If you have overdraft protection, and know you will incur overdraft fees, should you get an installment loan? It comes down to how long you will be short on cash and what the overdraft fees are that you are going to incur.
One of the biggest reason’s borrowers come to Total Loan Company is they know they are going to have expensive overdraft fees relating to not having enough cash in their banking account. Overdraft fees can be as much as $36 per overdraft. If you are short on cash and know you will be negative these fees can add up quickly and lead to thousands of dollars in fees over draft fees within a year. If you know that it will be several months until you know you will have enough money in your checking account an installment loan could be more appropriate.
Overdraft fees add up quickly and in several months time you may be spending more on overdraft fees than you would have by having an installment loan to pay off in a year. In addition to potentially paying less interest, it will help you get out of your cash poor situation faster in that you will be able to stretch out your payments over a longer period.
If you have an expense that you know is going to drive long term overdraft fees, call TLC on (855)222-0209 to consider an installment loan. It may be a better idea than paying those very high overdraft fees from your bank!