching out to friends or family for a small loan or using a 0% APR credit card. Each state also has lending programs for specific unexpected costs, including Kansas’ LIEAP program and Missouri’s LIEAP program. Federal and state food stamp programs are also a resource.

Missouri is one of the most lenient states when it comes to payday loan regulations, making it one of the top producers of payday loans in the country. In 2016, more than $1.62 million in payday loans were reported, with an average loan cost of about $315 and average interest rate of 463 percent.

Below is a list of requirements for payday lender rates in both Kansas and Missouri. Amounts and interest vary widely.

Companies in Missouri are able to obtain a payday loan license simply by applying and paying a fee. There are no background checks or determination of financial capability when it comes to establishing a company. This means it’s extra important for Kansas City, Missouri, residents to research the reputation of the company to make sure it’s legitimate.

Checking a company’s reviews to see customer experiences and checking the lender's page on the Better Business Bureau are easy ways to make sure you are working with a good company. Compare offers from multiple lenders to find the best low-interest rate payday loan. And be sure to read the entire loan agreement and ask questions.

Application rules for payday loans in Kansas and Missouri are the same:

• At least 18 years old
• Citizen or permanent resident
• Show proof of a regular source of income

Since the application does not require a traditional credit check, your credit will not be impacted by the application. If you are working with an online company for an online payday loan, you will most likely need to give the company access to your personal checking account for deposits.

Defaulting on a payday loan

Sometimes more unexpected costs happen and paying back a payday loan can be difficult. In Missouri, companies offer the ability to roll over the loan six times if they can lessen the principle by five percent before each renewal. This gives borrowers a bit more leniency when it comes to repayment. In Kansas, this is not allowed, but there are grace periods that can be granted.

In extreme cases, borrowers who cannot pay back the loans will be faced with more fees and could be taken to court for the full amount plus more interest.