Over 70 million people in the USA have received social security benefits from the SSA in 2022. Over 66 million of these recipients are also eligible for cash advance loans.
These people also qualify for Supplemental Security Income (SSI). These sources of income after retirement make them eligible for personal loans. If a person is eligible for social security benefits and receives them regularly, they can pay back their loans, too.
Anyone can be in a cash crunch due to unforeseen expenses, and it is okay to take a short-term loan to pay for the unplanned expenses, even if the interest rates are high. There are many ways of getting cash advances once you’re retired and on the social security recipient list. But not all the lenders are worth giving a shot. Following is a list of a few that are the most popular and have the best reviews online.
Cash Advance for Social Security Recipients
1. Beem
Beem is the best instant cash advance app for social security recipients. It can help you withdraw up to $1,000 from your regular bank deposits.
How to Apply?
The Everdraft™ feature of Beem helps you get instant access to funds even without the deposits you will soon be getting. All you need is to sign up on the app, check your eligibility for withdrawal, and subscribe to the funds you need in minutes.
Pros
Any social security recipient eligible to get instant loans can subscribe to it on the Beem app.
Cons
The app’s eligibility criteria are not transparent. So, if your income frequency is too low, you might be ineligible for large-value loans, regardless of the quantum.
2. MoneyMutual
This is the best network for getting pre-approved loans through its pool of lenders with exceptional customer service.
How to Apply?
Anyone who has collected at least $800 in social security benefits in a month is eligible for a payday loan from MoneyMutual. You only need to download the app, sign up for an account, link your bank account, and pay the loan to get the pre-approved loan.
Pros
It is one of the best apps for short-term loans up to $5,000, available within 24 hours as it is a marketplace for lenders.
Cons
The loan approval may take up to a day, as opposed to a few minutes on most other apps.
3. CashUSA.com
This is another reliable and trusted app for cash advances that charge interest based on a person’s credibility.
How to Apply?
Anyone who collects at least $1,000 in social security benefits in a month or has other income over the given threshold is eligible for a payday loan from CashUSA.com. To get the loan, you need only download the application, sign up for an account, link your bank account, and get pre-approved.
Pros
The loan range on CashUSA.com is from $500 to $10,000. Depending on eligibility, which is typically shared within a few minutes, the loans are directly disbursed to the accounts.
Cons
You must provide your checking account information and personal details, such as your email address and phone number.
4. SmartAdvances.com
This is a popular cash advance app on the market for all people, including social security recipients.
How to Apply?
Applying for a cash advance on SmartAdvances.com is simple: download the app, sign up for an account, and get approved for a loan within 2 minutes. All you need is a monthly income of $1,000 or above in your bank account.
Pros
It offers loans of as little as $100 for immediate needs. The interest and term vary depending on the specifics.
Cons
To qualify for the loan, you must present a state-issued ID, such as your Driver’s License.
5. BadCreditLoans.com
This is another lender’s marketplace that allows lenders to define their criteria for lending out advances.
How to Apply?
Depending upon your credit score and income, lenders can directly respond to your request and lend you on pre-agreed terms. All you need to do is create an account and follow the instructions.
Pros
You can choose the type of credit you require: a personal loan or a revolving line of credit.
Cons
As you need to show regular income proof from any source to be eligible for a loan, if you cannot provide the same, you might not qualify.
6. CreditLoan.com
It is a marketplace of lenders that encourages people with bad credit scores and a dire need for a cash advance to apply for one and get access in a day.
How to Apply?
Once they join the marketplace, anyone with proof of income (the limits are not mentioned) can apply for the loan.
Pros
People can access loans from $250 to $5,000 deposited directly into their bank accounts.
Cons
The ambiguity around the required income for eligibility can be misleading.
7. InstallmentLoans.com
This is the most professional financial app out there, focusing on personal loans. It offers payday loans and cash advances if the need arises.
How to Apply?
You can download and sign up to join the community. Once you connect your bank account to this app with a single tap, you can get pre-approved loans.
Pros
It does not require collateral or cosigner to issue a personal loan and offers exceptional security on its website.
Cons
Eligibility requires a checking account and a minimum monthly income of $800.
