It can be quite a lengthy process to get a loan, unless it is the type of loan which can be applied for online such as payday loans. For these payday loans, there are just 6 proven stages to get even those with bad credit a loan.
The borrower needs to first find the lending institutions that offer instant cash payday loans. Searching online is the best way to find lenders. The potential borrower will find many different companies that offer these types of loans.
Research Prices for Best Terms
Once the lenders are found, some homework has to be done to find out which ones offer the best terms regarding the amount of interest charged and the time frame involved in paying back the payday loan. So the loan applicant needs to narrow down the field to the top two or three companies and go with one of them.
Some online lenders do not check credit rating so even those with a poor credit score can be approved for a short term payday loan. But for those who do, this is one of the vital steps involved in acquiring a payday loan. Lenders assess the risk involved with lending an applicant money and how likely they are to be paid back.
Some payday loan companies may want the borrower to have an amount of collateral in equal or greater value than the amount of the loan the person is requesting. Some lenders will require that certificates are faxed through to them for approval.
Bank Checking Account
An essential step is for the loan applicant to have a bank account with a national bank. This is necessary so that if and when the payday loan is approved, it can be quickly and safely wired into the person’s account. It’s also more convenient than the applicant having to wait for a cheque to arrive in the post. And so the step primarily involves the lender confirming the bank account information that was provided.
Confirmed Adequate Income
Proof of a regular employment income is required to ensure the loan will be paid back within the agreed time frame. Some payday lenders will require to see copies of more than just one pay slip.
If you’re seeking a reputable provider of short term loans UK, have a look at Payday Agency at www.paydayagency.co.uk.