A payday loan is a small, short-term unsecured loan, "regardless of whether repayment of loans is linked to a borrower's payday.The loans are also sometimes referred to as "cash advances".
The basic loan process involves a lender providing a short-term unsecured loan to be repaid at the borrower's next payday.
Payday advance loans rely on the consumer having previous payroll and employment records. Legislation regarding payday loans varies widely between different countries, and in federal systems, between different states or provinces.
The best time to take one of these type of loans would depend on the needs of the borrower.
It would be best to only take such a loan if you are sure that you can repay it within the prescribed period as it is not a long term situation and there is no downpayment option.