Payday loans are very handy when you are in urgent need of money. When you need quick cash, you may find it difficult to get a loan from a conventional source like banks. This is where payday loans are helpful. A payday loan, being a short-term loan is easy to get. A problem that most loan seekers face is the risk of being hoodwinked by scamsters. It is important that you work only with legitimate payday loan lenders. The tips we have will help you easily identify legitimate payday loans lenders.
Tips to identify legitimate payday loans lenders
Here are some useful tips that will help you ensure you work only with legitimate lenders.
When you take a loan from a payday loan lender, you need to first ensure that they are legitimate. The first step to take for this is to check their credentials and licenses. Depending on state norms, there may be license requirements for payday loan lenders. You need to first understand the norms applicable in your state. Based on that, check if the lenders are licensed.
You can ask for a licensed copy. They may also be registered with the Better Business Bureau. You can visit the database of the bureau and verify that the lender is listed. Other credentials of the lender also need to be verified. You need to find out if the lender has a proper address. This will help you ascertain if it is a genuine company.
2. Look for reviews and testimonials.
Reviews and testimonials tell you how the lender works with its customers. Not only will it tell you about the genuineness of the lender, it will also tell you how the lender functions. The lender may provide testimonials from its past customers that explain how good the lender’s services are. These testimonials are important to ascertain the credibility of the lender.
While testimonials can be provided by the company, reviews are written by customers. These reviews may be found on various websites online. You can also look for reviews on Google. While it is not possible to believe every review posted online, they help you get a general idea of the lender. The reviews would have customers sharing their experiences getting loans from the lender and so are important.
3. Avoid those who ask for advance payments.
There are lenders who promise immediate approval of a loan on payment of an advance. They call this advance fee by different names. If a lender asks you for money, then there is something fishy. A lender who asks money in advance is likely to be a dubious one. Most likely, the lender may be a scammer who is trying to cheat you.
It is also illegal to ask for advance money before getting a loan. The message is clear, avoid all lenders who ask for advance payments.
4. Check for hidden fees and read the fine print.
You will need to pay interest on the loan you take. Apart from that, there may also be an origination fee or an application fee that the lender charges. This varies from one lender to lender. You need to find out the exact details of the fees charged by lenders. This is important so that you don’t end up having to pay any hidden fees later. You may realize this only at the time of clearing the loan. This is the reason you need to choose a lender who is transparent.
The lender would send you a contract. Go through the contract and the terms carefully. Generally, hidden fees and other such details would be hidden in the fine print. So, you need to study the contract carefully. Never sign a contract without reading every word and line. This will ensure you don’t get trapped by scamsters. This is the best way of ensuring you work with a legitimate payday loan lender.
5. It is best to choose a reputed website.
Instead of scouring a payday loan lender yourself, it is better to work with a reputed website. There are websites that offer a platform for payday loan lenders and applicants to come together. These websites allow applicants to apply online for payday loans. This makes it convenient for loan seekers who can submit a single application online that would be forwarded to different lenders.
They can then compare the loans offered by different lenders, including comparing the fees charged and terms. They can then choose the best loan. This is ideal for both lenders and applicants since lenders can decide who to lend to, while applicants can choose which lender to work with. A reputed website would ensure reliable and trustworthy lenders are registered on the website. This is the best way to ensure you find a legitimate payday loan lender.
From the tips given, you would have
understood that using the services of a reputed online provider like Instant
Payday NV can help ensure you work only with legitimate payday loan lenders. It
assures you that you will not be cheated by scamsters or dubious lenders.
We are here to assist you in finding a reliable moneylender to solve your financial troubles without much hassle. Using our experience in the field, we will provide you the required guidance to apply and get a personal payday loan in less than 24 hours.
Short term loans are emergency credit loans that have been designed for short term financial issues.
The loan amount is small and limited to a fixed upper limit. The loans are exclusively created for the short term and will become expensive burdens when extended and used for long-term purposes.
The operators of Instant Payday NV are not lenders. We are neither a bank nor a financial institution.
We are not involved in the process of making credit-based decisions related to lending, offering loans, or collecting repayment.
The website has been created to act as a bridge, a connecting agent between the applicants and the moneylenders.
We do not charge any fee to process the loan application or help our customers find a reliable match for a loan from a third-party lender.
We do not oblige any user/ customer to contact the lender or to accept a loan application.
The data present on the website related to short-term loans and the industry practices are for information purposes only.
Instant Payday NV does not collect, store, or access the details related to fees and charges levied by the lenders.
We do not endorse any of the lenders in the network.
Short-term loans are not available in all states. Not every lender in the network can offer a loan of up to $1000.
We cannot guarantee that the loan application will be approved by a lender.
Instant Payday NV also cannot guarantee that every application will be successfully matched with a lender or that the lender will provide the applicant the loan amount.
The lenders might perform a credit check through one or more credit bureaus (which include but are not limited to the major credit bureaus) to determine the reliability of the applicant.
The lender will also need to perform other verifications such as confirming the social security number, national ID, driving license number, or any other identification documents submitted by the applicant.
The terms of the loan proposal depend on the lender and various factors such as the federal laws and state laws, or industry regulations.
The terms and conditions of the loan proposal will vary from lender to lender and from one application to another.
APR (Annual Percentage Rate) is the interest rate calculated per annum for the loan. Instant Payday NV is not a lender.
We do not have the required information pertaining to the rules, regulations, and terms used to calculate APR by individual lenders.
APR calculations vary from one lender to another, one state to another. They also depend on various factors that decide the APR of a loan. The credit rating of the applicant can be one of the reasons.
Any other additional charges including but not limited to the origination fee, late payment fee, non-payment penalties, or non-financial that include debit collecting actions, late payment reporting, etc. come under the responsibility of the lender.
Instant Payday NV has nothing to do with the payments charged by the lenders or the action taken by them.
We do not maintain any information regarding the same. The charges and actions are to be fully
disclosed by the lender as a part of the loan agreement. The calculation of APR is the annual rate and not the financial charge of the product.
Implications of Late Payment
We highly recommend our customers to contact the lenders to enquire about the possibilities of late payment.
In the case where late payment is considered possible, the late payment fee is applicable and implied.
The laws of the state and the federal govern the cases of late payment fees and vary vastly.
All details related to the procedures and costs associated with late payment are disclosed in the loan agreement.
Customers should carefully review the terms before signing the contract.
Implications of Non Payment
In case of nonpayment of the loan, both financial and nonfinancial penalties may be implied.
The charges for nonpayment and late payment are disclosed in the loan agreement.
Additional actions related to nonpayment’s such as renewals or extensions can be implied upon given consent. The terms of renewal are disclosed in the individual loan application. Additional renewal charges may also apply.
Lenders may perform debt collection practices.
The practices are adjusted as per the Fair Debt Collection Practices Act and any other federal or state laws related to the industry to ensure that the customer or the loan applicant does not end up being a victim of unfair trade practices.
Most of the lenders do not use outside debt-collecting agencies to recover the loans. They use in-house methods to collect the debt from the applicants.
Late payment and nonpayment of the loan might have a negative effect on the credit rating and further decrease the rating.
This may cause them trouble over time. Lenders may report to credit bureaus such as Experian, Equifax, Transunion, etc. In such instances, the late payments and nonpayment’s may be recorded and remain in the records for a certain period.