Payday loan or short term loan or quick cash loan is introduced to help people in urgent need for cash due to unavoidable circumstances. Those who think they can buy luxurious items like jewellery, gold, clothes, concert tickets from short-term loans then they are wrong. It isn’t meant for everyone, because the repayment policy is not something that everyone can handle.
A short term loan is with a loan period of 15 to 31 days. Only people above 18 years of age can apply for a cash loan and get it approved. It is a myth that only those people who have a savings or checking account can apply for a payday loan. This short tenure loan is for those who don’t have any savings because their salary or wages is less or they can’t afford a credit card or bank loan due to their credit score.
Many a times, we might come across a situation wherein we need money instantly, but we’re in short of money, as our payday is many days away. In such cases, borrow money from friends or family or use a credit card with a higher interest rate that impacts our credit score as well. Instead of begging or paying huge bills apply for payday loans or a cash advance that comes handy. Without any restriction, you can use payday loans for whatever purpose.
LoanPig provides online loans to needy people. They’re fast and convenient. Even if your documents don’t match with their requirements, they’ll help in finding the best lender that matches your requirements and documents. All the process is done online which is faster. They believe in transparency and want to build a trustworthy relation so that customers approach them again. For this reason, they provide accurate information on the online site and the process in application form is also clear. You can check their online site LOANPIG.CO.UK for more information.
Tips for Repayment
Short term loans are the quickest and convenient option for getting cash for emergencies. However, when you get a payday loan, you also have to pay it back on your next upcoming salary or wages day. The repayments policy involves certain important aspects. Therefore, it is good to follow certain tips to make repayment a smoother journey –
- Borrow a considerable amount whose instalment amount should not exceed 10% of your total monthly income. This is because the loan interest rate is high and any time if you’re unable to pay the instalment, you’ll have extra late charges which will further increase your instalment.
- Don’t take longer tenure for repayment because that may minimize your instalment, but you’ll end up paying extra. Instead, apply for short term loan with short tenure to repay faster and lesser interest amount.
- Ensure that you don’t delay your repayment even for a single day. Your interest rate is already high, and with late payments lenders gain more money. The best way is to set an auto-pay with the bank so that you don’t miss your due date.
- When you’re paying an instalment, don’t just stay dependant on one income. Keep looking for part-time jobs and extra income which will help in clearing debt faster. Even when you have an extra financial emergency, you won’t have to take another loan.
When someone takes a short term loan it is because that person is going through hard days, therefore repayment can also be tough. Now that you’re bound to pay back, don’t fall on due dates, simply because you don’t have money. Try to make changes to your lifestyle. Avoid weekend outings, movies, parties, new clothes for time being. This is just a way of stopping a luxurious life until you don’t pay off.