Key takeaways Instant loans are quick, but they often come with extremely high fees and predatory terms. Consider alternatives, like debt negotiation or a bad credit loan, before turning to instant options like payday loans. Review any loan contract carefully to ensure you understand the terms and that it complies with your state’s laws and regulations. An instant loan can get you cash quickly — sometimes within the same day — even if you don’t have strong credit. However, the sky-high interest rates and sizable fees can make instant loans challenging to repay and may even trap you in a cycle of debt. A few extra dollars may not seem like much, but they can add up quickly and translate to a high APR. These adverse effects can be even more detrimental for low-income borrowers. In the states that allow these types of loans, payday lenders extracted $2.4 billion in fees from low-income borrowers in 2022 alone, according to the Center for Responsible Lending .…