Answering The Top Questions Related To Payday Loans?

For the uninitiated, a payday loan is a form of personal loan, which is unsecured and is repayable on the next pay day. If you need immediate cash, such loans can be useful. In this post, we have answered a few questions, so that you can take a call.

Why apply for payday loans?

Well, payday loans have many benefits. Firstly, you can get instant approval. Check websites like Lucky Loans, and you can apply in less than five minutes. Approvals are guaranteed on the same day, and once approved, you can expect the money in your bank account in less than 15 minutes. As mentioned, payday loans don’t require a collateral and is easily accessible.

How much can I borrow? What are the requirements?

The option of payday loans is available for salaried or employed people only. You must be a citizen of the UK, must have an active bank account and a legal job with a decent salary. You should be aged 18 or above. The requirements are pretty basic, and you can get as much as £2000 or more from some lenders. Please note that payday loans are repaid on the next pay day, and in some cases, extensions can be possible.

What are the possible downsides?

It is well-known that unsecured forms of finance have a higher rate of interest, and payday loans are no different. The interest rate remains a concern, but eventually, most people agree to the same because the money is instantly approved. Also, extensions can be expensive, which is something you must note.

How can I use the money?

There is no restriction to how you can use the amount from payday loans. Most lenders don’t ask for a reason for personal loans, as long as they are sure of getting the money back. Pay your medical bills, car repair costs, holidays or consolidate many bills at the same time, the choice is yours.

Does the loan require a credit check?

Usually, payday loans don’t need a credit check, but there can be exceptions. Check with the lender if they are interested in the credit score. Unless you have defaulted on many payments at the same time or have a record of not paying loans on time, you have no reason to be refused.