{"id":26606,"date":"2022-05-26T15:03:37","date_gmt":"2022-05-26T14:03:37","guid":{"rendered":"https:\/\/www.lendingstream.co.uk\/blog\/?p=26606"},"modified":"2023-02-23T10:09:45","modified_gmt":"2023-02-23T09:09:45","slug":"what-should-you-look-for-in-payday-loans-direct-lenders","status":"publish","type":"post","link":"https:\/\/www.lendingstream.co.uk\/blog\/what-should-you-look-for-in-payday-loans-direct-lenders\/","title":{"rendered":"What Should You Look for In Payday Loans Direct Lenders?"},"content":{"rendered":"\n<p><a href=\"https:\/\/www.lendingstream.co.uk\/blog\/emergency-fund\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>Unexpected emergencies<\/strong><\/a> tend to creep up on us at the wrong time. They become harder to deal with when we don\u2019t have enough cash to cover what\u2019s needed. At times like these, you might find your only option is to borrow the money. If this has happened to you don\u2019t worry, you\u2019re not the only one. The demand for <a href=\"https:\/\/www.lendingstream.co.uk\/loans\/short-term-loans\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>short term loans<\/strong><\/a> to help in situations like these has increased. If you can pay the money back out of your next wage, then a Payday loan could be your answer.<\/p>\n\n\n\n<p>There are many <a href=\"https:\/\/www.lendingstream.co.uk\/loans\/payday-loans\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>Payday loans<\/strong><\/a> direct lenders around. If you find you need to take one out, there are things you should consider before applying. Here we\u2019ll go through what to look for from your Payday loan lender.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69f2f6d8131d1\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69f2f6d8131d1\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/what-should-you-look-for-in-payday-loans-direct-lenders\/#what_is_a_direct_lender_payday_loan\" >What is a Direct Lender Payday Loan?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/what-should-you-look-for-in-payday-loans-direct-lenders\/#which_payday_loan_direct_lender_should_you_choose\" >Which Payday Loan Direct Lender Should You Choose?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/what-should-you-look-for-in-payday-loans-direct-lenders\/#are_payday_loans_bad_credit_loans\" >Are Payday Loans Bad Credit Loans?<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\" id=\"what-is-a-direct-lender-payday-loan\"><span class=\"ez-toc-section\" id=\"what_is_a_direct_lender_payday_loan\"><\/span><strong>What is a Direct Lender Payday Loan?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Payday loans are small, short term loans that are designed to help tide you over until you next get paid. This means you pay them back in full usually within a month. Because they\u2019re meant to help you out in an emergency, they\u2019re not suitable for long term borrowing needs.<\/p>\n\n\n\n<p>When you apply for a Payday loan with a direct lender you know who you\u2019re dealing with. This usually makes the application process much quicker. If you apply through a broker, they\u2019d have to match up your information with suitable lenders first. If accepted by any of the lenders, you\u2019d then have to complete the application process with them.<\/p>\n\n\n\n<p>Applying with a direct lender makes it easier to find out information about their terms before you apply. And if you\u2019re approved, the money is paid out fast. Some lenders will send the cash to your bank in minutes. But how do you know which direct lender to go with? Let\u2019s find out.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"which-payday-loan-direct-lender-should-you-choose\"><span class=\"ez-toc-section\" id=\"which_payday_loan_direct_lender_should_you_choose\"><\/span><strong>Which Payday Loan Direct Lender Should You Choose?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>As there are so many Payday loan direct lenders out there, you can afford to be choosey. It\u2019s important that you select the right one for you. The things to consider are as follows:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Are they approved by the <a href=\"https:\/\/www.lendingstream.co.uk\/blog\/financial-conduct-authority\/\" target=\"_blank\" data-type=\"URL\" data-id=\"https:\/\/www.lendingstream.co.uk\/blog\/financial-conduct-authority\/\" rel=\"noreferrer noopener\">Financial Conduct Authority<\/a> (FCA)? Being authorised and regulated by the FCA is important. It means that they have to follow the government guides on lending. For example, they can\u2019t charge you more than 0.8% interest per day and they can\u2019t charge more than \u00a315 in late payment fees.