Payday loans are used by people looking for emergency cash necessary until their pay day arrives. They are mostly used to cover emergency expenses including emergency medical bills, vehicle repairs, or for paying off other debts though they can really be used for anything. These kinds of short term loans are growing increasingly popular as they offer a lightning fast turn around time and are usually easily attainable. The majority of companies are able to transfer the money to the lender within a few hours. Though they’re a simple and convenient way of dealing with an emergency, the pay day loan industry is currently under fire. In this article we’ll be answering the question: Are companies offering guaranteed payday loans safe to use?
Within the financial industry there are a huge amount of companies looking to take advantage of desperate people looking for short term loans, they fill their own pockets with little regard for the consumer by charging those borrowing money extortionate fees making the initial loan impossible to repay. Though these types of companies are well documented in the media and are giving pay day lenders a bad name, not all companies are like this. Below we have provided some handy tips to help those looking for a pay day loan avoid a costly and troublesome experience:
- Just like anything on the Internet, it is of vital importance that you conduct your own research before choosing a pay day loan company to use. Over the last few years hundreds of them have begun trading meaning that there are a lot to choose from with all of them offering different products and rates. You can secure yourself a lower interest rate and thus save yourself money by simply shopping around.
- Make sure that the company is providing you with all the information that you need , i.e fees, payment method and repayment date. These need to be clearly displayed, you don’t want to get stung by unfair charges hidden away in small print! Also be sure that the company has contact information in the form of their email and/or telephone number, in the event of something going wrong you are going to want to be able to contact the company.
- Once you have fully completed you research, review the full conditions and terms provided by the lender. The agreement that you sign needs to be crystal clear. If they aren’t clear then contact the company, ask them to explain things and don’t sign anything until everything is fully understood.
- Always trust your gut instinct ! f you feel there’s something unprofessional concerning the companies customer care or their website then don’t sign a contract and return to point one of looking for a reputable company.
- Once you’ve filled in the the application form and been approved it’s time to prepare for your payment, at this point it may be a good idea to recheck your expenses for the next month. As with any loan if you miss your repayment it can lead to you paying late fees and more importantly, it can have a negative impact on your credit rating.
Remember, the financial industry has always been full of rogue companies and in this financial climate there are more than ever before. It is extremely important that you’re knowledgeable enough to ensure that you’re dealing with a reputable company.