A head to toe guide on Payday loans

About payday loans

The payday loan industry is growing fast in many countries, especially in the UK.

If you are planning to opt for a payday loan, then you should read this to learn more about this type of loan.

Payday loans are, basically, very small loans to meet urgent money needs. These loans are provided for amounts between £100 and £800 and are usually repaid on your next payday. Your next payday could be anything between 14 and 45 days away. If you are unable to repay the loan on the agreed repayment date you can apply to roll the loan over by paying an additional fee.

A payday loan is directly transferred to your bank account after your application is approved. It is possible to have your loan approved within a few hours of applying, so, if your car has suddenly broken down and you desperately need some money to repair it, then a payday loan may be a good choice.

Before opting for this type of loan, remember that UK payday lenders charge no more than £24 interest for £100 borrowed over 30 days.

What makes it different: –

Payday loans are different because they are loans which you can apply online and access almost instantly – and which have a short-term repayment policy. Other loans from banks and financial institutions tend to be for larger amounts and longer periods. If you are unsure about being able to repay a loan on the agreed date, then it is probably best not to apply. Saving money is always a option. Short term payday loans are designed for financial emergencies.

Challenges you might face: –

The major limitation of a payday loan is that it provides only relatively small amounts of money. But since it is for emergencies, most of the times it is sufficient. Another concern could be that if you keep making use of payday loans and keep delaying the repayment date, you could be experiencing more major financial difficulties

Warning: Late repayment of loans can cause serious money issues. Head over to www.moneyadviceservice.org.uk for help.

Regardless of these challenges, the payday loan is one of the best options for meeting your emergency financial needs. Reputable loan lenders like Monkeydosh.com give you fast and flexible loan schemes to meet your unexpected financial needs.

Finding the Right Policy for your Animal Companion

When it comes to taking care of your furry family member, you want the best. You take the time to provide nutritious food and adequate exercise. When it comes to ensuring their health, taking the time to research and purchase an adequate insurance policy should be next on your list.

Protecting Them and You

Anyone who has ever owned any type of animal knows the costs that can quickly mount when an emergency arises. Annual check-up appointments and mandatory vaccinations can strain the budget. Add in an unexpected illness or condition and your vet bills can quickly add up. If you do not possess a policy insuring against these unexpected or routine costs, this can put your finances in a bind. Purchasing a quality policy that ensures that the major expenses will be covered is crucial.

When you research Australian pet insurance, you’ll find a variety of policies out there to serve your needs. There are policies that are very similar to the types of coverages that you can purchase for your family members. Routine care, major medical coverage and comprehensive policies are available to choose from. Knowing that when a major illness occurs that you are only responsible for a pre-determined deductible can bring tremendous peace of mind during that time. Also, having coverage for many routine visits can be a bonus as well.

Premiums, Deductibles and Coverage

You’ve done the comparisons and looked at the options and now you need to decide on which type of insurance you need. Finding out the monthly premium cost is important. Being able to afford the policy ensures that it stays in effect and is available to you year round. Investigate the deductibles for the different types of policies, coverage and conditions. They may vary depending on many factors. Knowing upfront what it will cost for an expensive procedure will be beneficial when the bill for the deductible arrives. Also, looking into what, if any, exclusions exist can be very helpful. All of this information should be available to you before you make your decision. Your insurer will also be able to ask any questions you have about these issues.

Ask about if there are any discounts available for combining different types of policies. You may be able to save on your premiums by combining a major medical policy with a routine care package. Enquire about any restrictions on the vet office that you can go to. You want to make sure that your current vet accepts this type of policy before purchasing. Finding out you might have to switch to another office might not be what you’re looking for. Calling your vet office and asking about their policies regarding insurance is a good step in the process.

Is your policy renewable? If so, what will the increase be if you decide to stay with that particular insurer? Also, take the time to ask at the time of renewal if any coverages have been added or removed in any way so you can keep on top of what your policy covers.

