Why Peachy Have Got it Right

The market for online borrowing is now a completely different place to what it once was, the product has changed and with that so have the lenders. Some of the more well-known lenders who were most commonly associated with this market are fast becoming replaced with more consumer friendly and customer focused lenders, one such lender is Peachy. For many years the online lending market decreased in terms of its popularity with consumers due mainly to its obvious inability to truly meet the changing needs of the modern day consumer. This once incredibly popular and useful market developed over time into a resource which was often used, simply as a result of a lack of suitable alternative.

The original product offered by the short term loans market was a world away from the modern type of online loan offered by the likes of Peachy. The product of the early days was based on a single payment repayment structure. This meant customers who were approved for a loan were asked to repay the amount borrowed, plus the interest charged, as a one-off repayment. Typically these loans allowed customers to borrow the agreed amount until their next employment pay date, meaning the loan repayment periods were never longer than 31 days. The fundamentals of these type of loans was always explained clearly upfront but the issue was simply that for many consumers, this style of repayment was unaffordable. Usually interest was charged at about £30.00 for every £100.00 which was borrowed and that meant a £300.00 loan would carry a repayment of £390.00 on the agreed date. For customers who later expressed their inability to make the agreed repayment, it was more than likely the amount would increase at an alarming rate and alternative repayment structures offered where restricted and expensive to the customer long term.

Where Peachy loans are different is that like other relatively new lenders to the market, their repayments are made on an instalment basis which is agreed up front. This means the new breed of online loans are much more flexibility than ever before and allows customers to make a more informed and sensible borrowing choice. Many lenders in the modern market have moved away from the old style of borrowing entirely and instead now offer instalment based loans which can be repaid over a range of repayment terms. This could mean a few months or as much as a year in the case of some lenders. Many lenders through the support and guidance of the Financial Conduct Authority also now go to extra lengths to ensure the repayment terms offered are truly suitable to the individual applying and their current financial commitments. This is achieved through a number of mechanisms but primarily the focus is the applicant’s current credit reference file information and budgeting information supplied at the point of applying. This such data gives the lender the opportunity to better understand what is realistic and therefore possible for the individual to repay. That’s why the likes of Peachy loans are able to thrive whilst older style lenders are rapidly falling behind.

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Wonga Provides Short Term Loans for Their Customers

There can always be times when people need money and most likely this will be down to a variety of different reasons. There can be some people who need large amounts of cash as they are looking to make an expensive purchase for items that could include a new house or maybe a car etc. There can also be other people who just need a small amount of cash as they need financial help to last until the next time they are paid by their employer. No matter what the reasons for needing cash if people have the required money saved away or maybe even just some of this they can use it as required to pay for what they need. If using savings is not a valid option then that person will need to borrow it. I think it is safe to assume that when most people look to borrow money they will try to get it first of all from family or friends as that way is interest free but if this is also not possible then lenders will have to be approached for money as required.

 

Wonga are a large UK based lender is London that aim to provide a large amount of people across the country with short term loans as a way of finance. A short term loan is when typically a small amount of money is borrowed by someone and then the debt is repaid within a maximum twelve month period of time. Most short term loans that are taken out are for amounts between £500.00 and they are repaid within a single month or just a few months. Wonga can offer borrowers the chance to borrow £400.00 for brand new customers and then repeat Wonga customers can borrow up to £1000.00 and each of the loans are then due to be repaid over one, two or three months which is the longer repayment term offered. At least knowing that the debt does not have to be cleared in a single one off payment is of huge benefit to a large amount of people who are using Wonga services.

Wonga allow customers to take out their loans very quickly in fact the speed the loans can be funded is the best of what they can offer. People can apply for a Wonga loan online in a process that should only take a matter of minutes to complete. If that same application is then approved by them they will aim to pay that person in their chosen bank account within just five minutes. They really can provide funding that quick and that is a massive benefit if people need money that quick. For instance if anyone was to all of a sudden received a large unexpected bill in the post and they are struggling to pay it, at least with a Wonga loan they can quickly have the required funds at their disposable to make such a payment.