8. PersonalLoans.com
This is one of the elitist apps for personal loans, given it offers high-value loans on a higher minimum income threshold.
How to Apply?
If you earn more than $2,000 monthly, you’re eligible to apply for a loan on PersonalLoans.com. All you need is an account on the app and a bank account connected to it.
Pros
You can get a loan of up to $35,000 on this app.
Cons
The app also connects you to credit monitoring and debt settlement services, but the vendor matching could be better.
9. 24/7 Lending Group
This is an excellent app for employed professionals who want to join a thriving community and avail themselves of instant loans of up to $35,000.
How to Apply?
Download the app, sign up for your wallet, link your bank account, and get access to instant loans.
Pros
The app is good at matching low-value and long-term loans with lower interest rates.
Cons
It only caters to employees rather than social security recipients.
How Social Security Benefits Work
Social Security benefits are financial support the U.S. government provides to eligible individuals, primarily retirees, disabled individuals, and survivors of deceased workers. The Social Security Administration (SSA) administers the program.
Here’s an overview of how Social Security benefits work:
Eligibility
Individuals become eligible for Social Security benefits through contributions made during their working years. Eligibility is generally based on earning “credits” through Social Security-covered employment. The number of credits required for eligibility varies according to the type of benefit.
Types of Social Security Benefits
Retirement Benefits: These are available to individuals who have reached the full retirement age or choose to receive reduced benefits as early as 62 years of age.
Disability Benefits: These are accessible to individuals who cannot work as a consequence of a qualifying disability or those who meet specific eligibility criteria.
Survivor Benefits: Paid to a deceased worker’s surviving spouse, children, or other dependents.
Full Retirement Age (FRA)
This is the age at which individuals can receive their full Social Security retirement benefits.
Earnings Record
Social Security benefits are calculated based on an individual’s highest 35 years of earnings. The Social Security Administration uses a formula to determine the Primary Insurance Amount (PIA). The PIA represents the monthly benefit amount at full retirement age.
Claiming Benefits
Individuals can choose when to start receiving Social Security benefits. While the earliest age to claim retirement benefits is 62, delaying benefits until later results in increased monthly payments.
Spousal Benefits
Depending on their circumstances, spouses may be eligible for Social Security benefits based on their work history or up to 50% of their spouse’s benefit amount. Ex-spouses may also qualify for benefits based on their former spouse’s earnings.
Cost-of-Living Adjustments (COLA)
Social Security benefits are subject to annual cost-of-living adjustments to account for inflation. The SSA reviews the Consumer Price Index (CPI) to determine whether an increase is warranted.
Medicare
At age 65, individuals receiving Social Security benefits are usually eligible for Medicare, which provides health insurance coverage for qualified individuals.
Alternatives to Cash Advances
Alternatives to cash advances include personal loans and lines of credit. These vary in purpose and usage and, therefore, in their respective costs.
Home Equity Loans or Home Equity Lines of Credit (HELOCs)
Both home equity loans and home equity lines of credit (HELOCs) allow homeowners to leverage the equity in their homes for various financial needs. However, they differ in structure, interest rates, and how funds are accessed.
Interest Rates: Home equity loans typically have fixed rates, providing stability. HELOCs have variable rates, which can lead to fluctuations in payments.
Usage Patterns: Consider your financial needs. A home equity loan might be suitable if you have a specific expense. For ongoing or uncertain expenses, a HELOC may be more flexible.
Risk Tolerance: A home equity loan might be preferable if you prefer predictable payments. A HELOC may be suitable if you can manage variable payments and want flexibility.
Equity Protection: Both options use your home as collateral. Be cautious and consider your ability to repay to avoid the risk of foreclosure.
Tax Considerations: Interest on both types of loans may be tax-deductible, but recent tax law changes may impact eligibility. Consult a tax advisor for personalized advice.
Conclusion
There are many ways to get your finances under control, no matter what age you are. Yes, there are numerous options and loan alternatives if you are looking for a cash advance for Social Security recipients, too. All it takes is some research on your part to zero in on the services most suitable to your needs.
Remember, you can always try Beem for the best loan offers to consolidate your debt and stay ahead of your financial management.
