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Payday Loans, Installment Loans, and Lines of Credit

When you’re in a pinch, short on funds, and too far away from your next payday, Cash Central is here to help. Day or night, you can apply online for a loan or log in to your Cash Central account and request funds* to be deposited directly into your checking account. Depending on the state you live in you may have a couple of options to choose from when requesting a loan. In several states, Cash Central offers a choice between payday loans, installment loans, or line of credit loans** and there are several differences between these loan options. Read on to learn more about each type of loan so you can better decide which loan option is best for you.

Payday Loans

Payday loans1 can often go by many names, including cash advance, payday advance, cash loan, and more. Regardless as to which name you use, chances are you’re referring to the same thing – a short-term, small dollar loan. Payday loans have a couple of key characteristics that make them different from other loans; they are usually offered in smaller loan amounts and, in most cases, are paid in full on a person’s next payday. Payday loans are typically used when unexpected expenses arise between paydays and a person needs funds to cover them and bridge the gap to their next payday. Some other common uses for payday loans include:

  • For emergency expenses such as a car repair.
  • Covering unexpected medical expenses.
  • Ensuring on time bill payment.
  • To avoid fees for a late payment or to avoid bank overdraft fees.

Fees for a Cash Central payday loan typically range from $15 to $27 per $100 borrowed. While at first glance these fees may seem high, fees for a payday loan are often a much more affordable option for a person who may otherwise be facing expensive bank fees for a returned payment or late fees from a missed payment.

Installment Loans

You may be more familiar with installment loans2 than you think, as they are very similar to a car loan or a mortgage just on a much smaller scale. Cash Central installment loans typically offer higher loan amounts than a payday loan, and often have lower rates and more flexible repayment terms. While payments on installment loans generally align with a person’s paydays, they don’t require payment in full in one lump sum as payday loans typically do. Instead, payments are made over a period of anywhere between 6 to 24 months in equal amounts. Installment loans tend to be used to cover many of the same expenses as payday loans, but the expenses are usually slightly larger and require more funds.

Lines of Credit

Line of credit loans3*** are most similar to a traditional credit card, are often referred to as revolving creditor open-end credit and are Cash Central’s most flexible loan option. Under a line of credit, a person is approved for a credit limit, which is the maximum amount they can borrow, and, at any time, they can request funds in the amount they need up to that limit. Payments on a line of credit loan are made monthly, and can either be a payment in full, a partial payment, or the monthly minimum payment. With other loan options, after paying off an existing loan, a person must reapply for a brand-new loan if they need more funds. With a line of credit loan, a person is approved once and then can borrow, pay off, and reborrow against their credit limit for as long as the line of credit is open. Line of credit loans are great for those who need more long term and ongoing financing options.

We hope this has helped give you a better understanding of the different loan options Cash Central has to offer. For more information on Cash Central loans, including information on repayment options, refinances, or to see how you can get the most out of your Cash Central experience, feel free to visit the Cash Central blog, or our Frequently Asked Questions page.

** In California, deferred deposit loans are provided in accordance with the Department of Financial Protection and Innovation pursuant to California Deferred Deposit Transaction Law, Cal. Fin. Code §23000 et seq.

**Loan options vary by state. Please visit our Rates & Terms page to see the loans available in your state.

***Line of credit loans are currently only available in the state of Kansas.

Update: At this time, Cash Central no longer offers line of credit loans.


1Pino, Ivana. (2022, Dec 7). Retrieved from: https://fortune.com/recommends/loans/what-is-a-payday-loan/

2Maverick, J.B. (2023, Feb 7). Retrieved from: https://www.investopedia.com/articles/personal-finance/072316/how-installment-loans-work.asp

3Porter, Kim. (2023, Jan 10). Retrieved from: https://www.creditkarma.com/credit-cards/i/what-is-line-of-credit