Tag Archives: short term loans
Are you eligible for payday loans (Page 1 of 2)
If you are in search for short term loans to cover up monthly expenses, payday loans are there to meet your emergency financial crisis situation. Payday loans are the short duration loans that have to be repaid by the borrower within the consequent payday. Basically these loans are borrowed for covering up of the every day expenses.
The payday loans are also referred to as cash advances. The main aim of these loans is to provide immediate financial support to the person who has an urgent need for cash but do not have sufficient amount of money to fulfil the needs. Since these are short term loans, the person who borrows it does not require paying back the loans in instalments each month that can be even stressful for them.
One can easily avail these short term loans online with the providers offering payday loans. The online availability of payday loans has made it easier for the borrowers to get instant payday loans. All you require is to fill a form as an application for the payday loan. The payday loan amount is paid once the procedures are completed and that amount has to be repaid by the next paycheck day.
Though these loans might simple to avail, there are certain eligibility criterions that need to be fulfilled. The eligibility criterion is basically because the lenders do not have faith whether the borrowers or the customers have the ability to fulfil the requirements or not.
As compared to the procedure followed by the other loans, it is easy to be eligible for the payday loans. The payday loan lenders have to fulfil five basic requirements for being eligible for the payday loans. First of all it is essential that the person who is applying for the payday loans must be 18 years and above. Being a citizen of the country where the person is applying for the payday loan is also one of the essential requirements along with the permanent occupation as well as evidence that can prove the same.
Other than this having a stable and balanced income is also one of the necessities. Lastly, having an active and valid account is a must for the borrower taking loan from the creditor. The lender might also ask the person to show the bank statements so that the financial status can be analysed to get the loan cleared and sanctioned.
The residence proof that is given also has the date of birth proof along with the other proofs that can enable the creditor to have all the necessary details for considering them eligible for the payday loans. For showing the active bank account, a statement of the money that is there in the bank can be simply shown to the creditor.
One of the major advantages of payday loans is that the credit account is not considered while approving the loan that can make it easier for the borrower to opt for the payday loans even with bad credit score. If you are in search for short term loans to cover up monthly expenses, payday loans are there to meet your emergency financial crisis situation. Payday loans are the short duration loans that have to be repaid by the borrower within the consequent payday. Basically these loans are borrowed for covering up of the every day expenses.
The Demands For Payday Loans Are On Rise Due To Tightening Economy
Another year is reaching its end, the recession is still biting and thousands of people are flocking to several local or short term loans. It is done in a frequent manner and the majority believes in tiding up to the coming payday.
According to the revealed data the larger chunk of U K’s population are turning to short term loans charging interest of more than 1,000 per cent to tide them over until they get paid. The number of consumers heading for the payday loans had doubled up in the past ten months as people are struggling with their household and monthly bills.
What are payday loans?
Payday loans are also known as fast and easy loans which follows a quick and easy way to attain monetary assistance at the time of an emergency. As in there are many times when financial uncertainties such as pending bills, medical urgency etc. pops up within a second and the borrower is left with no answer. Therefore, keeping such circumstances in mind, urgent payments can be done by using this type of loan as this is the most effective way of funding one’s needs.
These loans are known as a short term loan which are offered to those people who do have a regular source of income but need an urgent cash before their payday. The loan amount is usually paid back in full, certainly the moment borrower receives his/her paycheck.
Issues Triggering the Importance of Payday Loan
According to the figures released by the Money super market, the number of deals for payday loans, obtained by consumers in UK has shown a great spike more than 130 percent as compared to the previous data.
The growing strain over consumers’ wallets are basically due to soaring fuel prices and food prices that has certainly increased the business of lenders providing short term loans at high interest rates.
However, as the rise in inflation is making every single thing expensive except money so people are also struggling to meet their daily requirements.
The ongoing credit crunch are pushing the majority to go for financial support from financial sector which is already under stress with the rising competition.
All these heating up issues basically which are blamed for the exacerbating the house crisis are increasing the popularity of payday loan in UK.
However, these loans are available to those people who are in full time working and and earn more than £750 per month.
Following Terms and Conditions
Nevertheless, even though payday loans are followed by certain terms and conditions, the number of deals taken out are still one a great rise. The following pre requisites are as follows:
- The applicant must be at least 18 years of age or above.
- Should be the domiciled of UK.
- Should have a regular source of income and should hold a minimum salary of £750 per month and
- Should have an active account and a debit card for this service.
Therefore, after holding all these qualifications the borrower is entitled to attain the service of this loan.
The loan amount provided by payday loans generally ranges between £80 and £1,000. The facility of this loans can also be benefited by those people who tend to hold quite poor credit profile as this loan does not demand any credit verification.
However, it is followed by a repayment schedule and is termed to be completed within 2 to 4 weeks that is within the period of 14 to 31 days.
Therefore, these loans are the best option of attaining quick cash advances for salaried people.