Many people look into getting an instalment loan as a payday loan alternative, and there are many benefits to this type of loan. Hundreds of people take advantage of these loans every year, and while they work differently from payday loans, there are still lots of things which are the same.
Choose your preferred length of time
Payday loans are intended as short-term loans, which is why they are usually paid back after no longer than a month and on the next payday. However, instalment loans can be borrowed for much longer, which makes them a better alternative for people who want to start a business, buy a car or do something over the long term. From a month to ten years, you can choose exactly how much you want to borrow and over what length of time you wish to pay it back.
As the weather gets colder, it’s time to review your finances. You don’t have to wait for a full blown emergency to take advantage of financial resources online. It might be hard to turn to outside sources of help, but it doesn’t have to be that way. These days, if you have to take advantage of outside help, you’re doing it for your loved ones. You want to make sure that your family stays safe no matter what life brings your way. If you find yourself in the middle of a tough situation, the only thing you can do is breathe and then regroup. You have multiple options available to you as long as you’re willing to continue looking for them.
The first solution that comes to mind would be to look for instant payday loans. They are loans that come with a fast decision from the lender. This means that you don’t have to wait weeks and weeks for a decision, the way you would with a bank. Have you ever had to go into the bank and apply for a loan? You fill out a ton of paperwork and then you have to wait at least a week to hear back from them. Usually they want to run your credit. While you’re waiting for the official response, you still have to deal with the emergency issues head on. Late bills, collector calls, and plenty of stress are all building up in the background. It won’t take long before things start to come to a head. Are you going to be able to wait for a picky loan officer to get through a credit check and background check?
Short term loans get the job done – hands down! If you’re in a sticky financial situation and you really need money quickly, this is the best time to make sure that you get your loans covered. The more that you worry about the bigger picture, the more trouble that you’re going to have in the long run. The more time that goes by from your problem to when you solve it, the more likely the problem is to get worse. if you need to get car repairs done and you aren’t going to get your pay-cheque for another two weeks, you’re going to spend a lot more money trying to take the taxicabs to work than if you were to just get the repairs that you need.
Another point that you really want to keep in mind is that you have to think about where your short term loan comes from. Unfortunately, not every online provider of these loans is going to focus on getting you the money quickly. They may let your application just “hang”, tying it up in needless delays that keep you from the money that you need. It goes without saying that this is the last thing that you really need. It’s better to make sure that you are going with a solid provider for these loans. That’s why Emergency Loans 24/7 has been around for so long. It’s a site that gives you exactly what you need to know about these loans, leaving you with plenty of time to apply, get your money, and move on with your life.
Wouldn’t that be a refreshing change to the way that you’ve probably been treated by lenders in the past? Instead of being dismissed as not being very important, you will have a chance to become absolutely important, in every single way imaginable. After all, lenders in this financial space know that you must have some deep financial problems if you’re going to be reaching out to them, right? Absolutely.
Be sure that you are always looking around for the best place to get your loan, and then repay that loan as soon as possible. These loans are designed to be used for any purpose that you see fit, so make sure that you respect them for being the powerful tools that they are!
People are turning to short term loans more and more to solve their temporary financial setbacks but more and more attention is being placed upon the responsibility of payday lenders and of course the borrowers.
Some people seem to see short term loans as a way to solve their debt problems when in fact this is far from the case. Many of these people already find themselves stuck with a bad credit rating because of these debts.
While you can often get a short term loan with a bad credit rating it is extremely important that you stop and ask yourself “do I really need this?” Often if you answer honestly, the answer is no. If the answer is yes it could be that applying for a loan is the right choice for you assuming that you can comfortably afford to make the repayment on time. Even if you can afford to pay it back, would it not be better to seek a cheaper means of borrowing? If you can borrow from friends or family it could be a lot cheaper in the long run. It is often less embarrassing to get an online loan rather than turn to those close to us though.
If you are visiting websites such as www.shorttermloans60.co.uk there is a strong possibility that you are looking at applying for a short term loan. Your reasons could be that you have had some sort of financial crisis, or it could be that you want to get a payday loan so that you can go out with your friends for a night out or to see your favourite band.
