Direct Payday Loans

All About Direct Same Day Payday Loans

direct payday loan lender

Applying for online payday loans direct lender is the best solution when you are in need of money. But then what is the direct lender and how it varies from other kinds of payday loan lenders? In this article, you will surely understand what direct lenders all about is. However, if you are planning to apply in this kind of loan, check the needed information in order to acquire fast cash through pay day loans

What is Direct Lender?

Direct payday loan lenders are the one who are lending money to the borrowers until pay day. Meaning borrowers don’t have to search many company and apply for short-term payday loans. As an alternative, payday loans direct lender processes all the needed requirements, form approving the loan and paying that loan. And it shows how it differs from other companies and other new payday loan lenders.

For instance, if borrowers passed their requirements in the company and that company will analyzed their application. After which they will send the borrowers information to different companies to get the funds. When the borrowers get the money and especially when they are ready to pay the borrowed money, instead of dealing with only one lender the borrowers need to deal with few companies.

 

Benefits of Payday Loans Direct Lender

When you are facing unexpected payments and you can’t borrow from family and friend and the last thing that you can do is to search for payday loans or short-term loans. Fortunately, you will find different brokers and direct lenders, but sometimes it is hard to determine what their difference is.

A direct lender transfers the money to the borrower account directly and they offer lower interest rate. But the borrower must fill up the needed information on the creditor’s website and the payments are being collected by the lender. However, this procedure is not the same from other payday brokers.

On the other hand, direct lenders offers more benefits compared to broker. The broker encourages borrowers to fill up the information on their site. Then, the broker will hand this information to other lender in exchange of fees. In some circumstances, the broker will disseminate the borrower’s information, particularly their contact details, that is why borrowers will receive unexpected text messages, phone calls and emails from different companies.

Dealing with direct lender means you don’t have to pay for the broker fee. Most importantly, don’t risk your personal information just for the money, because you will not easily identify if the company is a scam, but for more information we have some of the best reference material for payday loan help.

How to determine if you are dealing with an agent/broker

direct payday lender broker

When searching for a payday lenders you are also checking if an unwanted fee is collected from your loan by the broker. But then how do, you distinguish a broker?

  • Upfront Fees

Direct lenders are not collecting any fees when applying for payday loans. But brokers will get commission from the lender companies if they handed your loan application to them.

  • A site that consists of “panel of lenders” is considered as broker.
  • 100 percent approval guaranteed.

Liable lenders will certainly not give a hundred percent assurance that they will approve your application immediately. Because they will perform a thorough investigation about your credit history, personal background (job, salary, business) and if you can manage to pay for your loan.

But then broker will give a hundred percent assurance that your application will be granted or approved by many lender companies.

Direct Lenders approves bad credit

Borrowers who are muddle through bad credit have experienced difficulty in searching for a lender company. Fortunately, direct lenders still lend money to the borrowers with bad credit history. But they are doing comprehensive investigation, once they found out that you can manage to pay your loan then they will approve your application.

Some direct lenders set a requirements and criteria in approving a loan.

  • 18 years old and above
  • Having source of income is needed.
  • Employed
  • Running a business

Aside from the four criteria mentioned above there are still other things to consider. If borrowers meet the needed criteria then direct lenders will approve their application even though they have bad credit.

Instant Approval: Direct Lender

Direct lenders could possibly give instant approval, but normally they don’t approve loan instantly. All potential borrowers should go through compulsory checks and will take few days. Though, the approval procedure is very fast.

 Are Directed Lender Regulated?

Financial Conduct Authority (FCA) regulates accredited payday lenders. The role of this organization is to guarantee that market is unbiased and consumers are secure from wrongdoing by financial institutions like insurance companies, banks and lenders. They also sure that these institutions are not collecting extra fees from their clients. FCA also covered interest rate, it means that the interest of the borrowed money will not exceed to.8 percent a day and before making loan agreement FCA also ensures that the lender company is issuing correct credit checks.

Direct Lender: Cost of Payday Loan

The cost of payday loan depends on how long the borrower will going to pay the loan. However, direct lenders adds additional charges and fees on their loan. Fortunately, there are some direct lenders who are very transparent in calculating the actual cost of payday loan. Yes, they are adding extra charges and fees, but compared to other lenders, direct lenders only adds small amount of charges and fees.

But if you want to check your payday loan status, you can sign up an application and use the online calculator.

Payday Loan Direct Lenders Replacements

If you don’t want to borrow money from direct lenders, you can still consider other options. These include government financial funding, bank loans, credit unions and other financial institutions. However, if these alternatives are all exhausted then you can still consider direct lenders.

Final Thoughts

If you are planning to borrow funds form direct lenders, you must think first if you really need the money. However, there are times that direct lender is your only choice. But try to acknowledge other options, but if you decided to borrow from a direct lender, then FCA authorized lender is the best choice for unsecured loans. Most importantly, don’t borrow funds if you can’t afford to pay it.