This is because of the higher then usual interest rates that are associated with using a cash advance. Also it is important to know that there are limits of about $2,000 that any cash advance place will loan and the interest rate is normally 20% or higher.
Also, when using a cash advance it is important to understand that when the loan is due the company will deduct the original amount of the loan as well as the interest that is due from your checking account. This is highly important to remember because no one wants to have money deducted for one thing that they may need for something else.
A cash advance loan company will also not conduct a credit check on the potential borrower. The normal criteria are a valid and active checking account, a current job, and maybe some identification like an id card, driver's license, or utility bill. The checking account is verified by using a voided check.
The job is verified by calling the number or numbers that you provided or by checking to see if the number is registered to the company you gave them. The utility bill normally doesn't require any further verification due to being based upon its payment status because if it is current then it's more then likely that you live at the address on the bill.
