Tag Archives: payday gap

GetMeToPayday – A Quick Review

Whilst GetMeToPayday are not a payday loan lender they are a trusted broker in the lending industry as they have access to a number of trusted payday loan companies. Consequently they are in a good position to find the best short term loan to suit your needs.

By using a payday loan broker like GetMeToPayday usually ensures that you find at least one payday lender who will be able to lend to you. However, like any loan or credit it’s extremely important to ensure that you can repay the loan on the due date.

So what are the main benefits of obtaining a payday loan through this company?

As a broker they will obtain a loan with a reputable payday lender.

They can find the most competitive rates on payday loans.

The loan decision is extremely quick and money can be in your account the same day (in some cases mere hours).

There are obvious benefits to taking out a short term loan with a broker, however, we strongly recommend comparing payday loans and their criteria before making any decision.

TXTLoan Benefits – A Quick Look

TXTLoan are a payday loan company with a difference.

Like any payday loan firm they can offer small short term loans between £100 and £500 a month. However, unlile other payday lenders they also offer the ability to apply via your mobile phone.

As strange as it sounds it is actually that simple. You register on the website then, once approved, you send the company a text message and they can transfer the payday loan into your bank account within minutes!

Incredible when you think about it… according to the company it takes around 11 minutes to apply and take out a payday loan – far quicker than any other lender in the market at the moment. However, this is a little debatable as they all claim to be fast – from Wonga to PaydayUK.

Like all payday loans it’s very important not to be fooled by the ridiculously high APR quoted on the website – trust me, this is not what you repay. APRs are based over a year – remember a payday loan is only a monthly loan.

When it comes to interest rates TXTLoan are probably one of the cheapest on the market – an example quoted on the website of £100 accumulates 17% interest – so the amount the borrower repays is simply £117.

Whilst TXTLoan are not one of the longest running payday loan firms out there at the moment they are one of the most trusted and have been featured on the BBC, The Guardian and a number of other high-profile news publications and media.

They are also licenced by the Office of Fair Trading and they operate a responsible lending and treating customers fairly policy. You could do worse than taking out a payday loan with TXTLoan.

Compare payday loans with Creditwindow.

A Review Of Payday Express

Payday Express are probably one of the longest running payday loan companies in the marketplace.

The firm sees their short-term loan solution as a way of “bridging the payday gap” between when you need the money and your next payday.

They have been offering short term loan solutions since 1999, however oddly enough, unlike Wonga, PaydayUK and QuickQuid they’re not as well known. This is undoubtedly due to their relatively low-profile in the press and media.

In spite of this it doesn’t make them any less trustworthy when it comes to borrowing payday loans. They effectively offer the same thing – a payday loan amount between £80 – £800 over a monthly period.

They have a fixed interest rate of around 25%, however, like any payday loan firm they have to state their Annual Percentage Rate (APR) which is 1737%. Again – whilst this sounds like a lot the fixed interest rate is the true measurement of the amount you repay. For example, if you borrow £100 you repay £125 on the agreed repayment date.

If you are unable to meet the repayment it’s important to tell Payday Express so that you can set-up a payment plan, however, you should try to repay this as quickly as possible as interest rates can quickly creep up on you.

Payday Express is a nice quick online process – you simply enter your details and you can be approved within minutes. That’s one of the nice and convenient things about faxless payday loans – no paperwork and no waiting for approval.

Whilst the payday lender are as trustworthy as any other well-established firm it is still important to remember – don’t borrow more than you can afford to pay back.

Not convinced? Compare payday loans with Creditwindow.

QuickQuid – A Quick Review

In much the same way as PaydayUK, QuickQuid has been around for a number of years and in this case is actually a globally established lender, operating worldwide, making them one of the most trusted payday loan firms in the UK.

QuickQuid originally started out as CashNetUSA – a US based payday loan firm back in 2004 and QuickQuid was launch shortly after in 2007.

In much the same way as PaydayUK and Wonga.com they are dedicated to responsible lending practices to ensure that they only lend to people they believe can repay the loan. This is another reason why the likes of QuickQuid are so stringent in their criteria of who they lend to.

QuickQuid will only lend to people who are employed, aged over 18, live in the UK and have a valid UK bank account.

However, like most compliant payday lenders they also state that they will only lend an amount they’re sure the borrower can repay at the end of the month. In spite of this, if the borrower is unable to repay it at month-end, they do have the option of deferring payday loan repayments so that they can repay it in manageable chunks over a few months.

It is worth bearing in mind though that, like any other loan, the sooner you repay the short term loan the less interest you will have to pay. So repaying the payday loan quickly is in your best interests.

So the question remains – should you borrow from QuickQuid? The simple answer is – it’s up to you but bear in mind that these guys have been around for as long as PaydayUK and longer than Wonga.com. They follow similar compliance processes.