 

Quick Quid Can Provide Bad Credit Loans

There can always be a large amount of different things to consider when people are considering taking out any kind of finance. For example that person looking at the finance must know that it is definitely needed in the first place and then they will have to select a realistic amount to then borrowing and any amount taken out must also be affordable for them to borrow. The actual type of finance will then have to be chosen and here people may not actually realise that there are different options possibly available for them to select. People can look to borrow short term loans for small amounts of cash for repayments over limited periods of time. Instalment loans are a borrowing alternative where typically more can be borrowed and then be repaid over longer time frames. Credit card borrowing is also very popular for people where they can pay for items or withdraw cash on credit up to a set limit via the use of the card itself. All three of these borrowing selections are very common and they will each have benefits and negatives associated with the product. As well as the financial product being considered or needed the lender is another thing that any lender must always consider when applying for finance. There are so many different lenders out there offering their financial products and some will definitely be better than others. In the article below I am going to in detail explain what the lender Quick Quid provide to people who need to borrow money.

Quick Quid

Quick Quid

Quick Quid are a large short term loan provider that offer quick simple finance to their successful applicants. The can offer loans to first time borrowers up to £1000.00 or if they are lending to repeat customers people can borrow up to £1500.00. Regardless of the amounts borrowed here under the short term loans agreement the debt must be repaid within one, two or three months making it the short term loan product. Quick Quid allow their applicants to apply for their loans online in a process that should only take a matter of minutes to complete. The lender can then if the application is accepted pay that customer into their chosen bank account information within a matter of minutes. They can offer all their customers same day funding and will do this free of charge. This can be seen as perfect borrowing for people who need small amounts of cash very quickly. Quick Quid can also look to lend to people with poor credit making it difficult for those same people to get financial applications accepted. If people were to then apply for loans through banks with poor credit or other high street lenders they will most likely be instantly declined however Quick Quid can still look to lend to the same people even if they can see that their applicant has missed other debt payments in the past to other Creditors. Lending to people like this can be a risk so higher interest may be charged for people with poor credit as oppose to a decent credit history.

QuickQuid

QuickQuid is a company in the UK that offers short-term loans to their customers. They are registered with the Financial Conduct Authority (FCA). QuickQuid has recently come under attack because of recent incidents. However, there is a fraudulent firm with the same name. You will want to make sure that you are not being tricked. If you have any concerns, you can always contact the FCA for further information.

 

Some key points to note are that you will never be charged with any upfront fees or payments. If the firm asks you for this, you will know that it is not QuickQuid. Do not give any personal or financial details to people who claim they are QuickQuid without confirming they are, in fact, the authorised firm.

 

QuickQuid is a responsible lender company. Even though payday loan companies, in general, are not the best because of the high interest and short term if you do take out a loan you want to ensure that you are going with a responsible lender.

 

Their goal as a company is to help you in between paydays when you have unexpected expenses or temporary financial problems. They do warn you that you should not take out a loan if you do not think you will be able to have the funds to pay it back in time. You should think deeply before taking out a payday loan.

 

Understand what you are taking it out for, and see if there is any way you can wait a few months until a few more paychecks. If not, perhaps you can put it on a credit card and pay it within your next paycheck. Even though putting excess charges on your credit card is not great, the overdraft fee sometimes may be less than the high interest of a payday short term loan. If you have friends or family you can borrow from, you may want to consider asking them before taking on an extra loan that will hurt you financially both now and in the future.

 

QuickQuid will run credit-application checks on all of their customers before agreeing to lend them money. This is to help them understand your current situation and how much they should let you borrow. The credit check is not the whole process of the loan approval, so you need not worry if you have a bad credit score. Do remember though that when lenders run a credit application check, this will show on your credit report. This footprint is not necessarily a bad thing for you as long as you can repay the loan. However, if your credit report shows countless searches over a small period, it could become a problem. It may signify identification fraud or a substantial financial need on your part.

 

Payday short term loans should be avoided at all costs. However, if you do need money to get you through to the next payday because of an extreme medical or other emergency, you may consider a payday loan. QuickQuid may be a company you can include in your research as they can help get you back on your feet and back in a healthy financial state.

