Elements to Look for When Choosing a Payday Loan Company

Payday loans are short-term loans that give you access to quick cash when you need it. Whether it is to cover an emergency, like hospitalization or when your car breaks down, these types of loans are useful and can really help you out when you need it the most.

When choosing a payday loan company to work with, here are 5 elements that you can look at:

Ease of application:

There are three types of payday lending companies out there. Those that have retail stores and online payday loan companies, and those that have both. Of the three, the online companies offer private accessibility and an even easier application process. While retail lenders require you to go to the store or to fax some items, you can get a loan with online lenders with just a few clicks.

Cost of the loan

One of the important things you should look for is full disclosure of fees. Some lenders do not reveal all of their fees right until the last moment. The promised rate balloons as extra fees and interests begin to add up. You end up spending more than you wanted because of the additional fees. In Ontario, the cost is $21 per $100, and in British Columbia, the cost is $23 per $100.

Choose a creditor that shows the full pay back up front. Ask the company about their rates and determine if you have to pay extra before the release of the loan.

Quick approval

The nature of payday loans makes it an important financial instrument for emergencies or immediate monetary needs. A payday loan company that can give you a fast approval is the best one to work with. In some cases, you will need the money on the same day to pay for bills or medicine.

Security and privacy

If you are dealing with an online lender, make sure to protect your personal information by checking on the company’s privacy policy to ensure that your data is not used without your authorization. Check also on any security measures they take. They need to use top level encryption to protect your data. A quick way to check is if the URL says https when you are in the loan application page.

Responsible lending

Choose a company that lends money responsibly. You can identify them by the amount of money they lend. They do not exceed the income of a borrower to make sure that they get to pay in full.

These elements are what you need to look for when you search for a payday loan company. GoDay is a payday loan company that offers fast processing with instant approval, upfront fee disclosure and cash in as little as one hour. Find out more about GoDay at www.goday.ca