How Does Short Term Lending Work?

The world of short term lending holds a lot of possibilities for people who are looking for assistance when their bank account falls short, or are in a situation of financial hardship. Unfortunately, there is also an unsavory side to lending that borrowers can fall victim to if they are not careful when applying for funds. This article will explain how short term lending works and how to choose safe, reputable lenders.

Sticking to the Traditional Route

If you’re looking into short term lending it’s probably because you didn’t qualify for a traditional loan. Whether it’s the application process, credit check, or collateral requirements; there’s a lot about a bank loan that makes it difficult for struggling borrowers to get approved. There are no guarantees that the bank can handle short term lending in house.

Word of Mouth, It Gets Around

If you are unable to find information on short term lending through your bank, the next place to go is a short term lender. Do some research online to find reputable lenders who can lend you the money you need. Once you have a list of possible lenders you can take a two-fold approach to verify they have a trusted reputation:

1. Since you may have found these lenders online, you should be able to find evidence of any required certifications or performance reviews. If it’s not there, contact the lender directly and request the information.

2. Back-up your findings with customer rates and reviews of service. Some borrowers make their lending decisions based solely on word of mouth recommendations. This is one strategy that you can employ, but make sure to back it up with due diligence. The further you stray from verified, compliant lenders, the greater the liability.

The Final Decision The final decision is yours. Here are some red flags to watch for:

  • Avoid “no facts” lenders that don’t require documentation, charge more than standard interest adding unspecified fees, or refuse to disclose the terms of your arrangement.
  • Lenders, even the short term kind, should always require documentation and a signed repayment contract. This documentation includes: a social security card, driver’s license, a recent pay stub and a post-dated personal check are sufficient to secure the loan.
  • Ask plenty of questions. For instance, what happens to the balance if you are unable to pay the loan off by the due date? When will the money be available for use?
  • Contributing to 4.2 billion dollars in habitual lending debt isn’t worth the risk involved in a temporary financial fix. Create a customized repayment structure for yourself before you borrow.
  • Trust your instinct. If something doesn’t look or sound right, keep looking and do not sign anything.


This may seem like a lot of work, but it’s better to learn by doing a little research ahead of time, rather than find out the hard way after you’ve received your short term loan. Northcash is a trusted short term lending company offering secure online loans. Click here to apply for a loan up to $500 so you can get the cash you need now!

How Does Short Term Lending Work

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Northcash is an economic arm of the Fort Belknap Indian Community, a federally-recognized Indian tribe located in Hays, Montana. The Tribe and its businesses have governmental sovereign immunity and have not and are not waiving that immunity for any purpose associated with the consumer lending business of Northcash and therefore Northcash is not subject to suit by you or any third-party for any reason. CAUTION: IF YOU ARE NOT COMFORTABLE DOING BUSINESS WITH A SOVEREIGN INDIAN TRIBE THAT IS NOT SUBJECT TO SUIT, YOU SHOULD IMMEDIATELY DISCONTINUE USING AND ACCESSING THIS SITE. We may from time to time in our sole discretion and without notice to you modify the terms of this Agreement and/or change the rules that govern your use of our Site.

Who is providing this notice?

North Star Finance, LLC d/b/a Northcash, an economic arm of the Fort Belknap Indian Community.

This is an expensive form of borrowing, and it is not intended to be a long-term financial solution. Northcash loans are designed to assist you in meeting your emergency borrowing needs. The Annual Percentage Rate (APR) applied to your loan will vary depending on the pay period with the maximum APR on any Northcash loan being 795%. This is a term installment loan with approximate equal payments, but you have the right to prepay at any time. Any instances of late or non-payment may be subject to additional fees, such as NSF and late fees, as well as collection activities Before borrowing, we ask that you assess your ability to repay the amount you borrow.

You acknowledge that by submitting and completing the loan application that you are applying for a loan. We verify loan applicant information through credit reporting agencies such as Clarity, Factor Trust, and DataX. We may obtain your credit information in order to determine your eligibility and ability to repay.

Northcash does not lend to residents of Arkansas, California, Georgia, Maryland, Minnesota, Montana, New York, Pennsylvania, Virginia and West Virginia, or to members of the military or their dependents.

The availability of online installment loans are subject to change at any time at the sole discretion of Northcash.

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