Still unsure? Compare payday loans with Creditwindow.

Compare payday loans - find the best one to suit you and your needs.

It’s easy to think that all payday loan companies offer the same product and base their lending on the same criteria.

This is a mistake that’s not worth making – it’s important to choose carefully which is why many simply compare payday loans and what different schemes have to offer.

So why should you compare payday loan companies? Well it’s simple really – there are a number of criteria they tend to differ on, including:

Compare Interest Rates

I’m not necessarily talking about the Annual Percentage Rate (APR) – APR is an inaccurate measurement of the interest you repay on a payday loan so I’m not going into this again. The actual interest rate is a measurement over the course of a month – if we look at two lenders who use a “slider” on their websites we can actually take a look at the amount you would likely repay. Payday UK – for example, have an APR of 1737%, however, if you actually calculate it properly you won’t pay anywhere near this amount of interest.

Let’s assume you want to borrow £80 over a 30 day period. In effect you’ll repay the £100 plus interest of around £29 – which makes the repayment value £129. This makes your actual interest simply 29% – cheaper than some bank overdrafts or even affordable unsecured loans.

The same applies to Wonga – however, it actually works out at slightly more expensive with an interest rate over 30%. In spite of this it’s important to bear-in-mind that not all lenders will have interest rates as closely matched as this – some will undoubtedly charge more. But this is why it’s so important to compare payday loans before simply taking one out.

The Amount You Can Borrow

The amount of money you can borrow from a payday loan company is yet another thing to consider. You won’t be able to borrow the same amount from all payday lenders. For example, did you know that Wonga have set their first time loan limit to £400 – and they’ll only loan you the maximum if they’re sure you can repay this at the end of the month.

Let’s now quickly compare this to Payday UK who seem pretty willing to lend you full £750 first time around if you need it. However, like Wonga they will only lend you the maximum if you can repay it.

When comparing payday loans it is vital that you consider the amount you want to borrow and whether you can feasibly repay it at the end of the month. It’s also important to be completely honest when applying for a payday loan. The last thing you want is a huge debt that you’re unable to repay – that interest rate will only increase the more you leave it. This is why it’s ideal to repay the loan quickly (within a month / 30 day period).

So – take a look around and browse our range of payday loans. Most importantly – find a loan to suit you and your needs.

Image: digitalart / FreeDigitalPhotos.net

How Do Payday Loans Work?

If you’ve read any of the other posts on this website by now the reason you may want to consider a payday loan is probably pretty obvious, however, let’s take a quick look at why they could prove useful.

Whether you are having car problems, facing an unexpected bill or some other expense – a payday loan could potentially get you out of a fix.

I suppose the nice thing about a payday loan, as oppose to any other form of short-term loan, such as a credit card balance, is the fact that it can be made available to almost everyone – poor or good credit scores.

In fact a payday loan can be made available almost instantly (well at least within 24 hours really).

Applying For A Payday Loan

It’s really easy and quick to apply for a payday loan – far easier than a standard unsecured loan as the lenders don’t need to have quite as much information.

In the case of most payday lenders it tends to be a page of information you need to fill in. The payday loan company can then tell you within seconds whether or not you’re approved.

As long as you’ve been approved the company will simply ask you to enter your bank account details (so the loan can be paid in) and your debit card details (so you can repay the company).

The agreement then appears on the screen and you simply need to agree it – once agreed the money could be in your account the same working day. Pretty impressive if you think about it – it far outstrips the speed of an unsecured loan.

But are payday loans right for you?

It’s down to you really – if you have access to a credit card with a decent credit balance then you probably don’t need a payday loan. However, there may be instances where you may prefer to turn to a payday loan over a credit card, including:

Emergency childcare
Unexpected Bills
Paying for your MOT
Car repairs
and more…

How much money are you able to borrow?

Most payday loan firms will offer between £80 – £750 (£1,000 in some cases), however, don’t be fooled. Whilst you may be able to eventually borrow the larger amounts most payday loan firms will only lend what you can afford to repay. For example, you may be able to borrow £120 the first time around and then take out a larger amount once you’ve repaid the balance on this loan… but even then it still depends on your personal circumstances.

What if you can’t repay your payday loan?

This is something worth thinking about. Payday loans can mount up over time if you don’t pay them off quickly. However, most payday lenders will offer something known as a loan deferral. This simply means that you can defer the loan repayment for another month… however it does incur interest. This is why it’s absolutely essential to try and repay the payday loan as quickly as possible. The last thing you want is to descend into debt if you can avoid it.

Wonga Payday Loans – What Makes Them Different?

With the growth of the payday loan market in the UK Wonga is probably the best known out of all the major players – thanks largely to their television advertising.

In truth Wonga’s television advertising and Viral marketing campaigns are probably the only things that really set them apart from other payday lenders.

