How to get a payday loan

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During the last couple of years, payday loans have become significantly more popular in areas from all around the world, especially the UK, since they offer consumers a quick and efficient way of getting access to some emergency cash that they are free to use in case of an economic hardship.

However, for some, the process of getting a no credit check payday loan may seem a little bit complicated, so in this guide, we will talk about the steps that you need to follow to get a payday loan, and make sure that you get the best deal available for you.

1. Choosing the right company and gathering the materials you’ll need

To kick things off, it is important to avoid getting a payday loan unless you truly need one. Based on this, consider the economic issue that you’re dealing with, and attempt to calculate whether you will be able to pay back your loan on time, and can cover all of the afferent fees. If you have decided that you want to go for it, consult the internet for payday loan agencies near you, and see the offers that they have. You can apply via the Internet, phone or even in person, which makes it more convenient than having to get a traditional loan. In general, it is important to look for companies that are tied to a larger institution, do not have very high interest rates, and tend to be upfront about the requirements that you need to fit to be eligible for a loan.

2. Go ahead and collect all the details that you need for the loan

Secondly, you will need a couple of documents, these being: proof of a steady income, proof that you are the owner of a bank account, contact information for yourself and your current employer, your ID which proves that you are over 18, a statement which says that you have a gross, household income over a certain threshold, and if needed, proof that you are currently not dealing with bankruptcy.

3. Fill out the application and ask your questions

If you have decided to visit a local agency, once you have shown the documents, you will need to fill out an application. In case you have any questions whatsoever, make sure to ask the person taking care of your loan, as this will help avoid running into other issues later down the line. You may also want to discuss the taxes, interest rates, alongside with penalisations in case you don’t end up paying your loan back on time.

4. Have your funds given to you cash, or deposited to your bank account

A few hours later, or during the next business day, you’ll be sent out the cash. Make sure to use it wisely, and only for covering the financial emergency that you have been dealing with. Another tip would be to avoid overspending your salary that month, as this may make you unable to pay back your loan on time.

5. Paying your loan back

Most of the times, payday loans are meant to be paid back as soon as you have received your next pay check. Based on this, on the day that you have filed in your application, the payday loan agency will attempt to debit your account, and hence remove the debt owned alongside with the interest fees, that can be of anywhere between £10 to £50, depending on the loan that you have gotten.

In case you won’t have the money needed to pay back the loan on time, then you’ll want to contact the payday loan agency and let them know about your issue. While the interest fee will surely be higher, some agencies may give you an extra day or two, or even more time for you to get some more money, and pay back the loan. This represents the main reason why it is important to find better ways of budgeting, in case you have scored a payday loan. Running from paying the loan back can lead to all sorts of trouble, including a lower credit score, but also higher taxes and other financial issues later down the line.

Based on everything that has been outlined so far, securing a payday loan should be quite simple as long as you are employed on a fulltime basis, and have a steady income that you can prove to the agency. Be wary when it comes down to paying the loan back on time, and when you budget, as you definitely don’t want to end up being in more debt, and having to live pay check by pay check.

How to get and keep a lower interest fee on your credit card, or on-going debt

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At this moment in time, millions of people throughout the UK, but also from other areas of the world are constantly being affected by the increasing interest rates for their loans. Unfortunately, not many realize the true extent of the problem.

To put things better into perspective, we have prepared a short example, meant to outline how big the problem actually is. A meal worth around £15 at first, can become considerably more expensive, if left on credit and unpaid for- thus reaching higher values, of over $20. Not only this, but the main reason why people with debt take so much time to cover it all, is because of the increasing interest rate, thus creating what analysts prefer to refer to as a vicious cycle. Thankfully, there are various techniques that you can try out, in order to reduce your interest rate. In this article, we have prepared a couple of tips that, if followed, can drastically reduce the amount that you are paying as interest fees for your current debt.

Attempt negotiating a lower interest rate

Not many people are aware of this, but the strategy of attempting to negotiate a lower interest fee for the credit cards that you already have, may be considerably more efficient then getting a new credit card that promises lower interest fees. As you cannot run from your credit balance, it is important for people who own debt to attempt to find solutions.

Prior to negotiating a lower interest rate, it is important to do your homework. With this in mind, look into the rates that other banks and credit cards are providing, and then attempt to use this data as leverage when it comes down to bargaining with your bank, as this will likely lead them to agree to the rate that you are proposing. Another important tip would be to kick things off without your oldest card, as loyalty does indeed pay. Simply let the bank clerk that you have been a customer since a specific year, and if that checks out, then chances are that you will be rewarded for your loyalty. Regardless, it is important to be persistent as well, so if you do not succeed at first, then try again and again until you manage to get a special discount. There are numerous ways to go about this, but the easiest, yet most effective would be to simply give the customer desk a call. If this doesn’t work, then face-to-face contact may make things easier, so don’t be afraid to go to the bank and ask to speak with a credit or interest representative, as they may have an ace up their sleeve that they can use to help you get a better offer from the bank. Usually, bank employees are quite flexible, and some decisions are left at their discretion, which is why negotiating is bound to work most of the times.