What You Need to Know to Avoid Paying Too Much for a Payday Loan

When you need fast cash in an emergency, taking out a payday loan is a good way to get it. However, you need to be careful about the payday loan company with which you do business. While most companies are reputable, there are some payday loan businesses who only care about making money. One good way to tell if you are dealing with a reputable company is to know some of the regulations governing the industry.

Why Payday Loans Are Regulated

The use of payday loans in the United Kingdom has skyrocketed in the last few years. The industry has grown so much that each year, more than £2.8 billion is borrowed from payday businesses. With this kind of money at stake, many less than reputable companies have found ways to make money off of people needing money desperately.

One of the ways they make money is to charge very high-interest rates. When they were not being carefully watched by the government, some payday loan companies were charging interest rates of over 5,000 percent APR. It was estimated that due to the lack of regulation, payday loan customers were overpaying by as much as £45 million per year.

Limits on Loans

The Financial Conduct Authority, FCA, in the UK has placed limits on the amount of interest and fees for payday loans. As of January of this year, there will be a daily limit of 0.8 percent on the interest and fees on loans. In addition, the total cost of a loan will be limited to 100% of the original loan amount.

For those struggling to pay their debts, including any money borrowed from payday loans, the late fees are capped at £15. These limits will result in fees and charges of no more than £24 per every £100 borrowed from a payday loan business. This will significantly lower the rates for most payday loan customers.

These regulations will help to weed out the unscrupulous lenders who make money off of people who need to borrow money to pay for emergency situations. By knowing this information, it will help you avoid scams that can be prevalent in the payday loan industry. This information could end up saving you a significant amount of money.

Bad Practices by Lenders

When you want to take out a payday loan, there are ways to spot an unethical lender. Some of the practices they will engage in include:

  • Pressuring you to borrow more money than you need.
  • Hiding information about their loan process.
  • Charging a fee to find a lender for you.
  • Overcharging on loan interest.

Pressuring You to Borrow More Money

A reputable lender will not try to get you to borrow more than you can afford. Payday loans are meant to be small loans to help you get by until your next payday or to help you pay for emergencies when you don’t have any money in the bank. For instance, if your car breaks down or if you need a new tire, you can go to a payday loan business to borrow what you need.

Some payday lenders will loan you amounts as small as £50 and as much as £1000 to £1500. Most lenders will not try to get you to borrow more than you need as the loan needs to be paid off with your next paycheque. However, some lenders will push you to borrow more, then when it cannot be paid back on time, they will charge late fees and other charges.

Hiding Information

A reputable lender will disclose everything about their payday loan process to you when you go to borrow money. They will tell you their interest rate, what fees may be applicable and what fees you may face if you fail to pay the loan back on time. If you go online to apply for a payday loan, all of this information will be on their website.

A lender who is trying to scam you will not disclose all of their information to you. They may not tell you about their charges and fees until after you’ve signed for the loan or they may put it in fine print on the loan contract. You could end up paying way more than you should if you don’t get all of the necessary information upfront from the lender.

Charging Fee for Lender Search

Some online payday loan services are not directly from payday loan companies, but they are businesses that match lenders to people wanting to get a loan. Most of these companies do not charge a fee for their matching service. Their fee is generally paid by the lenders, not the customers.

However, some of these services may try to charge the customer a search fee to try to make more money from them. If a company does charge a fee, do not do business with them as there are many more businesses who provide this service free to those looking for a loan.

Overcharging on Interest

One of the more common practices that a less than reputable payday loan company will try to get away with is charging too much for interest. With new limits on the interest rates that can be charged, you need to look out for companies that are still charging too much interest. You could end up pay much more for the loan than you should.

Carefully read over the information on any payday loans for which you apply, this includes loans taken out online. Since most people go online to take out a payday loan, it is estimated 84% go online rather than to a local payday loan store, there is more opportunity for them to be scammed.

If you carefully read all of the information and know some of the regulations guiding the payday loan industry, you can find short term loans offered by an ethical provider and not end up paying more than you should. You shouldn’t have to pay more to get a small loan quickly in an emergency.