A perennial debate in the industry of payday loans is whether direct payday loan lenders are the best or if dealing with a broker turns out to be a better solution. Direct payday loan lenders are, as the name suggests, independent of any broker or middlemen and deal directly with the applicants. Having a broker for payday loans can be advantages or unwise, depending on what side of the prism you look at it.

Here we shall take a nonpartisan look at direct payday loan lenders and dealing with brokers in an effort to establish what can be of more benefit to you.

Direct payday loan lenders directly work with applicants and they do not have any need to pay a commission or any fees to a broker. This commission that would have otherwise been payable to a broker would be passed down to the applicant in the form of savings, most likely a better rate of interest and a favorable repaying term. In effect, applicants get to save a bit of money while dealing with direct payday loan lenders.

While dealing with a broker, an applicant doesn’t make any payment towards the commission of a broker directly but the brokering company does have its fees. These fees are borne by the direct payday loan lenders and the cost is passed down on to the customer. In effect, as an applicant you bear the brunt of the arrangement.

While dealing with direct payday loan lenders, customers may have less number of choices. A broker can bring together a number of offers from various companies which can make things competitive and an applicant may just get a better loan offer. However, brokers can also turn to preferential treatment and recommend direct payday loan lenders to an applicant that offer them the highest commissions. As you would realize there is a flip side to both coins.

With direct payday loan lenders, it may so happen that lack of research would lead you to pay higher rates of interest or if the company is not too customer centric then the apparent savings they make by not having to pay any broker may never be passed down onto you.

Brokers can offer a cascade of possibilities whereas with direct payday loan lenders you can think of creating a relationship. Both have their pros and limitations. At the end of the day, it would depend on the specific direct payday loan lenders or the specific brokers you are working with.

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Instant payday loans are short term loans of small amounts which are offered to any and everyone who is in urgent need of some cash. Instant payday loans are usually available in a matter of an hour or two hours at the most. These loans do not require any collateral or guarantor hence is unsecured. Furthermore, there is not a check on your or any other lengthy screening process. All that the companies take into account is whether the personal, financial and occupational information of the applicant is entirely accurate or not and if the applied loan amount can be paid by the applicant.

Here is a quick guide that would ensure that you not only get instant payday loans successfully but also pay them back easily. This guide shall also help you to avoid the mistakes that many people commit, you certainly do not wish to invite trouble while applying or working with instant payday loans.

  • Before you apply for any instant payday loans, try and zero in on the best company or a list of the most preferred companies whom you would like to work with. There are some companies that charge excruciatingly high rates of interest and they would certainly not be your choice. Some companies have a history of charging people more than what they owed and even when the loans have been settled, the checking account has been debited for a few installments. You must find out such facts about a company dealing with instant payday loans. Furthermore, you must always be completely accustomed with their terms and repayment clauses. You do not want any hidden charges or clauses that may bring trouble for you.
  • While applying for instant payday loans, you must read the qualifying criteria of a company thoroughly and fill up their application form diligently. Any error on your part while filling up the information may delay the loan approval process and might even jeopardize your chances of getting the instant payday loans. Accurate and true information will always get you the desired instant payday loans in an hour or two.
  • Typically, instant payday loans are charged higher rates of interests than other types of loans, since they are unsecured, approved instantly and do not perform any credit check. You must be sure of what you are applying for and have a plan in place to pay back the loan with its interests as soon as you can. This will save you money and unnecessary troubles. Instant payday loans should be used as an emergency and not be made a practice.
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