When consider a form of short term borrowing there are several different ways in which repayment can be made. In terms of payday loans the modern day lenders offer loans which are specifically designed to offer choice and selection to their potential customers. The lenders in existence want to ensure that through flexibility the realistic needs of consumers can be met whilst ensuring a resource which is realistic to each individual’s needs. The way in which this is achieved is through an extensive application form and a range of repayment terms. Today we will be looking at payday loans in a bit more detail so as to understand what can be achieved should a small loan be required.
Payday loans lenders will use a range of different requirements when determining whether or not a loan application can be granted or not and the information for this will come from the application form completed by the applicant. Although the checks completed are detailed, in fact, the actual application takes little longer than 10 minutes to complete. The application is usually completely online based and as such most lenders have websites which can be accessed on any form of internet enabled device; whether that be a mobile phone, laptop or tablet. It is the aim of payday loans lenders to gather all the information required to make an informed decision whilst maintaining a clean and simple to follow application process. Once submitted the lender will use the information contained in the application, such as personal details, employment based information and banking details to make a researched decision as to the suitability of the loan requested. The checks themselves are often completed via the means of both electronic and manual checks, meaning they can be completed in a timely manner. Where the likes of identity and credit worthiness may initially be assessed electronically, later in the application process this information may be reviewed manually.
To ensure that payday loans are able to meet the needs of individuals they are delivered mostly in an instalment format and this means the applicant can apply for a range of different repayment terms. These terms are usually reflective of the amount being applied for and will depend also on what is affordable to the applicant. Where there are still payday loans which can be repaid in a single instalment, there are also options for repayment over a longer period of time. This could mean repayments of 3 months, 5 months or 6 months as an example. The lender will be able to make recommendations as to suitable repayment terms not solely based on the amount being considered as a loan but also as a reflection of all the information they have gathered during the application. This means where a loan of a certain amount will be suitable for one individual it may not be suitable for someone else in a different financial situation. Lenders of payday loans will do all they can to ensure sensible and affordable lending decisions are made.