The best direct payday lenders may not have the lowest interest rates, but they will get you the most bang for your buck. How could you pay a few more dollars for every hundred borrowed and saved? It is easy. For starters, there are plenty of lenders that will hide fees here and there to help offset lower interest rates and then some. It is always recommended to research a company before applying.
What are the hidden fees? Some are difficult to identify unless you fully understand how the short-term loan process works. It is important to speak directly with the lender and try to uncover any costs that you may have difficulty paying later. Most of the extra costs are hidden in the fine print or explained with confusing content in the terms and conditions, so it’s up to you to understand them.
-One of the first additional costs you can omit from your loan is the application fee. Look for the “Free Request” notice on the site or call and ask just to make sure. Not all direct lenders do this, so be sure to find one that doesn’t. This fee (usually around $30) is debited from the account listed on your application form. This money pays for the direct payday loan company to accept your application and process it. This does not guarantee that your loan will be approved. You will not receive a refund if the application is denied. Before you start submitting applications, call and verify that the company offers free services.
-Some direct lenders will give customers flexible payment options. It is difficult to pay off the loan amount plus fees in just a few weeks. The most common available options are transfers and extensions. These buy you a few more weeks to get the money. Buy is the appropriate word here. You will have to pay interest fees to delay the full payment to a later date. This works much like a credit card. It is not cheating anyone with money. You will have to pay money to buy time. What does not need to happen is that you are charged additional costs for extending the date of your loan. Fees on top of interest charges are not fair to the borrower. Another hidden cost to uncover is interest rates once the loan is extended. There are some companies that increase interest rates when the loan is not paid as originally scheduled. Don’t be surprised if you find a lender who will charge you additional interest plus a special rollover fee. Call payday companies directly to find a lender that prices payment options fairly. Expect to pay interest on your loan…only.
– You will find lenders who charge excessive interest that are often ignored because the company promises larger loan amounts than most direct lenders offer. Often this money does not have a waiting period. Have you ever read a quick money ad, like in less than 15 minutes? These companies seek to do business with vulnerable customers who are willing to do anything to get extra money in their bank account. Be careful. It’s important to never borrow more than you really have to. Just because a high dollar amount is offered doesn’t mean you should accept it. Remember, for every hundred dollars you borrow, you will pay interest. Spending money unnecessarily is never profitable. Look for a company that doesn’t make exaggerated promises. These types of transactions are expensive.
Nobody wants to be nickel and dime to death. When it comes to payday loan predators, their pennies and cents are often misinterpreted and misrepresented, putting borrowers deep in debt. If you are skeptical about an offer, take it seriously and switch to another direct online payday lender. Your best defense is to speak directly with the company. Ask important questions and expect clear answers. In the end, it’s your money, so make emergency payday loans as cost-effective as possible for long-term savings.