Understanding Direct Deposit Loans
These loans are usually offered for as low as £50 to as much as £1,000. Lenders will normally just require a few basic information and proof of income from borrowers since the loans are made against their next paycheck. The interest rates are quite higher compared to other loans but the process involved is relatively faster and easier.
Direct Deposit Payday Loans
Direct Deposit Payday Loans are great options if you need cash in a hurry. With the help of today’s cutting edge technology to process financial transactions, online lenders will be able to deposit the credit amount that you applied for directly into your bank account without the need of a check. It usually takes just a day after a successful application for you to gain access to the money in your bank account.
Not only is the transfer of funds to the borrower’s bank account automated but also the collection of repayments as well. When applying for a payday loan, you will need to provide your personal bank routing and account number so lenders can directly channel the cash into your account. They will use the same information when it comes to collecting repayments by simply requesting the funds from the nominated bank account on the agreed date of payment. This advanced system provides both borrowers and lenders great convenience.
Prepaid Debit Card Payday Loans
Payday loans also come with other unique features to provide more convenient options to borrowers such as debit cards. Many online lenders offer clients with the option to have their money deposited to a prepaid debit card giving them the ability to access their loan account anytime they want to with the use of an ATM or make purchases through EFTPOS terminals. The card can also be used for money transfers for future loans.
Direct Deposit Loan Requirements
Direct Deposit loans were designed to reach as many clients possible and provide money to people in need in the fastest and most convenient of ways. This basically means that these loans can be availed with minimum requirements. You can borrow money fast through direct deposits by following these criteria:
• Should be 18 Years or Older in the start of application
• Must be a citizen or permanent resident of UK
• Have an active email address and phone number
• Provide information to your Personal Bank Account
• Offer proof of income such as payslip or social security check stub
Direct Deposit Loans APR
The APR or annual percentage rate is basically the sum of all the fees and charges, such as interest rates and application fees, attached to your loan. Your lender will generally provide you with all the details regarding your direct deposit loan’s APR which is typically higher than other most other loans. Depending on the lender, the APR can range from 230 percent to 2,330 percent taking into account extra variables such as the loan term, possible fees that might be incurred (nonpayment, late penalties, etc.), and loan renewal options.
No additional fees for direct deposit
Since these loans are directly deposited into your bank account, no additional fees are required, unlike some banks who charge clients with fees for deposited paper checks into their accounts. The electronic automation on both transfer of funds and repayments eliminates those extra fees and expenses, like the cost you incur in traveling from your home to your bank’s nearest branch, that you will normally incur with traditional, offline transactions. This allows you to save some money and a lot of time.
Lastly, never forget to ask important details and information on loan terms and conditions before you sign an agreement with your lender. Carefully go through the terms and conditions of the loans so you will know exactly what you’re borrowing. Make sure that you are comfortable with each and every time and understand all the possible penalties once you miss out, become late, or default on your payments. Only by going through all the essential details and weighing them carefully in accordance to your current financial situation will you be able to make a loan work for you.
305.9% APR. £400 borrowed for 90 days.
Total amount repayable is £561.92 in 3 monthly instalments of £187.31.
Interest charged is £161.92, interest rate 161.9% (variable)
Loanora is NOT a lender – we are a licensed broker working with the most popular direct lenders in the market to find you the most suitable short-term loan plan. Our FREE quoting service compares more than 40 lenders quickly and finds you a lender with the lowest rate that they are willing to lend to you today.
Rates from 45.3% APR to 1575% APR – we provide a no obligation quote, your APR will be based on your personal circumstances