Payday loans are considered as the best option for the people who are in
dire need of finance. It is a feature of the payday loans is that the lenders
do not check the credit report of the loan-seeker when they approve the loan
application. Payday loans are free from credit checking. It is also good that
the loan-seekers are not directed to fax their personal details to the lender,
because saves time. The lenders do not also ask the borrowers to put up
valuable assets as a guarantee as the payday loans are exempted from
collateral. As the borrowers are allowed to apply online, processing of the
loan application is executed with a great speed.
The lenders, just after granting approval to the loan application, transfer the
loan amount to the bank address of the respective borrowers so that they can
receive the amount on the same day or within twenty four hours. This is why the
lenders want that the applicants must possess checking accounts. People who are
British citizens and who are above 18 can apply for the payday loans. It is
necessary that they have been working in a registered office or plant at least
for the last six months. The loan-seekers must have a monthly income of about
An amount within the range from £100 to £1000 is offered towards the . Yes, it is small finance. It is similar to short loans and short
term loans. The repayment duration is also short and it is a period within 14 to
31 days only.
Another important thing in the payday loans is that interest is charged at
rates higher than normal. The lenders, for this reason, advise the borrowers
not to stop payment. The borrowers are charged with penalties and fines for any
sort of lapses, lapses like less payment, late payment, arrears, defaults etc.
Moreover, the loan-seekers are advised not to go for a second loan before the
outstanding towards the payday loans is cleared in full.
Payday loans are advanced by the lenders keeping an eye on the paycheck of the
borrowers. The loan amount is paid against the paycheck that the applicants are
sure to get on the next month. Payday loans are of great relief for the
salaried or wage-earning people, no doubt.
Rosie skylar is author of .For
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