There are some things that you should seriously consider before getting a payday loan. The first is to question whether you really need the money enough to pay the interest charges. The average interest rate is 1737% APR. In real terms this equates to around £25 per every £100 borrowed on average. If you are borrowing money for a non-urgent reason it could be worth skipping the loan on this occasion. If you stop for even 1 month, you could do what you were planning to the month after without needing to borrow the money to do so, without paying the fees to do so.
If you need to borrow the money to cover a financial emergency, which is what the main use for short term loans is. Consider whether this is a one off. If this is a one off emergency and you can afford to pay the interest a short term loan could really help you out. The benefits of an instant loan is that there is no waiting to make appointments to apply and this can be a huge factor on people’s decision to apply.
Overall borrowing dropped in the first month of 2013, with a particularly bad hit taken by mortgages. The British Bankers’ Association (BBA) said that, when compared to January 2012, the amount of cash lent through mortgages was 14% lower. The average amount given out in each mortgage fell, as well as the total number of mortgages approved.
The number of loans and other forms of credit also dropped, with people spending less on credit cards and instead choosing to repay more debt than would otherwise be the case. This may be because of the looming threat of a triple-dip recession, but some people are just blaming the cold January this year, with overall economic activity also set to drop.
David Dooks, the statistics director of the BBA, attempted to explain the drop away in a fashion that would only prove temporary: “January’s severe weather impacted adversely on what was already a subdued picture of borrowing demand from households and businesses. While general economic growth stalls, low consumer and business confidence generates a natural tendency to restrain borrowing appetite, repay borrowing where possible and to build up cash and savings as a buffer.”
The banking industry has suffered another blow after the Financial Services Authority (FSA) ruled that the rate swapping deals they have been offering to small businesses for years have been mis-sold in 90% of cases.
The rate swapping deals that were offered to businesses were supposed to protect them against rises in the base interest rate set by the Bank of England. If the rate went up, the businesses would need to pay more interest on any loans that they had taken out with the bank, but these rate swaps were a safeguard against that.
However, many businesses feel they were not adequately warned of the downside of the deal, which meant that these businesses are now locked into a higher interest rate than they would be if they hadn’t taken the deal. The record low 0.5% rate at by the Bank means that businesses who get loans can do so at massively reduced rates, but the businesses who rate swapped can’t.
The chief executive of the Secure Bank Trust, Paul Lynam, has complained that 90% of the claims that his bank receives aren’t held up the the Financial Services Authority (FSA), and says that this draws away valuable time and resources from the bank, ultimately resulting in a loss of money that could be used for lending instead.
There have been calls recently for the claims companies to pay the £850 fee for launching a claim if the claim fails, and Mr Lynam has added his voice to them. Speaking about the PPI claims, he says that “it is costing us in excess of £100,000 a month to deal with these claims companies for almost no customer benefit whatsoever. I estimate if we had no claims management company-related costs over this past year, we would have been able to lend £10 million, or 20 per cent more than we have been able to.”
Lenders in the UK are trying to capture a larger and larger chunk of the profitable personal loan market at the moment, attempting to draw customers in with lower and lower rates of interest. The result is that two providers are now offering rates of just 5.4% on some of the loans they offer, which is certainly appealing to anybody looking to get their hands on some cash for a holiday, car, redecorating or anything else.
However, the banks and building societies are still unable to compete with the emergence of social, or peer-to-peer, lending, which is drawing in ever more of the market. Although the vast majority of lending is still done through traditional means, there is a lot of scope for this more personal finance offering to grow.
The latest figures released by the Bank of England show that the number of loans and lending approved for households jumped in September, which can be interpreted as an increase in confidence among not just lenders, but among the consumers who decide to take out these loans as well.
There isn’t just one sector that has risen either, with mortgage lending, credit card lending and approved loans and overdrafts all seeing big increases. It’s resulted in a total of £1.7billion being lent out to households during September, which could fuel a real economic recovery as consumer spending increases, especially in the housing market.
However, business lending has failed to achieve the same increase, and business were in fact lent £900million less than in the previous month.