If you are looking to buy a home, an online payday loan might be very helpful. Of course a loan will not purchase a home; in fact the money aspect won’t do you much good at all. As we know, homes are very expensive and payday loans are usually only for a few hundred dollars.So what kind of help could a payday loan online provide? It is a great “go to” for emergency costs when you are trying to protect and build your credit before applying for a home mortgage. These payday lenders do not make a hard inquiry into your credit history, as other creditors do. You will not lose any points off your score just for applying. The loan itself will, once approved will not be reported to your credit either. The “no credit check” loans will not hurt your credit rating whatsoever unless you default on the loan.Building your credit can take years. Any little mishap or inquiry can change your score for the worse. Most bad remarks will remain on your credit report for 7 years. Even the inquiries from creditors will take two years to come off. Having little history or only a few items on it will be most affected by these inquiries. The biggest damage to your report will be within the first six months. If you are looking to buy a home in the next six months, do not apply for a credit card, but use a low cost payday loan online instead. There are lots of little costs which come into play when planning to purchase a new home, but applying for new cards or spending the available balance on ones you do have will only interfere with your application for your home mortgage.The payday loans themselves are easy to obtain and quick to process money into the bank. The hard part is for those who will not have the money to pay them back using their next paycheck. Any defaulted loan will be sold to a collections agency and the default debt will then be posted as a negative onto your credit. This default would not be a good thing for your home mortgage application. The purpose of staying away from using other creditors is to keep your credit clean for the six months.If you have other debt problems which may interfere with a home mortgage, you will want to address them. You are able to get one free credit report per year. When you look into your credit, it will not show up as a negative on your report, so take advantage of your free one. Every bit matters, comb through the report looking for any errors and the dates which they were reported. If you have some problems which are almost 7 years old, it may behoove you to wait until they do come off before applying for your mortgage. Using payday loans online during this time is appropriate when you have the funds to pay them back on time.Besides giving yourself a better chance at being approved for the home mortgage, the higher your score, the better you interest on that loan. You could be saving tens of thousands of dollars form interest over the years.