Even if you do your best in budgeting your money, there is no guarantee that things will always work out as planned because emergencies do happen. Emergencies occur when you least expect it, finding yourself in a situation with no extra money to spare. People usually charge emergency expenses to their credit cards but that will work out only if your credit card has a balance on its credit limit. If you already maxed out your credit card because of other expenses, you are in a very dire strait.
Another option to cover an emergency expense is by obtaining a bank loan. However, this is not a viable option because even if the bank is willing to extend you credit, it usually takes several days, if not weeks, before the processing is completed. It only shows that in an emergency situation, you cannot rely on the bank for immediate assistance.
In an emergency, you can also try to borrow money from your family and friends. But given the economic situation today, these people may not be in a position to help you out in your emergency even if they are more than willing to help. For all you know, you are in the same boat with your family and friends.
After exhausting all the possible sources of help to tide you over in an emergency situation, the only viable option left is to get a payday loan.
Difference between a payday loan and Quick Loan
A payday loan is a short-term loan, generally £500 or less, that is due on your next payday. Depending on where you live, a payday loan could be accessed through a storefront or through online lenders.
A payday loan is usually paid back in one lump sum payment on the next payday or when income is received from another source such as a pension. The due date is usually two to four weeks from the date the loan was made, or on any date that is specified in the payday loan agreement.
How Quick Loans work
Most payday lenders require a borrower to write a post-dated check covering the full balance of the loan plus applicable fees. Online lenders require borrowers to provide an authorization to electronically debit the funds from the borrower’s bank, prepaid card account, or credit union. If the borrower does not show up to the payday loan office to make a payment on the due date, the lender will cash the post-dated check or electronically withdraw money from the borrower’s account.
When your application for a quick payday loan is approved by the lender, the proceeds will be made available to you by cash, check, or electronically deposit the money to your bank account, or load the amount on a prepaid debit card.
When a borrower cannot repay yet the loan on its due date, he can negotiate with the lender to rollover or renew his loan, which usually comes with the payment of necessary fees. The lender, in return, will extend the due date of the loan. There are cases when a payday loan is structured, allowing the borrower to pay the loan in installment over a longer period of time. The structuring of the loan entails the payment of additional fees.
How to apply for a Quick loans
Getting a quick loan to cover an emergency in the UK is easy. There are plenty of payday loan companies that will help you obtain your much-needed cash in the shortest possible time.
Short-term loan companies usually have a bad reputation. Some of them make the newspapers often because of bad business practice. If you hear of the phrase “loan sharks,” it could refer to some of the short-term loan companies that make the life of people who are in dire need of money miserable.
But not every short-term lender is a loan shark. There are plenty of legitimate payday loan companies that are in business mainly to provide help to people who are denied of bank loans, people who need money instantly to cover a pressing emergency, and people who have bills to pay but the money they expect has been delayed.
If you need instant cash to cover a real emergency, a payday loan company can approve your loan application and release your fund in a matter of 15 minutes. There are payday loan companies that will give you a loan of as much as £5,000, payable in three to 36 months.
When you should apply for a quick-loan
The whole idea behind quick loans to get access to quick cash. This kind of loan is resorted to by people who cannot wait for the next day to settle their financial obligations. Many of the people who access quick loans have also access to other forms of credit, which usually take time to get approval or to complete the processing.
If you need money today, the answer is a quick loan from a payday loan company. You will receive your money in a matter of minutes. The quick approval of the loan and the release are made possible by an easy application process, which was designed by the payday loan lenders because they understand the importance of getting money instantaneously when one has an emergency.
Many payday loan companies make the loan processing difficult because of so many unnecessary requirements, including a credit check which they do not actually run. Payday loan companies that offer quick loans do not run these phony credit check, which is actually a milking cow for some unscrupulous lenders. A borrower need not make phone calls or fax any documents, all that is needed is to fill out a simple application form, either at the storefront or online and state how much he wants to borrow. He also has to choose on the manner of payment, such as paying the loan in one lump sum or in installment.
A quick loan is a real lifeline for people in an emergency situation. Without the quick loan extended by payday loan companies, these people may be forced to go to loan sharks and make their life even more miserable.