<\/li>\n\n\n\n<li>Have a look at what the direct lender\u2019s criteria are. Most lenders will tell you what you need to be eligible to apply with them. For example, they may need you to be earning a minimum salary and have a current bank account.<\/li>\n\n\n\n<li>How much can you borrow? Some lenders have minimum amounts that you have to borrow. If this is more than what you need don\u2019t be tempted to apply for more. Stick to what you need and make sure you can afford the loan repayments.<\/li>\n\n\n\n<li>What\u2019s the repayment term? Some payday loan companies will want the loan paid back in full when you next get paid. Others will let you pay it back over a longer period, sometimes up to <strong><a href=\"https:\/\/www.lendingstream.co.uk\/loans\/6-month-loans\/\" target=\"_blank\" rel=\"noreferrer noopener\">6 months<\/a><\/strong> as a short term loan. Check the terms and do what\u2019s best for you. If you find you can\u2019t repay it all in full when it\u2019s due, you\u2019re likely to be penalised.<\/li>\n\n\n\n<li>Check the interest rates. Short term borrowing of this nature is usually costly. The interest rates are usually higher than on standard bank loans. It\u2019s important you know how much the loan is costing you. You should also find out how much in total you have to pay back. Compare the figures with a few direct lenders to see which one offers you the best rates.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"are-payday-loans-bad-credit-loans\"><span class=\"ez-toc-section\" id=\"are_payday_loans_bad_credit_loans\"><\/span><strong>Are Payday Loans Bad Credit Loans?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Payday loans are available to everyone. The loans can be taken out by people with <a href=\"https:\/\/www.lendingstream.co.uk\/blog\/improve-your-credit-score\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>good or poor credit scores<\/strong><\/a>. This is because the lenders don\u2019t just look at your credit score. Payday loan lenders will consider whether the loan is affordable for you. They\u2019ll do this by finding out what\u2019s going in and out of your bank account so they can assess your affordability.<\/p>\n\n\n\n<p>Be mindful that every time you <a href=\"https:\/\/www.lendingstream.co.uk\/loans\/\" data-type=\"URL\" data-id=\"https:\/\/www.lendingstream.co.uk\/loans\/\"><strong>apply for a loan<\/strong><\/a>, the lender might do a hard credit check on you. They wouldn\u2019t be responsible if they didn\u2019t. Having a lot of credit checks (<a href=\"https:\/\/www.lendingstream.co.uk\/blog\/soft-credit-check\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>soft credit check<\/strong><\/a> and <strong><a href=\"https:\/\/www.lendingstream.co.uk\/blog\/hard-credit-check\/\" target=\"_blank\" rel=\"noreferrer noopener\">hard credit check<\/a><\/strong>) on your file could have an impact on any future applications you make. This is why it\u2019s always better to do your research first. Go with the lender that best suits you and your situation, and never borrow more than you need.<\/p>\n\n\n\n<p><strong>Disclaimer:<\/strong> Note that, we are not providing any financial advice. Our blogs are written for informational purposes only. Also, we are not promoting or affiliated by any of the third party websites that are linked in this article. They are for reference only.<\/p>\n\n\n","protected":false},"excerpt":{"rendered":"<p>Unexpected emergencies tend to creep up on us at the wrong time. They become harder to deal with when we don\u2019t have enough cash to cover what\u2019s needed. At times like these, you might find your only option is to borrow the money. If this has happened to you don\u2019t worry, you\u2019re not the only [&hellip;]<\/p>\n","protected":false},"author":48,"featured_media":26608,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[267],"tags":[],"class_list":["post-26606","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-loans"],"_links":{"self":[{"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/posts\/26606"}],"collection":[{"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/users\/48"}],"replies":[{"embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=26606"}],"version-history":[{"count":2,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/posts\/26606\/revisions"}],"predecessor-version":[{"id":26609,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/posts\/26606\/revisions\/26609"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/media\/26608"}],"wp:attachment":[{"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=26606"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=26606"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=26606"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}