First Colonial Allows You To Make Quick Comparisons Between The Rates Offered By Different Loan Lenders So That You Can Choose The Best One To Fund Your Urgent Needs!
All short term loans, as the name suggests, are provided by lenders for a small duration of time, after which, they have to be repaid. In most cases, the repayment is usually done after the borrower has received their next paycheck. This is why they are known as payday loans.
APR Rates for Payday and Short Term Loans
Being short-term loans, payday loans often have high APRs or Annual Percentage Rates. However, the annual rate of interest varies amongst different moneylenders and thus, it is important to choose the rates that provide you with the best value for your money.
First Colonial Provides You With Comprehensive And Accurate Reviews Of The Leading Short Term Loans and Payday Loans Lenders Within The U.K. So That You Can Make Comparisons Between Their APR And Decide Which Rate Is Most Suitable To Your Needs!
Terms and Conditions
Just like all other loans, payday loans also have their terms and conditions based on which, loans are provided to individuals to finance their immediate needs. These include:
Short Term Loans Basics
Some of the most basic terms that apply to all short term loans and payday loans are:
- The maximum loan limit for a payday loan offered by moneylenders varies from £1000 to £2000, whereas the minimum limit can be from £100 to £200.
- The time for repayment of the loan can be from 2 weeks or 3 months to 12 months, depending on your particular needs.
- The cost of your loan or the rate of interest will vary according to the amount of the loan you take, as well as the duration you take it for. This means that the more the amount and the more the duration, the higher the rate of interest and overall cost of the loan.
Most payday loan lenders will aim to make the process simple and transparent. This is why they charge no hidden fees on your loan. A payday is free from:
- Annual fees
- Draw fees
- Early repayment fees
- Application fees
- Fast funding fees
However, each missed payment may be charged with a small penalty fee and your bank may charge you with a Non-Sufficient Funds (NSF) fee if the lender has debited your account in case of insufficient funds.
Terms of Repayment
Payday loans are usually repaid by one of two methods:
Debit Card – You can schedule your payments in advance and they will be deducted from your debit card at the due dates without any additional charges.
Direct Debit Authorisation – For people who do not have a debit card, they can authorise the lender to collect payments on fixed dates directly from the bank account.
In spite of its high APR, and terms and conditions, payday loans remain as the best and fastest way of obtaining money in emergency scenarios when no other financial aid is available.
If You Are In Need Of A Payday Loan or a Short Term Loan, Read Our Payday Loan Lender Reviews At First Colonial, And Select The Ideal One For Your Monetary Requirements!