Foreign Perspectives

With the credit squeeze in full force many people are finding it difficult to source short term borrowing when they need it to tide them over to the next paycheck. This is where payday loans come in and, of course, there are more and more of them on offer every day.

In principle they’re fairly simple in that they are:

1. intended to be repaid from your next paycheck (although you can usually roll them over to the one after that);
2. don’t require a credit check;
3. are from around £100 to £1500
4. require you to be in regular employment of at least £1000/month (usually for at least the previous three months);
5. require you to have a normal current account (usually for at least the previous three months); and
6. be over 18

Approval is very fast and even quicker now that online checks can be carried out by the credit company ie no more faxing of documents.

Although payday loan advances are fairly simple, the sheer number of them that are around means that a little guidance is handy. The rules do change and you’ll find that the legislation on these apparently simple loans is quite extensive.

Applying online is easy and quick, but do watch the amount that you’re paying as it can easily pull away from you.