Sometimes when you get a financial emergency, accessing funds the old way may not be a viable option. This is especially true if your home is on the brink of being foreclosed or your bills have fallen due and you are left wondering where to get the cash.
Instead of procuring a loan from traditional lenders like banks, where it might take you months before you get approved, payday loans in Chester offer a convenient alternative to getting fast cash with no hassle.
A payday a loan is a short-term, unsecured line of credit that will have the money in your bank account in a matter of minutes. It is designed for individuals in need of a quick injection of funds before their next paycheck, providing a relevant alternative to traditional money lending options.
The application process for a payday loans in Chester is relatively direct and simple. You can complete the process online in a matter of minutes as long as you have a desktop, tablet, or smartphone, and good internet reception.
Lenders will require basic information from you including your name, residential status, etc which may be followed by a brief phone call to establish that everything checks out.
Payday Loan Eligibility
To qualify for a payday loan, the majority of the lenders require that you satisfy a number of minimum requirements. Before you get considered for a loan, you must:
1. Be 18 years or older
3. Have a functional email address and phone
4. Have a valid debit card
5. Have a salary paid to your account
6. Consent to a credit appraisal, etc
How they Work
The interest rates charged by payday loans lenders are determined by the Financial Conduct Authority’s price cap regulations. Normally, the interest is capped at 0.8% a day, with default fees at 15.
The general rule of thumb is that the overall interest and fees charged should never go beyond double the borrowed amount. If you still have an outstanding payment three days later, you may be charged a fee for missed payment on the first installment.
How much can you get from a Payday Loan?
If you are applying for a payday loan for the first time, most lenders have an initial borrowing limit that you cannot surpass, e.g. 500. However, subsequent borrowing will increase your borrowing limit if you paid the borrowed amount successfully and within the stipulated terms.
As long as you meet and fulfill the application criteria you’ll be able to borrow as much as 1,000. In most cases, what determines the amount of loan you can be considered for is the credit and affordability checks performed during application. Lenders have to establish that you can truly pay back the loan before advancing it to you.
Loan repayments are debited directly from your bank account once the agreed duration elapses. However, you have the legal right to pay the loan as early as you may wish. The only fee you’ll be charged is the current balance; no exit fees in this case.