Attempt transferring your balance to manage getting a lower rate

If negotiating doesn’t help you get access to a better interest rate on your credit card and/or loan, then you might want to attempt the idea of transferring your balance to help yourself get a lower rate. Before doing this, it is important to keep in mind a couple of important aspects, such as the balance transfer fees, annual fees and any other taxes that you may be susceptible to, and then proceed to determine whether the change will give you access to higher limits, a lower credit, better interest fees or any other form of benefits.

Some of the other tips that you may want to take into account include the idea of applying for a new card while you are in between loans, as continuous credit-based purchases can proceed to reduce your credit scores. Not only this, but make sure to always pay off your balance before the sum expires, and turns into higher taxes, or a higher interest fees.

If you have managed to achieve a lower interest fee, keeping it can be quite challenging. With this in mind, attempt to budget better, and try your best to spend less money than what you are making, while always being either on-time, or even early with payments. This will increase the bank’s trust in you, thus avoiding an interest fee increase. It is also important to avoid exceeding roughly 35% of your credit card limit, but also to constantly check your credit score.

If all else fails, then you may want to consider the idea of getting a payday loan, as these loans represent a great emergency fund. While they have higher interest rates, they last for shorter periods of times, thus putting you in the win regardless of how you look at things.

How to stop borrowing money

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At this moment in time, millions of people throughout the United Kingdom often borrow money from both financial institutions and friends. While doing so is completely normal from time to time, it is important to avoid making it a habit, and living pay check by pay check, while also not being capable of getting out of debt.
Once you have realized that you’re actively spending more than you earn and that you want to stop having to borrow money, there are a couple of things that you can do. Be cautious, though. The process of becoming financially independent from this point of view varies from person to person, and isn’t always easy.

Based on this, in this article we will talk about some of the main things that you can do to reduce your borrowing habits, while lowering your debt.

To kick things off, the foremost important principle of becoming debt free is attempting to figure out how you can live below your means. While this doesn’t sound easy or encouraging, personal finance isn’t always easy, yet, living below your means can be done by: increasing your income, and decreasing your spending habits. Without further ado, here are a couple of things that you want to keep in mind to further decrease your spending habits, thus getting you out of debt.

Get rid of your credit cards

This sounds quite difficult, especially for people who actively use credit cards in order to deal with all forms of expenses. However, constantly maxing out your card will not only lead to higher debt, but also to a significantly worse credit score. Based on this aspect, there are two main things that you can do, either stop using your credit cards once and for all, or simply use them for recurring payments, such as utility bills. Also, don’t consider the idea of destroying all the credit cards that you have unless you currently possess an emergency fund that you can access in case things don’t go out as planned.

The reasons behind the tip of getting rid of your credit cards, consists on the idea that apart from reducing debt, it is also bound to lower your spending habits, as you’ll get access to less money to pay for things that are practically useless. Do keep in mind the fact that before getting rid of your credit cards, you also have to cover the afferent debt. Make this your first priority, as it’ll allow you to be current on all payments, thus reducing the need to borrow to pay existing debt, but also keep you floating for a good period of time. If the taxes are too high to afford, another tip would be to call up your bank and attempt negotiating. Bank clerks are also human, and they are given quite a lot of flexibility in terms of how they do their job, so the bank may actually cut down on some of the taxes, and hence allow you to get current.

Try to find higher sources of income

This is considerably easier than it sounds. In today’s worlds, people can easily work multiple jobs, or even consider the idea of freelancing on the internet. This will not only show you how big the work market really is, but it may also give you new hobbies, and allow you to practice activities that you actually enjoy. To help do this, think about all the things that you enjoy doing, and consider whether you can earn money from it.

Calculate the amount of money that you spend as interest

If you’re trying to get rid of your borrowing habit, then you might want to consider every pound being paid in interest as your archenemy. Based on this, thoroughly calculate all your expenses, and help yourself determine how much interest you are paying, but also where most of your funds are going.

In the unfortunate case of yet another economic hardship, if you are currently employed, then chances are that you can access a small amount of money in the form of payday loans, that should be able to help you get through the situation that you are facing quicker, while also keeping you from piling up more debt. Be careful, though, as you don’t want to start living pay check by pay check all over again.

Based on everything that has been outlined so far, by keeping these tips in mind, your chances of getting out of debt, and reducing the need to borrow will grow substantially. With payday loans, you also have the possibility to access emergency funds whenever surprise expenses appear, yet you should not abuse of these, and should strive to find better ways of getting out of debt as well. Take advice, and do not be afraid to experiment, as financial management is a muscle that constantly needs training to work properly.