What are Cheap Payday Loans?

A cheap payday loan is a loan that offers you a better rate of interest, so you pay less in interest when paying it back. There are very few different lenders that offer payday loans now, and not all of them will provide you with the best deal because they are brokers disguising themselves as lenders. If you need to borrow money but want to keep you interest costs down then you’ve come to the right place to find out how.

Do I qualify for Cheap Payday Loans?

This all depends on your credit rating, how much you want to borrow and for how long. Firstly lets look at the reality of you getting a cheap loan;

Let’s assume you have Great Credit

You are up to date on all of your bills, you haven’t missed a payment in the last 6 years and your life has been a sea of calm with no house moving. Your options are……

  • Personal Loans range between 3-10% to be taken out over 12 months – 60 months
  • Loans range between 29% – 99.9% to be taken out over 12 months – 60 months
  • Short Term Loans range between 200% – 292% to be taken out over 1 month – 12 months
  • Payday Loans range between 250% – 292% to be taken out over 7 – 31 days

Now Let’s assume you have Fair credit

You are up to date on all of your bills, you have missed a couple of payments in the last 6 years and your life has been a sea of calm with no house moving. Your options are……

  • Personal Loans range between 3-10% to be taken out over 12 months – 60 months NOT AVAILABLE
  • Guarantor Loans range between 29% – 99.9% to be taken out over 12 months – 60 months
  • Short Term Loans range between 200% – 292% to be taken out over 1 month – 12 months
  • Payday Loans range between 250% – 292% to be taken out over 7 – 31 days

Now Let’s assume you have Bad credit

You are not quite up to date on all of your bills, you have missed a number of payments or have defaulted on a loan, mail order payment, credit card or utility bill in the last 6 years and your life has been a sea of calm with no house moving. Your options are……

  • Personal Loans range between 3-10% to be taken out over 12 months – 60 months NOT AVAILABLE
  • Guarantor Loans range between 29% – 99.9% to be taken out over 12 months – 60 months
  • Short Term Loans range between 200% – 292% to be taken out over 1 month – 12 months
  • Payday Loans range between 250% – 292% to be taken out over 7 – 31 days

 

Hmmmmm…. things are starting to look familiar?

As you’ll probably have noticed the loan rates above are the same whether you have good or bad credit, that’s because although loan companies show fantastic rates of interest to entice you to apply for a loan the reality is that unless you have good credit, they will offer you the highest rates the can.

Things start to look a little more deceiving when brokers offer you 100% guaranteed success and 0% interest payday or short term loans, or even no credit check loans!!!! they are the best deceit you will find because all FCA regulated lenders have to do a credit and affordability check as part of their loan application review.

Don’t be fooled by brokers offering you deals that are too good to be true, because they are!!!!!!

Also, don’t be taken in by companies or people asking you for a deposit to take out a loan, these too are people trying to mislead and defraud you.

What Fees Are Associated with our Payday Loans?

You will want to learn about some of the more common fees that can come with getting a quick loan so you are prepared. If you are late with paying back your loan, you may have to pay an additional £15 fee.

Late fees on these loans are set by the FCA and are a representative of the administration/bank costs incurred by the lender for a missed payment, which is all the more reason to pay yours back on time.

How Much Can I Borrow in a Payday Loan?

The amount that you are able to borrow with a payday loan has nothing to do with your income. These lenders usually have a maximum borrowing amount, however, your credit and employment history will be a factor that the lender will consider before deciding whether they will lend to you.

How do I get a Cheap Payday Loan?

Again, there is no such thing as a cheap payday loan, no lender out there is charging less than 292% so please don’t be fooled be false advertising

What should I look for in a Payday Loan Lender like LoanPig?

When you are trying to find cheap payday loans, it is important that you pay attention to more than just the interest rates because as you  now know, they are all they same, so consider a lender that has offered you transparent information, LoanPig offers you payday loans and short term loans over 1 month to 12 months and you can borrow between £50 and £1500 at a rate of 292% fixed per year