| Most of us may find ourselves a bit out of | | | | process is made quicker by not having to carry |
| pocket at some point, whilst we're not one of the | | | | out any credit checks too. |
| many people who are unfortunately in debt, | | | | Another plus that payday loans have is that they |
| money may still be tight at some point. Whilst it | | | | need no collateral where as other loans such as |
| could be possible to ask friends or family | | | | secured loans would need collateral such as |
| members to lend some money for a short period | | | | property or assets, payday loans are not |
| for some people this isn't possible or is an | | | | exclusive to home owners too. |
| embarrassing prospect. | | | | Cash advance loans normally cover emergencies |
| Luckily there is a short term lending option being | | | | such as: Urgent medical check-ups, car or home |
| provided in the form of Payday loans. Payday | | | | repairs, TV repairs, sick pets etc. Although some |
| loans, otherwise known as Cash Advance loans | | | | people have used them for last minute holiday |
| are normally small amounts of money ranging | | | | deals where they are pouncing on a limited time |
| from £100 up to £1,000 and normally | | | | deal, in this case not having to wait for payday |
| are used for emergencies or situations when you | | | | may mean a huge saving. |
| need to borrow some money until your payday | | | | Repaying payday loans can be a two edged |
| at the end of the month. | | | | sword, on one hand they are rather simple to do |
| The concept of getting a loan until payday was | | | | with options such as cheques or Direct Debit |
| initially a concept popular in the United States at | | | | being preferred once you get paid. People who |
| cheque cashing shops but has now become one | | | | get paid weekly are normally expected to repay |
| of the most popular short term lending methods | | | | loans off after the fourth week's pay after taking |
| in use today. | | | | the loan. |
| Payday loans are much simpler to apply for than | | | | The downside is that the interest rates are |
| regular personal loans and are much quicker to | | | | normally higher than the loans banks issue, |
| get money from. The application process can | | | | sometimes 25% or 29% which encourages |
| normally be done on the Internet or the telephone | | | | borrowers to pay off the loans as soon as |
| with the money being in your account within 24 | | | | possible since payday loans are not marketed as |
| or 48 hours. The amount of documentation | | | | long term solutions. They are however marketed |
| needed is significantly less with most companies | | | | as quick solutions and for infrequent borrowing, |
| needing just bank details and a recent payslip to | | | | people. |
| provide evidence of a steady income. The | | | | |