The Best Payday Loans in the UK
Have you ever felt cash-strapped? Or as if you’d never be able to make that credit card or energy bill payment? Well, help is at hand for those feeling unfortunate.
We’ve compiled a list of the payday loans we feel will give you the best value. Before thinking about even getting a payday loan, always read the small print, understand what your interest rate will be on top of paying the money back, and work out how you will be able to repay the money back, and pay on time.
If you’ve found yourself short on cash this month, one possible solution is a payday loan. These short-term loans are designed to help you out in situations where you need a relatively small amount of money quickly – for a broken washing machine or an unexpected car repair, for example.
In this article, we’ll break down exactly how payday loans work, how much they’ll cost you, and how to avoid common payday loan mistakes that can lead you into debt. We’ve summarised our top picks for UK’s best payday loans below, but if you’re keen to shop around for yourself, we’ll also explain how to choose a reputable, ethical lender.
The 10 Best Payday Loans in the UK
- Mr Lender
- Money Boat Loans
- Quid Market
- Cash Float
- Cash ASAP
- Lending Stream
These are short term loans that are expected to be paid back within the next payday. It is very easy to be approved for these loans. The easy approval and access to funds are what make them quite popular. Many people turn to these loans when faced with emergencies. But still, there many other reasons why individuals opt for them. Unlike traditional lenders, payday lenders do not pay much attention to borrowers’ credit history and score. Proof of income may be sufficient to get you a payday loan. But as they say, it is imperative to give a second thought when a deal appears so sweet. Whenever you want to borrow money online instantly, always take time to weigh all the options that you have.
Payday loans are often perceived as predatory lending. This is because they often predate individuals’ finances. What do we mean here? Well, it is so easy to borrow payday loans than it is to pay them off. These loans have an APR of at least 390%. They are just so expensive and often end up ruining the finances of individuals rather than helping them get out of the money crisis.
I am aware of several friends who took these loans for genuine reasons. Unfortunately, their financial conditions worsened over time. Once the first loan was repaid, most of them felt some sort of inadequacy and ended up renewing their loans. While there is a provision to repay the role over the loan, there are costs associated with that. For instance, you may be required to pay an additional of up to $30 for a loan worth $100 in case you opt for a rollover.
What are payday loans?
A payday loan is a small, short-term loan of between £100 and £1,000. Originally, they were only designed to tide you over until the next payday, hence the name. Today, though, most lenders offer the option to repay in either a lump sum on an agreed date or in a series of instalments over a period of weeks or months. The repayments are usually taken from your bank account automatically by way of a continuous payment authority, or CPA