Planning to take a loan? Here’s all that you should know

Why should you opt for payday loan lenders and not brokers? Keep in mind that there are all kinds of lenders on the market, ready to offer a loan and also make money by charging interest.  If you are in the market for a loan, make sure that you go to a lender directly instead of using a broker.  Some of the reasons to do so are:

  • Brokers do charge for their services and this will add on to the cost of the loan. If you are not sure, double check before applying. Make sure that the name of the lending company is the right one, especially if you are using a website.
  • If you deal with a lender directly, it is easy to establish a relationship and get personalized service. Brokers usually just pass on information and they may not have an idea of each lender’s policies. Direct lenders are more interested in getting to know customers better. They also have a service department in place which helps borrowers to understand the terms of their loans better.
  • You may be surprised to find a long list of lenders on line but only a few of them are genuine. If it is possible, call a few of the companies and make sure that you are talking to a direct lender and only then sign up.
  • Most lenders have streamlined the lending process and their turnaround time is also pretty good. All a borrower has to do is fill out information online and wait for the lender to get back in touch. There are tools on lender websites that let you figure out how much you are eligible for and also the amount of interest you have to pay.  New borrowers get a smaller amount and based on their payment patterns can get a larger amount.
  • The onus of repaying the loan in a timely manner is with the borrower. If unexpected issues crop up, talk to the borrower so that the terms can be renegotiated.  Lenders usually require bank account information to deposit/transfer the loan amount and are not averse to taking it from the bank on the due date.
  • Payday loan lenders take 24 hours to process the application and send funds directly to the bank. Some may even do it in a shorter period.

So, what are you still waiting for?