What is a pay advance app?


November 12th, 2022


4 min read

pay advance

Pay advance apps have grown rapidly in Australia despite their recent arrival on the financial services scene. People who live paycheque to paycheque can benefit from this relatively new service that allows you to access your pay early, for a fee. If you want to know more about wage advance apps in Australia, keep reading. You'll find out what they are and how they function, how you can apply for pay-on-demand, and what benefits these apps offer.

Here are Things You Should Know About Pay Advance Apps

Pay advance apps allow users to borrow up to a certain percentage of their salary before they are paid. If you need your money quickly, you can apply and access it in minutes. The service gives you immediate access to your paycheque without waiting for the next payday. Pay advance apps can also be called wage advance and cash advance apps.

How Do Wage Advance Apps Work?

You must download a pay-on-demand app to use a pay-advance service and it would be best if you were employed and have a regular source of income to use these services. Your earnings will be the basis of how much money you can request. After meeting all the important criteria needed, you can then apply for a wage advance and receive the money immediately. 

The Steps for Using a Pay Advance are as follows:

  1. Download the app and create an account
  2. Based on predetermined qualifications, the app calculates the amount of money you can withdraw
  3. You can then choose the amount you'd like to take out
  4. For repayments, you will be automatically directly debited on your next payday.
Note that this process may vary from one app to another, so make sure that you check each app’s eligibility criteria if you’re planning on applying. 
No further commitment on your part is required. No overdrawing of your bank account, no hidden fees, no long-term loan, and no headaches. That's all there is to it.

Pay Advance Apps Offer Certain Features.

Each wage advance app has different features and fees, but they share some things.
  1. Pay advance apps usually have a flat fee of 5% per transaction, making them often cheaper than other short-term loans if repayments are made on time.
  2. Most providers provide same-day money access. Money transfer is completed within minutes.
  3. The borrowed money is automatically deducted from your bank account on your next payday.

How to Apply for Pay-on-demand Service

It's easy to use pay-on-demand services in Australia. Choose an app, such as Wagetap, and sign up. After registering, you'll provide a valid ID and some information about your online bank account. This step is crucial so that service providers can access your revenue information. You can apply for a wage advance as soon as you activate your account and have it verified. The money will be deposited into your nominated account immediately.

Other Important Things You Need to Know

Is there a service that lets you receive your salary before the usual payday? 
You can use pay advance apps to access your pay early. With Wagetap, you can draw a portion of your earned wages before payday.

Several reasons why your loan might be denied

You may be denied a cash advance for various reasons. Here are some of them:
  1. You requested more money than you are permitted to obtain in advance. Some apps provide up to 25% of your salary, while others offer a set amount ranging from $100 to $2,000. Be sure to investigate the terms of each app prior to applying for a pay advance.
  2. Individuals who are self-employed or who do not receive a regular income may not be eligible for pay-on-demand services.
  3. You requested to be paid in a Savings account. Most apps deposit the amount advanced into a transaction or chequing bank account. Because of restrictions imposed by banks, pay advance apps cannot issue a direct debit to most savings accounts.

It is not possible to cash out more than the approved credit limit based on your income

You cannot withdraw more than your paycheque through a paycheque advance app. With credit card cash advances, you may exceed your credit card cash advance limit and pay higher interest rates or over-the-limit charges.

Pay advance apps are convenient because they are done digitally

Pay advance apps like Wagetap allow you access to your money almost immediately. You can apply in under two minutes, check your eligibility, and get instant approval.

The Conclusion

It’s a great choice if you need cash fast between paycheques. You may have an overdue bill, have to see the doctor, or be short on money to buy groceries. Anyone can face unexpected expenses. It's essential to compare the features of pay advance apps when choosing one in Australia, especially since such apps are so popular. Ensure you verify eligibility, how much you can borrow, and what charges you must pay.
App Store
Google Play

For additional help, you can always download Wagetap. It is a leading wage advance and bill split app that allows you to access your pay early. Emergencies can always happen and Wagetap can help you handle life's unexpected expenses.

For additional help in improving your spending habits, you can always download Wagetap. It is a leading wage advance and bill split app that allows you to access your pay early. Emergencies can always happen and Wagetap can help you handle life's unexpected expenses.

Download Wagetap today

Get your Pay On demand with Wagetap

Subscribe to our Newsletter


App screens

© 2024 Wagetap All rights reserved

Digital Services Australia V Pty Ltd