Do payday lenders contact my employer?

Many potential applicants for payday loans for bad credit are worried that when they apply, the lender will contact their employer. This is likely to be a cause of a bit of awkwardness. You can rest easy, payday loan potential applicants and borrowers alike because, your potential lender company will not contact your employer as part of the underwriting process. Payday lenders will only call your workplace to speak to you, not to speak to your boss. Once you make a loan application, your loan will be denied or put in “underwriting” and this is where the lender is trying to confirm […]

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How to get a payday loans refund

How to get a payday loans refund

If you have ever taken out a payday loan, you may be due for compensation. The number of complaints surrounding the conduct of payday loans companies rose by 178% in 2017, as revealed by the Financial Ombudsman and now there is a demand in customers looking to claim from payday loans direct lenders, for legacy loans that were taken without sufficient checks before funding. Can you get a refund on a payday loan? How long would it take to get to me? How do I go about claiming? These are all frequently asked questions which need to be cleared up. This […]

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Common reasons why people use payday loans

Common reasons why people use payday loans

Since payday loans are not specific like a mortgage or a car loan would be, you can essentially use it to purchase or pay back anything you want. Therefore, there are numerous common reasons why people use payday loans. The attraction of payday loans is when you find yourself in a particular situation, you can gain access to money quickly at a relatively low-interest rate (dependant on your credit score). In this guide, we are going to be looking at some of the most common reasons why people chose to take out and/or reply on payday loans. Bad Credit You […]

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How do payday loans affect your credit score?

How do payday loans affect your credit score?

A common question posed is whether simply taking out a payday loan can have an effect on your credit score, either positively or negatively. If you have worked hard to maintain a good credit score by building up your finances and paying off your credit card bill in full each monthly statement, it makes sense that you would want to protect your credit score. After all, having a poor credit score can seriously damage your chances of getting financial help in the future. This could include taking out a mortgage, buying a car with a loan or even getting an […]

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How many payday loans can you have at one time?

How many payday loans can you have at one time?

According to a rule of thumb, payday lenders should not be providing anyone with more than one payday loan at any given time. This would not only not be in the spirit of the industry, but it would also not be in the interests of the borrower. It goes against the very design of the payday loan, which is a short-term loan to boost finances rather than a deep financial need. If you cannot get enough cash for your needs in a single payday loan, then you should really be considering other kinds of credit to help you. However, there have […]

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How to complain about a payday loans company

Confirm the reason for complaint is a valid reason (see below) Download and complete this template  Make a complaint to the Financial Ombudsman Service – call 0300 1239 123 or 0800 023 4567 Looking to complain about payday lenders? The number of complaints being made by consumers regarding payday lenders has increased dramatically in the last year alone, overtaking the number of PPI compensation claims being made annually, a scandal largely considered to be one of the UK’s biggest. There have been different factors that have contributed to the rise in complaints against payday lenders, such as the increase in media attention regarding […]

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The rise of payday loans claims

The rise of payday loans claims

There have been numerous reports in recent months about how there has been a surge in the number of complaints about high-cost credit in the UK. In fact, the number of complaints has risen to record levels.  According to a recent article by The Guardian in May, the number of complaints regarding consumer credit in 2017-2018 had risen by a staggering 36,300, with more than half of these relating to payday loans, according to statistics provided by the independent Financial Ombudsman Service.  Whilst of all new complaints, those about payday loans had risen by over 64%, going from 10,529 to […]

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Can you be taken to court over a payday loan?

Can you be taken to court over a payday loan?

If you have taken out a payday loan and find yourself in a situation wherein you are not able to make repayments and find yourself defaulting on them, you may be concerned about what will happen next. One potential worry for borrowers concerns the possibility of being taken to court by a payday loan bad credit lender. However, is this, in fact, the reality if you don’t pay back a payday loan? You won’t be taken to court over a payday loan The simple truth is, is that a payday lender does not have the ability to take you to […]

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Can you go to prison for not paying a payday loan?

Can you go to prison for not paying a payday loan?

If you are struggling with mounting debt, perhaps because you have encountered an unexpected financial emergency, meaning that you have had difficulty keeping up with repayments and you have ended up not being able to pay credit you received, such as for a payday loan. You may be worried then that if you are not able to pay back your debts, that you could end up having to go to prison. However, this is simply not the case. We explain how, and what will most likely happen in the event that you are able to make repayments. The lender will […]

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Wonga receive £10 million bailout

Wonga receive £10 million bailout

It was reported last week that one of the biggest and most well-known short-term lenders in the UK, Wonga, has ended up being saved from bankruptcy, needing the payday lenders investors to provide the business with a £10 million pound bailout. It was revealed afterwards that this money was received from prominent venture capital funds, such as Balderton Capital as well as Accel Partners. Both companies have been long-term investors of Wonga. Warning of collapse This bailout was shortly after the chief executive of Wonga had warned shareholders that it was nearing the point of collapse and would be likely […]

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