Need Cash Fast? Try These Loan Apps

If you ever find yourself in a financial bind and need instant access to cash to cover an unexpected expense, there’s an app for that. Whether you call them loan apps, borrow-money apps, cash advance apps or payday advance apps, these online lenders can provide financial lifelines to people in a penny pinch.

They’re not ideal. There’s always a cost to borrowing money – even if that cost is just in the form of continuing bad financial habits – but loan apps might be useful in an emergency. Learn more about how loan apps work, the pros and cons, and our top picks for when you find yourself coming up short.

Different from online personal loans, loan apps are meant to offer a short-term solution for those in need of a quick money fix – and there are more of them popping up everyday. “There’s always been online financial stuff but this growth in online apps in lending has been remarkable,” said Michael Sullivan, personal financial consultant with Take Charge America, a nonprofit credit counseling and debt management agency.

In general, loan apps work similarly to payday loans in that they offer borrowers an advance on their future income. Typically, you download the borrow money app, provide access to an external bank account that has direct deposit set up, and within minutes – or sometimes a few hours, depending on the app – you can request a sum of cash.

There is usually some sort of cost for this convenience. Depending on the loan app, you may pay a fee on the amount you borrow, and/or a monthly subscription fee to the lender. Once you take a cash advance, you will usually have to repay the money within a short time frame. This may happen automatically with the loan app taking the borrowed amount plus its fee from you on your next payday. Some apps may let you choose the repayment date.

With dozens of loan apps available online, it can be tough to navigate which one is best for you. To help get you started, here’s a look at seven loan apps that can provide a cash advance.

Chime is an online banking app that lets you access cash – even when funds are low – if you have a checking account that’s set up with a direct deposit. It offers a fee-free overdraft service (rather than a loan) called SpotMe, which lets you take out up to $200 more after your balance hits zero. When payday rolls around, Chime will take back the amount you borrowed with no interest and no fees. Chime also lets you withdraw paycheck funds up to two days before your direct deposit hits.

Dave’s ExtraCash feature offers cash advances up to $500 straight to the Dave Debit Mastercard. Not everyone will qualify for that limit right away, but there are no late fees regardless of how much you borrow.

Cost: Dave charges a $1 monthly membership fee. You’ll also pay $2.99 to $13.99 per cash advance if you want an express transfer to your external bank account.

With Brigit’s Express Delivery, you’ll get up to $250 in minutes for a small fee – but there’s no charge if you wait two to three business days. You can request a payment extension and choose the date of repayment without penalty. Brigit also offers a program to help build credit.

Cost: In addition to a $9.99 monthly fee, express delivery has an additional small fee which is not disclosed.

Albert is another loan app that provides the option of getting a cash advance instantly for a small fee, or free if you wait two to three days. The borrowing limit is $250. It also offers other features to help you save and invest, such as budgeting and investing tools.

Cost: Albert is free, but there is an upgraded version called Genius that has additional features for $8 per month. There is also a small fee to advance cash instantly, but it’s not disclosed.

EarnIn lets you get an advance up to $750 per pay period, but only up to $100 per day.

Cost: You can choose to add a voluntary tip when you cash out, and fees apply if you choose a “Lightning Speed” transfer rather than waiting the one to two business days.

MoneyLion offers cash advances up to $500 with no interest or monthly subscription fee. If you have a paid Credit Builder membership – which costs $19.99 per month – your Instacash limit climbs to a maximum of $700. If you switch your direct deposit to a MoneyLion account, then you can access up to $1,000. If you’re still short on cash once payday rolls around, you can request that your repayment be deferred for up to another two weeks.

Cost: You’ll pay a $1.99 to $8.99 fee for turbo delivery, and be asked to leave an optional tip.

Possible Finance is a cross between a loan app and a personal loan because repayment terms can stretch as far as 12 months out. You can borrow up to $500 instantly and there are no late fees. From there, your payments process automatically from your bank account’s direct deposit. However, you have a grace period of up to 29 days.

Cost: Although specific fees are not disclosed online, in the example provided on the site, a $250 loan costs an additional $44.12.

Loan apps aren’t always the best choice if you need funds. Of course, the best alternative to borrowing is building an emergency savings account funded with three to six months of average monthly expenses, said Birardi. “That should negate the need to use the cash advance app.”

In the meantime, here are some other options to consider:

Loan apps can be convenient and some of them offer access to cash without a great cost to you. That said, you want to do your best to avoid being in a situation where you need to rely on such services. Even if you go with a loan app that has favorable terms, you’ll essentially be taking a pay cut when payday rolls around, making it hard to catch up.

Consider Birardi’s advice: “Treat cash advance apps as one of the options of last resort.”