Even if you have a basic idea of how payday loans work, it’s good to gather more information to make sure you’re not mistaken about any aspect of getting a loan or paying it back.
We will explain in simple steps exactly how this type of loan works, so you can make an educated decision about whether or not you want to borrow one.
Step 1: Decide how much money you need
Most lenders will allow customers to apply for anything from $100 to $1000, so if you need a loan for $5000, you might need to look at a different type of loan instead, such as long-term loans or bank loans. However, if your financial needs are below $1000, you can proceed to the next step and apply for the money you want.
Step 2: Complete our online application form
This is the first practical step to applying for a payday loan. The application form can be found online on our website, so you don’t need to go to a physical branch or bank in order to apply. This makes it very easy for our customers to apply for payday loans, particularly if they cannot get out of the house easily or live in an area which is out of the way from the nearest town or city.
In the application form, you will be asked for personal information such as your name, address and date of birth. You will also be asked for information about your employment status and income, and you will need to give your bank details too.
Step 3: Wait to see if you have been approved
We will pre-assess your application before we send it on to any lenders. This step is important, as it will assess whether or not you can be matched to a lender. If you are able to be matched to one or more lenders, you will see a notification on the screen which invites you to go directly to the lender’s website.
Step 4: Fill out the details needed by the lender
Although you’ve filled out the application on our website, the lender might require some more details directly from you. This could include documents to prove your employment or income amount, or you may be asked for bank documents or statements concerning your financial history. There might be no faxing required if you already have the documents uploaded to your computer and can easily attach them to the form. You will also be told at this point how much money the lender is willing to loan to you.
Step 5: Read through the loan agreement
You will see the loan agreement on the screen, and you don’t need to print this off unless you want a hard copy of it for your own records. You can simply read the terms and conditions set out by the lender, and if you agree, go ahead and digitally sign the agreement. Once you have done this, your loan will be processed and you will finally be well on your way to getting the funds that you need to help you through until payday.
Step 6: Repay the money to the lender
In the agreement, you will see that there is a date by which you must repay the cash you’ve borrowed. Since these loans are short-term cash advances, the date is likely to be very soon in the future. This date should also coincide with your next payday, so when you do receive your pay check, ensure that you have the money ready in your bank account to be withdrawn by the lender. Failing to repay the money on time could mean that you have to pay extra fees and charges.