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What risks should I be aware of when I take out a loan?

If you take a Lending Stream loan because your finances are tight, an unexpected expense could make it difficult for you to repay your loan. Missed loan payments can result in late fees and additional loan interest charges that can make your loan more expensive than you originally planned.

We do everything we can to avoid putting you in this situation by carefully assessing your ability to repay a short-term loan. However, we can't anticipate everything about your financial situation when we decide whether or not to approve you for the loan. Carefully consider your ability to repay a loan before you apply. Review the details of the cost of a Lending Stream loan and be certain that you can fit loan payments into your budget. Also consider the possibility that you might run into other unexpected expenses that could make it difficult for you to make loan payments. Read more about How It Works.

More about short term loan dangers

You may have heard about, or experienced yourself in the past, payday loan dangers or other risks associated with short term borrowing.

When it comes to this type of borrowing, late or missed repayments can mean that your loan ends up costing more than you originally expected, which is why it’s important to make sure that you can afford to make the repayments on time before you commit to the loan.

You may have heard about people falling foul of payday loan risks & dangers, resulting in financial difficulty. At Lending Stream, we want to avoid this kind of situation, which is why we check each applicant’s credit history and take their individual circumstances into account before we approve a loan.

However, we understand that circumstances can change once you have taken out a loan, and unforeseen expenses do crop up at times. This is why we ask applicants to carefully consider whether they will be able to afford loan repayments if something of this nature were to happen. Missed payments can result not only in additional fees and interest charges, but can also leave a black mark on your credit file, which can have a negative impact on future attempts to borrow from any lender. Short term loans are not the right type of borrowing for everyone; so we want all potential applicants to understand the risks involved before they apply.

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1325% APR

Learn more about the cost of your loan, default charges, risks and prepayments.

Responsible Lending: Carefully consider whether a loan is right for your individual financial situation. Borrowing of this type is an expensive form of credit that may be appropriate for short term financial needs but which is not appropriate for longer term borrowing or if you are in financial difficulty. All loan application are subject to status, terms and conditions and to satisfactory passage of checks on credit worthiness and affordability.

We don't offer loans under 60 days. Early prepayment options that are available are not associated with any fees or cost. Maximum APR of 1698.1%. Given a Representative APR is 1325%, if you borrow £200 over 6 months at 292.0% p.a. (fixed) your first repayment will be £33.60 followed by £96.00, £75.84, £66.88, £62.40 and £48.96 the following months. You will repay £383.68 in total, there are no additional fees.