If you have an emergency expense of some kind that you need to take care of, a payday loan could be the solution you need. These loans have helped countless people to get out of bad financial spots, and they can do the same for you. The more you learn about payday loans, the easier it will be to benefit from them. This article will help you get the information you need so you can make the right decision.
What Exactly is a Payday Loan?
A payday loan can provide you with anywhere from £100 to £1,500, which you will have to pay back within 2-4 weeks. These short-term loans are available to many different people, including those with bad credit. They are typically obtained by people who are in desperate situation where they need cash fast.
Where to get a Payday Loan
Payday loans are given out by private lending companies, most of which are based online. While there are still some brick-and-mortar payday loan places in the UK, they are becoming increasingly scarce. The fact is that there are lots of highly reputable private lenders that can provide you with the money you need when you need it.
You can apply for a payday loan on the lender’s website. It is all very convenient and usually doesn’t take any longer than half an hour.
There is some information that you will need to submit to the lender, such as:
- Your full name
- Phone number
- Proof of income
- Job history
- Photo ID
The lender will look at all of the information you submit to determine whether or not your application should be approved. There are only a few very basic requirements for getting one of these loans, so it is pretty easy to qualify. As long as you are over the age of 18, have a checking or savings account and make enough money, you should get approved.
Benefits of Taking out a Payday Loan
There are numerous benefits of taking out a payday loan, especially if you need to borrow money as soon as possible.
- Fast cash: You will be hard pressed to find another borrowing option that can get you money as quickly as a payday loan. In fact, you could get your money within a matter of hours after getting approved. This will allow you to take care of your emergency expense in a timely manner.
- No credit check: There are actually a number of private lenders that don’t even bother to run credit checks on applicants. These are the “guaranteed loans” that you have probably heard so much about. While no loan is guaranteed for everyone, the chances of approval are very high.
- Flexible terms: The flexible nature of payday loans works well for most people who need money right away. Most private lenders that give out these loans are willing to work with borrowers to an extent. You should be able to find a private lender who can help you out.
- Spend the money how you want: With a payday loan you can spend the money you get however you want. You won’t have to answer to anyone about this.
Who Should get a Payday a Loan?
Anyone who finds themselves in a situation where they need money for something important right away should think about getting a payday loan. These loans were designed for people who need cash fast for one thing or another. They are also a great option for people with spotty record reports and low scores. If you have problems getting approved by your bank or credit union, this is an excellent alternative to explore.
Paying Back Your Loan
You will of course need to pay back the money you borrow from the lender, usually with your next paycheque. Make sure that you know exactly when the money is due. The lender might take out the money you owe them from your bank account automatically on the due date. This can be a good thing, as you won’t have to worry about forgetting. The last thing you want to do is be late on your loan, even by a day. It can lead to some fairly steep fees that can be difficult to get out from under.
Despite the somewhat spotty reputation that payday loans have, they are a wonderful borrowing option for almost anyone. Even people who don’t have a problem getting a bank loan sometimes choose this option. Just make sure that you find a highly reputable lending company to borrow from. The more research you do into these options, the better of a deal you will get on your loan as a whole. A payday loan could provide you with the funds necessary to cover a really important expense right now.