Pay day loan is often misread with a debt consolidation loan. A pay day loan is only a short term loan which will be adjusted from the pay automatically payday loans no credit check unlike a debt consolidation loan. If a person is burdened with too many loans like housing loan, vehicle loan, credit cards etc., the best way to keep the repayment under check is to consolidate these loans into one loan. This can be a regular loan with monthly instalment spread over a period of time. On the contrary, the lender offering a pay day loan with no credit check is concerned about the loan being repaid on the pay day and the short term interest that he earns out of this lending. Hence it is to be noted that a debt consolidation loan must never be replaced by a pay day loan as the borrower will then be burdened of paying the entire loan with interest on the pay day itself. These pay day loans will have to be used only as short term loans so that the borrower is able to repay it on the pay day itself.