More than often, I heard my mother say… “It’s only the 28th. I still have to go 3 days before the ‘D’ day – payday. Well, a low bank balance towards the end of the month is not a family complaint, but a complaint that haunts one in two people in every household. Working the whole month and looking forward to a paycheck is a regular feature. But the ironic thing is that after waiting so impatiently, the sooner he arrives… the sooner he leaves! At the beginning of a month, we all have certain obligations to meet, such as gas and store bills, credit card fees, tuition fees, loan payments, medical and grocery necessities, etc The list can go on, while resources are limited. After paying all our monthly dues, our bank account has a minimum balance. Now, what if an emergency arises, especially towards the end of the month? Solution: “Say hello to payday loans!”
Payday loans are short term unsecured loans. They are used to bridge the financial gap between two consecutive paydays. Payday loans work as a quick cash source for short-term financial emergencies that might arise at the end of the month when we have a minimum bank balance for assistance. We don’t all necessarily have budgetary reserves that can help us get out of such situations. Payday loans are specially created for individuals like us. Payday loans can also avoid consequences such as late payment fees or NSF check fees. Being unsecured, they are also great for people who have no collateral or security to offer, such as renters, students, and other non-homeowners. Credit history also has no role to play in the approval of these loans. Payday loans made available online (on the Internet) are known as online payday loans.
Important Notes About Online Payday Loans:
o Online payday loans are “unsecured”. This means that they do not require any type of guarantee or security to ensure repayment.
o Online payday loans are available for amounts ranging from £40 to £1,000. They can also extend up to £1,500 depending on the lender and the affordability of the borrower.
o Payments for online payday loans are due every 14 days and can be extended up to 18 days depending on the borrower’s payday. Some lenders also offer a “rollover” option which involves the loan being extended to the next payday, in the event of certain deviations from the borrower.
o Online payday loans are available at high interest rates. They are short term, so lenders try to cover the cost and risk of lending by charging high interest rates.
o By using the online application process, a candidate can save a lot of valuable time. He can access several lenders at the same time and apply for his loan himself. There is also no paperwork involved in the online loan process.
o An online payday loan is approved within 24 hours and the loan amount is transferred directly to the borrower’s checking account the next business day.
o Approval of the payday loan is very quick and does not involve credit check. So, people who have CCJs, defaults or bad credit can also apply for this loan.
As you can see for yourself, there are a lot of benefits to consider with this loan. However, when you calculate your repayment amount, it will include the principal amount, interest, and lender fees. So unless you have no other option and the situation can’t wait, opting for an online payday loan is an ideal choice.
While using the online facility for online payday loans, you get countless benefits. From the luxury of your home, you can browse endless loan companies, loan terms and quotes, you can shortlist your choice, apply for it and send it to the lender. Lenders, upon receipt of your application, may themselves verify your details, verify your current and valid bank account and employment details. The lender approves your loan and the money is in your account the next business day. Sometimes getting your loan approved only takes a few minutes! Incredible isn’t it??? Now, on the other hand, while taking a payday loan online, you must ensure that your lender is from a reputable company because anyone can open a website. Some online lenders are not trustworthy. Just remember that they can take money out of your account as easily as they put it in. Be sure to weigh the costs and benefits of all the alternatives and you are sure to get the best payday loan online.
Non-payment of online payday loans can result in civil legal action, which leads to forfeiture of the borrower’s assets to recover the loan amount and legal costs.