Guaranteed Payday Loans - How They Work
If you're wondering how the process works then let us explain it to you in more detail.
Many people become short of cash in the middle of a month or between pay cheques especially when unexpected bills arrive and need to be paid. If you don't have the cash then a payday lender can guarantee to have the cash you require into your bank account the same day in most cases.
It works like this:
- Choose the payday company you want to work with
- Choose the amount you need to borrow (usually below £1,000
- Complete a 2 minute online application form
- You will find out almost immediately if your loan is approved in principle
- You'll then need to submit your bank details so the loan company knows where to deposit your loan and a debit card to repay the loan at the agreed terms
Generally these types of loans are repaid in full at the agreed time and the interest or charges are normally a fixed amount, for example, £25 for every £100 borrowed. This means the APR quote can appear extreme but that's because a) the type of fixed interest charged and b) that the loan is borrowed over a very short period of time.
In most cases faxing is not required and a credit check is not undertaken although in some cases these checks may be required if some of your details can not be verified online or over the telephone.
Once you have your cash you are free to do with it as you like and just make a note of when the repayment is going to be made from your bank account so you know to have enough to cover the repayment when it occurs.
Start your quote now
We have selected a few of the great lenders in the UK below. Just click on the "apply now" link for more information. The whole initial process only takes 60 seconds or so and you could get the cash you need today.
Loan Example
Here's a table outlining the amounts payable for typical payday loans taken out if repaid within 28 days
| Loan Amount | Total Repayable | Interest |
|---|---|---|
| £100 | £129 | £29 |
| £200 | £258 | £58 |
| £300 | £387 | £87 |
| £400 | £516 | £116 |
| £500 | £645 | £145 |
| £600 | £774 | £174 |
| £700 | £903 | £203 |
| £800 | £1,032 | £232 |
Other notes about guaranteed loans
Most of these companies that provide a loan do require repayment upon the agreed terms. Some will allow you additional time but you will pay additional interest. The best way to manage this is to pay your current loan off immediately and if necessary take out a further loan after that. We can also help with payday loans for people on benefits as it can be difficult to manage your life from the DSS as well as payday loans for unemployed people and students to get short term unsecured cash advances. It should be noted that these are generally for emergency purchases only and should be seen as an alternative to an overdraft or personal unsecured loan. If you are in any doubt speak to a professional advisor or any of the free government services that are shown on this site.