Guaranteed Payday Loan by Direct Lender- The Myths and Facts

The numbers of employees and professionals experience the funds shortage to manage the never expected emergency expenses. The guaranteed payday loans, offered by numbers of direct lenders in the UK with online presence, have become the most preferred choice to manage anytime financial crisis often caused by delay salary, job switchover, forced leave, long vocations etc. To get the least priced guaranteed payday loan deal, knowing the trade secrets is imperative. Over the years, the popularity of payday loans is increasing; still, the numbers of myths refrain the needy borrowers from getting this financial help. What are most common myths about direct lending? Knowing the facts may help you get the best offer of guaranteed payday loan direct lender in turn making the on time repayment easier.

Common Myths about Payday Loan by Direct Lending Agency:

A popular, wide spread myth in employed people’s community, is that direct lenders trap the employed borrowers by big promising; but most of the borrowers feel trapped when they pay undisclosed charges, never discussed processing fees, higher APR than the discussed APR. The competitive marketplace never lets the direct lender apply such business tactic because everything is online and under control of FCA. Many people think that the most of direct lending agencies work on commission basis; therefore, the consultants of these agencies encourage the borrower to borrow more; it is myth. Instead all the leading lending agencies offer £ 100 like no guarantor small amount short-term loans also for daily needs. Some employed borrowers have misconception that they will have to pay high processing fee; while, the direct lending agencies offer no fee loans also.

Facts of Guaranteed Payday Loan by Direct Lender:

The leading direct lending agencies offer even the ‘zero processing fee’ payday loan also. The tailor made proposals are designed with transparency in the line of borrower’s requirements. Anyone, irrespective to wage size, can apply for this financial help but the monthly wage is accounted to judge the repayment credibility. Even the small amount bad credit loan involves high risk of non repayment; therefore, guaranteed bad credit payday loan is offered at higher APR but within reasonable and competitive boundaries. The average payday loan amount in the UK is £260; the average repayment period of payday loan is 22 days; and, if the borrower fails to repay the entire amount on time, the direct lender can't charge the default penalty exceeding to £15. The short-term bad credit payday loans are capped at £ 500; the entire amount is to be paid by the forthcoming pay day. The payday lending in the UK exists since the introduction of Consumer Credit Act (CCA) in1974; today, it is the most sought after loan module.

Concluding Note:

A legit direct lending store can't guarantee for approving the applied loan amount before checking the credibility through different parameters; credit score is also the one of those parameters. In case you have low credit score, you should apply at direct lending agencies offering no credit check guaranteed payday loans. Choosing a direct lending agency offering short term loans for unemployed also is better to take on financial help time help if you come in to unemployment stage because of any reasons.