Struggling on bi-weekly pay is never any fun and can be a hard way to live. There are now several apps like Earnin and Dave to help you get money when you need it most. But what is the difference between Earnin and Dave lending apps?
Each app works a bit differently. Both have advantages and disadvantages to consider before signing up.
Apps like Earnin allow you to use your paycheck as collateral. You get the amount earlier than your actual paycheck.
The app Dave Lending is technically a digital bank. It can help you receive your paycheck up to two days before the day the check is usually deposited.
Before deciding which app to use for a payday loan, you should know everything the Earnin and Dave Lending apps offer. They both allow you to receive funds early, which may help you avoid overdraft fees. But they also vary slightly.
What Is the Earnin App?
This is an app for everyday working people who need a cash advance. It is an application that many people can apply for and an option that does not charge interest fees.
Instead of charging interest, this app asks for tips if you are happy with their services. Some users may be allowed to cash out every day they work.
How Does the Earnin App Work?
You are not really receiving your own money early. Instead, they give you a loan at lightning speed that you pay back using your paycheck.
You can access the money the same day, but you owe it back on payday. You should only take a small payday advance that you know you will get back in the future. There are other apps like Earnin, but they have different requirements or charge interest fees.
What Are the Earnin App Requirements?
Not everyone is a good fit to use the Earnin app. You must meet specific requirements before signing up. Take a look at what the Earning app requires of its users before joining.
- You must have over 50% of your direct deposit hooked up to a checking account.
- You must have a regular pay schedule.
- You must provide proof of a fixed work location.
If you are a freelancer with a sporadic pay period, you may not qualify to use the Earnin app. If you are unemployed, there is also no way for Earnin to pay out funds from unemployment. If you have had a steady job for several years, this is the most suitable app for you.
Pros and Cons of Using Earnin
There are many benefits to the Earnin loan app.
- You get access to quick funds. Once your initial account is set up (which takes 72 hours), you can access instant cash on the same day as your request.
- Earnin has no interest. Similar Apps to Earning charge interest. However, this app is a part because they only ask for tips.
- Prevents overdraft fees. If you only have ten dollars left in your bank account, you can prevent an overdraft fee with the help of this app.
- This app is available for most phone users. Whether you are an Android or Apple lover, you can access this app.
- You feel confident you will always have money for expenses. There is nothing worse than missing out because of your lack of funds. With this app, you won’t have to feel that way ever again.
There are tons of advantages to using Earnin, but it does come with some disadvantages. Some of the limited disadvantages include:
- Low withdrawal limits. You cannot access an amount for your full check.
- Eligibility is based on what you make and who you work for. You may not qualify for the Earnin loan app if you have an untraditional job.
How Does the Dave App Work?
This is another great app if you are in an emergency and very low on funds. The Dave Lending app charges a monthly membership fee. Check and Dave app download.
It also allows you to tip the app if it is up to your standards. The Dave app allows you to borrow money as long as you can pay it back, and it feels like you’re getting paid early.
What Is the Dave App?
This app is meant for adults who work regularly and run into emergencies. If you are looking for quick funds to keep you from going into an overdraft, this is the solution you are looking for.
The Dave lending app is suitable for people with responsible spending habits who need funds before their checks arrive. One of the major differences about this app is that it can now help you improve your credit. As long as you pay to rent and utilities, you can use Dave banking to build your credit.
What Are the Dave App Requirements?
To use the Dave lending app, you must meet these qualifications. Like the Earnin app, not everyone will be a good fit for the Dave lending app. Here are the requirements you should know about.
- You must have a steady and reliable paycheck.
- You must use direct deposit for your bank.
- You must prove that your bills do not take up your entire paycheck.
If you are responsible for your money, this is a good app. On the other hand, if you spend more than you make or your entire check goes to bills, this is not the best option.
Pros and Cons of Dave Lending App
There are a few reasons people gravitate towards the Dave Lending app. Take a look at these advantages of this money loan app.
- Dave provides budgeting tools. On top of being a way to access money fast, this app also teaches you how to budget your money better.
- There is no interest. But you must pay a monthly fee, and tips are optional.
- Dave lets you know if you are at risk of receiving an overdraft fee.
- Dave is relatively low risk if you can pay back what you borrowed.
- Dave can show you available side gigs for extra money. The Dave lending app wants you to have money to live your life, and it tries to help you in multiple ways.
Like with any money lending app, there are a few downsides. There are not many downsides to this app, but it should only be used in case of an emergency.
- It automatically withdrawals from your bank account. Even if you need the money for something else, it will take the money you owe automatically.
- There is only a small amount you can access right away. It’s sometimes as low as $100.
Final Thoughts
Whether you choose between Earnin and Dave Lending App, you will receive money in advance. Always make sure you can pay the money back. Neither of these apps is wise for people who spend more than they earn. They are not credit card options; they are apps for emergency situations.