Looking for a direct lender? We can help. At Payday Bad Credit, we have a full team based in London that is able to process your application from start to finish. If you pass the relevant checks, we can transfer funds to your account within a matter of hours.
A direct lender is one that allows you to apply directly with the company and there are no middlemen or brokers involved. When you are looking for finance, whether it is to pay a bill or fix an emergency expense, you want to know exactly who you are dealing with.
In the world of online loans, there are a lot of comparison websites and brokers and sometimes it is hard to tell who really provides the loan. In addition, when looking for money, you want to avoid any upfront fees or things that are hidden in the small print.
You most certainly do not want your information sent do numerous companies and find yourself bombarded with emails and phone calls. Hence, working with a direct lender gives you control over which company you are working with and who is processing your application.
More transparency: With broker websites, one can never be sure exactly who they are going to be filling in their details with and where they are going to end up. As a proud consumer, you want to know that your information is secure and that you know exactly who you are dealing with.
Our website is located on a secure server, hence it starts with https. This adds an extra layer of encryption so that you can be rest assured that your information will be kept safely. In addition, your application will go straight to our underwriting team which is based in London. Here, we will carry out some additional checks and there may be a phone call to you to confirm a few details.
No middlemen: Previously, the online loans industry has been plagued with middlemen who would pass on customer details. This would result in the applicant receive hundreds of unwarranted text messages, emails and phone calls offering a loan.
We are an FCA authorised and regulated firm and as part of our commitment to responsible lending, we will not bombard you with information or unsolicited contact. The only thing to be aware of, if we cannot service your loan requirements, we may pass you onto one of our partners who may be in a better position to help. This could be because your requested an instalment product or needed same day funding. Our priority is helping you get affordable finance that you want and this could involve working with a partner.
No upfront fees: By working with a direct lender, there are simply no fees for ‘signing up’ or ‘administration’ that are associated with a broker or introducer. We appreciate that if you are in a position where you are looking for money, the last thing you want is to have money taken out of your account – how can you apply for money and have money taken out? That is why there are simply no upfront fees for applying with a direct lender and the only fees you will be charged are for the daily interest that accrues and any potential late fees.
One of the most simplest ways to check if a company is a direct lender is to check the FCA register. This will show whether they have a lenders license or a brokers license and if it is the latter, it suggests that they only introduce loans but do not service them.
Other methods include looking at the language on a website. As part of FCA regulation, brokers must state on their websites that they are brokers and not lenders. This should make it very clear for the customer. Some websites will not make this information that clear, so it is worth scrolling down to the footer at least to double check.
Other language you might see is ‘guaranteed approval’ or ‘our panel of lenders’ and this highlights that they are likely to be working with several companies and not underwriting the loans themselves.
To go one step further, you can type in ‘direct lenders not brokers’ into search engines to find a list of competing companies. Or you can do more research on a potential company such as looking up their reviews or testimonials – and if the feedback is that they are a direct lender, then you are good to go.
At Payday Bad Credit, we are here to accommodate those with adverse credit histories who may have been turned down by mainstream lenders. One may have a history of poor credit if they have not been able to keep up with credit card and loan repayments in the past. We understand that people can go through hard times but still want to show their creditworthiness, which is why we have partnered with bad credit direct lenders who may be able to assist.
The ways that we or our partners may be able to help is through alternative loans. Whether it involves a guarantor, secured loan or a slightly higher rate charged, we aim to help those with bad credit to get the finance they need.
Our application is 100% online. It starts with filling in a few details including your:
This information only takes 5 minutes to complete and gives us an initial picture of whether you meet the starting criteria. This means being above 18 years old, living in the UK, employed and able to meet monthly repayments. The debit card information tells us where we can send money to your account if successful and also where to collect repayments from each month. The online application can be completed by desktop, mobile or tablet 24 hours a day, 7 days a week.
We will always carry out a series of additional checks. The most common checks performed by direct lenders are surrounding credit and affordability. The credit checks uses live data from the likes of Experian, Call Credit and Equifax to determine how well you have repaid other forms of credit in the past. The affordability checks aim to calculate your income against your expenditure to see how much you can afford to repay each month without going into financial difficulty. The outcome of effective checks means that a customer is granted, or not granted a loan, and they have an amount which suits their income and affordability.
If the customer is successful, we are able to transfer funds via BACS to their debit account in one lump sum (meaning that they receive it in full, not in instalments or bits). We are typically able to send funds within 1 hour of successful approval or sometimes a matter of hours.
The customer then has the flexibility to repay over 1, 3 or 6 months and there is the option to repay early too. So if they find that they are in a good financial position and want to save money on the overall interest, they can do so and clear their account early.