A Guide to Getting the Best from Direct Lender Payday Loans
Sometimes, everyone needs a little extra cash to help them through a financial rough patch or pay an unexpected bill. This is what payday loans were designed for – to allow borrowers to take out a small loan for a short period of time when they need it most.
The idea is that you borrow just enough to cover your immediate expenses, and repay the loan (with interest) when your next pay cheque arrives. The positives in this arrangement are that the money usually arrives very quickly (within minutes, in some cases), and loans are available to people whose credit isn’t as good as it might be.
The flipside is that there’s no limit to how much interest a direct lender of short term loans like this can charge. Some companies charge as much as 4000% APR – as well as a handling or processing fee. While this is undoubtedly a high rate of interest, the point of a short term loan is that the borrower pays it back before too high an interest rate can accumulate.
In the UK, there are two ways of getting a payday loan – through a direct lender, or through a broker. A payday lender loans the cash directly to the customer, while a broker acts as a mediator between the customer and the lending company.
Using a broker may increase the chance of your loan application being accepted. A broker can also speak to multiple lenders on your behalf and help you to find the best deal. However, he’ll expect commission, which added to the lender’s fees and interest rates can rack up pretty quickly.
Borrowing directly from a payday lender is quicker and cheaper than using a broker because it does away with the middleman. As so many direct lenders of payday loans operate online, it’s easy for a customer to compare lending companies themselves without needing to go through someone else.
The advantage of payday loans for many people is their speed and convenience. If that applies to you, then the best option is to apply to a direct lender rather than through a broker.
Phoenix Payroll Ltd - About Author:
Yorkshirecash.co.uk provides short term payday cash loans to the UK, giving you a break when you need it most. We lend up to £400 in cash, which you pay back on your next pay day. We are licensed by the Office of Fair Trading and we won’t lend you money unless we truly believe you are capable of repaying it, so you can be sure you’re in safe hands. Find out more at http://www.yorkshirecash.co.uk/
Published by Adinm Gaili on June 14th 2012 | Loans
Published by Baldwin Will on April 6th 2012 | Loans
Published by Alan Cruzs on July 25th 2012 | Loans
Published by Beidhi Ceeper on May 21st 2012 | Loans
Published by Morgan Sadyu on January 14th 2012 | Loans
Published by Andra Nail on June 15th 2012 | Loans
Published by Abnir Bond on April 26th 2012 | Loans
Published by Thoms Stuart on June 25th 2012 | Loans
Published by Lee Lister on January 24th 2012 | Loans
Published by Adan Thomas on May 15th 2012 | Finance
Published by Julia Bennet on January 4th 2012 | Loans
Published by Benton Nhester on May 19th 2012 | Loans
Published by Ponting Sarad on July 4th 2012 | Loans
Published by on March 28th 2012 | Loans
Published by Andrew Stomes on December 22nd 2011 | Loans
Published by Smith Eldwin on July 7th 2012 | Loans
Published by Lowell Moore on January 30th 2012 | Loans
Published by Kelse Roy on May 7th 2012 | Loans
Published by Jon Kohli on May 10th 2012 | Loans
Published by Adinm Gaili on June 5th 2012 | Loans