If you look at the average payday loan television advert out there by the likes of QuickQuid and PaydayUk, as just two examples, the advertising campaigns tend to be pretty dire, only matched by the likes of those Cash 4 Gold adverts.

Ok, I’m probably being a little unfair to Wonga – there are aspects that do set them apart from other payday loan firms. Let’s take a look at a few:

Wonga are probably one of the only payday lenders that really are up-front about the amount they charge people. It’s fair to say they were ground-breaking in introducing people to their “slide-bar calculator” that effectively tells you how much you will need to pay back if you choose to borrow the amount you specify.

Wonga will only lend smaller amounts up-front – for instance they publicly state that the maximum amount you can borrow (as long as you can repay it) is £400. In comparison some payday loan firms actually state that they lend up to £1,000 – grossly misleading, especially since many lenders will not actually lend this amount the first time round. Wonga is at least transparent in this regard.

Wonga’s interest rates are lower if you borrow a payday loan over a shorter period of time – the lower the interest rate will be. For example, most payday loan companies fix the length of time over a monthly period so you are obliged to repay the loan with the full month’s interest. With Wonga you can actually specify the loan period – pretty flexible if you ask me.

So are Wonga the same as every other payday loan firm? Well – they are still a payday loan company – whatever else they claim to be, however, they do have a number of differences that make them stand out. Would I borrow from Wonga if I needed to? Probably.

Payday Loans – A Short Term Solution?

More and more UK borrowers are being turned down for credit right now. However, that doesn’t hide the fact that we all need a little financial help now and again, especially as we emerge from one of the worst recessions in history. So, when you need extra money to pay for unforeseen expenses there is certainly no harm in considering a payday loan as a viable option.

The vast majority of people are usually accepted for payday loans without a glitch and you don’t need a great credit score. The only real lending criteria you need to meet to get a payday loan is a full-time job with a moderate salary, to be a permanent UK resident, and to be over 18.

But what kind of things should you consider taking out a payday loan for? Well they can be used for practically anything – from funding a short break to seeing you through until the end of the month when funds are tight. But here’s a list to give you some “food for thought”:

Petrol costs
Utility Bills
Groceries
To assist with mortgage repayments
and more…

To find out more about payday loans please visit Payday Loans – More Information.

What to look out for when getting a payday loan

Taking out a payday loan can seem a foreign concept to many of us, however, at some point in life, almost everyone has experienced a financial downturn at one time or another. Unfortunately there are situations when quick money is needed, whether to pay off unexpected bills or when financial demands simply come out of the blue!

It’s in situations like these that payday loans can prove to be a useful solution. A payday loan is essentially a short term loan that last for around a month and is useful for people looking for quick cash to bridge the gap until payday.

In recent years payday loans have become more and more popular as payday lenders never credit score and very rarely ask to see documentation. Once approved the loan can be in your bank within 24 hours.

When shopping around for a payday loan there are a number of points you should look at carefully:

1. The total amount the payday lender is willing to give you. Details on this must be included in the agreement.

2. Payday loan charges. Lenders can include a range of charges, fees and interest rates over the lending period. Always shop around to ensure you’re getting the best deal for you.

3. The APR (or Annual Percentage Rate). This can prove an excellent way of comparing payday loans, however, it’s worth bearing in mind that an APR is a measurement of a yearly loan. Payday loans are monthly and therefore an APR isn’t always the most accurate measuring tool.

4. Available repayment options. Repayment is traditionally set for payday – typically a month after you’ve taken out the loan. However, should it prove difficult to repay the loan you can defer repayments and pay-off in instalments.

Payday loans prove a better alternative to overdraft fees

More and more banks have a tendency to encourage their customers to overdraw their current accounts, allowing the banks to skilfully avoid credit laws and collect millions in overdraft fees.

Curiously enough it has recently been suggested that payday loans could present a more economical form of credit than paying out for expensive overdraft fees.

Typically most forms of credit charge a typical annual percentage rate (APR) or around 16%, however, overdraft fees charge fixed fees for any transaction that goes over the limit. Overdraft fines can be anything between £15 – £35 per transaction, translating to a potentially very high APR.

In comparison you only pay back around £15 – £20 for every £100 borrowed from a payday loan company. As long as your payday loan straight-away repayment costs can be kept to a minimum and prevents you from going into the red with your bank. This not only prevents potential overdraft fees but can also stop any cheques from bouncing, and spiralling into excessive debt.

Following a case brought against the banks by the Office of Fair Trading (OFT), many banks are starting to realise that charging their customer’s excessive amounts for going overdrawn is unethical and needs to be regulated in the same way as credit cards and other forms of lending such as unsecured loans and payday loans.

Creditwindow's Blog

For All Your Financial Needs…