 

 

 

Wageday Advance

WagedayAdvance provides short term loan services which has to be repaid on your next payday or if you get paid within the next 21 days. You could borrow an amount ranging from 80 pounds to 750 pounds depending upon your credit worthiness which is thoroughly assessed by the firm. New customers are allowed to borrow a maximum of 350 pounds and the credit limit may be increased if they manage to create a good repayment history with the lender. If the loan is paid off within the first 21 days, an interest is charged for those 21 days.

 

There are certain basic requirements for being eligible to take WagedayAdvance loans. The borrower must be a citizen of UK and must have acquired 18 years of age. He/she must have a valid UK bank account with a debit card. Also, it is important that the person should have a stable income and must be employed. This is to ensure that he is capable of repaying the loan.

The interest rates for payday loans are very high. They are calculated on a daily basis at the rate of 0.8% per day. So if you borrow an amount of 270 pounds for 34 days that will incur an interest of 73.44 pounds, the daily interest being 2.16 pounds per day. Hence the total amount you will have to pay will be around 343.44 pounds i.e. 1223.6% APR representative.

WagedayAdvance conducts credit checks for all its customers. Your loan might be approved despite not having a very good credit history if they feel you are in capacity to repay the loan. A unique loan approval system is used by WagedayAdvance apart from using the details that the credit reference agencies hold about the borrower. The lending decision is not based solely on the credit rating, but a careful decision is made after getting to know the borrower.

If you face a sudden financial problem and realize that you are unable to repay the loan, you must inform the firm about the same so that a workable solution is identified. Deferring your repayment will be very costly and it will take much longer to repay the loan. This will also lead to additional charges as the interest would keep adding up and a default fee of 15 pounds is charged.

WagedayAdvance provides very good customer service and its loan terms are quite competitive. The procedure to apply for a loan is very simple. You could apply for a loan over the phone or online. You could also get in touch with the customer service representatives on all days except Sunday. Once your application has been given an approval by the firm, the money is transferred into your account almost immediately. Despite having better terms than its competitors, they first advise you to not borrow such loans for a long term.

The complaints against WagedayAdvance are far lesser than its competitors. It was established in 2004 and has a much better corporate credibility than any of its competitors. The firm is registered with the Companies House and it has a consumer credit license from the Office of Fair Trading. This is another plus point of WagedayAdvance as many of its competitors are not registered with the Companies House.

WagedayAdvance is authorised and regulated by the Financial Conduct Authority. It is also registered with bodies like Consumer Finance Association, Consumer Credit Trade Association, BCCA, Finance and Leasing Association. It is in compliance to a charter from these bodies that is for the rights and protection of customers. The firm is committed to the charter and independently monitors its compliance to it.

The lenders who sign this charter have to make some key commitments which include – acting fairly and responsibly in all their dealings. They must inform the customer about all the costs and risks involved with such loans. An appropriate affordability assessment has to be done by the lenders. The lender must act positively and sympathetically with the customers if they are facing a long term financial trouble.

The lender must freeze the interest and other charges if a repayment plan has been worked out when the customer is unable to repay the loan on time or if the loan has not been repaid for more than a period of 60 days. The lender may also recommend some debt and financial counselling organizations to the borrowers that will help them come out of their difficult situation.

WagedayAdvance usually takes it payment through Continuous Payment Authority which is also known as CPA. It is a kind of automatic regular payment that uses the debit card that is linked to your bank account and which you have registered with the firm. Payments will be taken only on those dates and only for that amount which has been decided in the loan agreement.

The customers have the right to cancel the Continuous Payment Authority by informing their bank and the firm about the same. After cancelling the CPA, the customers must find some other way of repaying the loan on the due date as failing to do so would lead to a default fee of 15 pounds and other additional charges.

The Debt Advisory Centre (DAC) had reported about the rise in cost of living in UK in the last few years. Despite repeated warnings from the government about the risks associated with payday loans, a large number of UK citizens are opting for such kind of loans. The findings of DAC’s report suggested that a majority of people who had taken some kind of a payday loan in the last 1 year, used it mostly for covering everyday expenses.

Due to the rise in the cost of living, an average UK household has to struggle to make ends meet or they tend to have very little or no savings to fall back to handle an emergency. Very few people take the payday loans for other purposes like recreation or for buying gifts for someone. People struggling to save money should avoid taking such loans.