Yes! It is true, you are reading that Headline correctly; Bank Overdrafts are often more expensive than Instant Payday Loans.
Consumer Group Which? have investigated and found that for unplanned Overdrafts, Banks are charging up to 8 times more than the 0.8% per day that Short Term Lenders charge over 30 days.
The fallout from this Report is understandable, MP’s are demanding that the FCA imposes a similar cap upon Overdrafts in the same way that they have done for Payday Loans. The FCA have been gathering information about this for some time now and have promised to report their findings later this year.
What can we take from this? Well, for one, we can point to evidence that our loans are more affordable than many Overdrafts and, thanks to correct Regulation, do offer you, the Customer, a valid and cost-effective solution when an instant payday loan is required. Immediate cash is our Business and providing it in an affordable, safe way that ensures you do not find yourself in any form of financial hardship is our Mission.
So what are Payday Loans?
A Payday loan is a short term loan, usually up to 30 days, that is repaid including interest, on your next pay date. These loans are subject to credit checks and affordability assessments; these are to ensure that no-one takes out a loan that they cannot comfortably afford and therefore avoid spiralling debt.
Immediate Payday loans are not meant to be used for repayment of other loans.
Given that these loans are designed to be speedy, they are generally accessed online and most can be obtained via mobile-specific web-pages making completion of applications easy since you can do so from your phone or tablet from any location. To apply now, please go to: https://www.thequickloanshopltd.co.uk
This Blog post was brought to you by the Team at The Quick Loan Shop Ltd.