Regardless of the controversies surrounding payday loans, borrowers that need quick cash will still resort to this type of loan because it’s easy, available online and best of all, it’s ideal for people with bad credit. If you’re one of the numerous people who is thinking of taking out a payday loan, here’s how to find the best deals available in the market:
- Plan your borrowing
Even if you’re only going to borrow a minimum amount of £100, planning is key to find the best payday loan deal. Before you start looking for a payday loan, you should already know how much you’re going to borrow and what it is for. You must have a plan on how to repay the loan on time. Without a careful plan, you may only be putting your finances at greater risks.
- Compare your options
With your plan ready, the next step is to compare your options. There are plenty of payday loans available in the market. Your job is to look for a deal with the cheapest interest rates. If you don’t know where to start and if you don’t have the time to go through thousands of deals, you can always rely on top comparison sites to do most of the work for you. These sites have a list of recommended deals and providers, which they’ve researched and found to be the best in the market, for you to choose from.
- Understand the cost
When comparing your options, one of the key factors to zero in on is your payday loan’s cost. Payday loans are expensive so it’s imperative that you find a deal with the lowest possible representative APR available. Low APRs, however, does not necessarily mean your payday loan is cheap. You’ll also want to look at factors such as late payment fees and other related charges. It is also imperative that you go for a lender with a solid reputation and with a slew of positive feedbacks from borrowers on its seams.
- Sign your deal
To close the deal, all you need to do now is sign the contract. Once you’ve signed, you agree to the loan terms, which usually includes that if you’re late with your payment, you’ll be incurring charges on top of your current loan’s cost plus interest. If you signed up for recurring payment option, you’ve allowed your lender to take your repayment from your account on your due date. As long as there are sufficient funds in your account, then you shouldn’t have any problems at all.