Payday Loans over the past few years are growing by leaps and bounds. This is despite the fact that the GHJ Bank tightens the requirements for Payday Loans several times a year. Although, perhaps, this is why payday loans today are increasing their popularity. The fact is that there are truly legal companies on the market and the consumer has less and less doubt when choosing a lender. In addition, the main merit of payday loan companies is that they refuse to borrow much less often than banks do credit.
In addition, many financial experts recorded an improvement in the overall financial situation in the country. People have more money in their pockets, so they can afford more spending now and in the foreseeable future. And so, as most today have forgotten how to save money, many take a payday loan or a bank loan to buy a thing for which you plan to pay a little later. With the help of additional funding, Russians began to more often implement what was previously put off in the back office. Basically, we are talking about repairing an apartment or a car, as well as buying large household appliances.
So why a Payday Loan, and not a bank loan?
Studies show that the main reason that people choose payday loans is the relative ease of obtaining the necessary amount of money. The approval procedure in banks is somewhat delayed, compared to the Payday Loan. You need to spend time collecting documents and waiting for a decision. To take a payday loan, it will take much less effort and personal time. In addition, it is, as a rule, about relatively small amounts, for which people do not want to make unnecessary movements. Not to mention the fact that in some banks the minimum loan amount is much larger than the average payday loan.
Most loans today are valued for ease of access and for the speed of the Payday Loan. Some people admit that they could not get a loan from a bank and therefore turned to a microcredit company. And literally units use small loans only to improve their credit history.
To the convenience of obtaining it is worth adding the fact that most loans can be obtained without leaving home. Greater popularity today are payday loans online. Money can be obtained within a few hours and you do not need to cash out a credit card, for which many banks immediately impose a percentage. There are also organizations such as House Money, which bring money and a contract to a client at home or in an office.
How much are Payday Loans today
One of the most effective innovations of the UHV Bank was to set the maximum interest on the loan, which is now 300% per year. In the near future, this bar is likely to drop further.
According to last year’s statistics, borrowers on average took 10,000 rubles for a period of two weeks to one month. If the client did not have a delay under the contract, he had to pay for the service from 3,000 to 5,000 rubles.
I would like to separately mention loans at 0%, which some Payday Loans sometimes offer. Most likely this is a publicity stunt designed to lure you into a sales office. In the best case, the signing of a contract under such conditions will lead to the fact that you will be able not to pay interest for a few days of using the loan. And if you find yourself in the office of an unscrupulous company, you can fall into the debt trap because you pay the total debt, thinking that you do not need to pay interest. And at the time of closing the contract on you bring down the true information.
Payday Loans today is, as a rule, a service for those who cannot take a loan from a bank or money is required extremely urgently. But once in such a situation, a person is not particularly protected from fraudulent Payday Loans. Therefore, you should not lose vigilance and be sure to check the company with all available methods before you agree to the conditions and sign the contract.