Payday Loans Named "Most Expensive"
Tuesday, 20th October 2009
Research from popular price comparison service, uSwitch.com, has found that while Payday loans may offer quick and easy cash, they are the most expensive forms of loans in the UK, with some APRs up to a staggering 9889.3%.
According to uSwitch.com, a consumer taking out a typical payday loan of £750 could end up owing £1,687.50 if they defer repayments for only five months.
Payday loans are becoming more popular and are seen as attractive to younger people who are finding it hard to secure finance amid the credit crunch, according to Frances Walker of the Consumer Credit Counselling Service (CCCS).
Typically, Payday loan lenders only require valid ID, some proof of employment, and a post–dated cheque. It is advisable that Payday loans are best reserved as a product of last resort, since loan interest rates offered may not be competitive by comparison to more mainstream lenders.
Payday loans are becoming more popular and are seen as attractive to younger people who are finding it hard to secure finance amid the credit crunch, according to Frances Walker of the Consumer Credit Counselling Service (CCCS).
Typically, Payday loan lenders only require valid ID, some proof of employment, and a post–dated cheque. It is advisable that Payday loans are best reserved as a product of last resort, since loan interest rates offered may not be competitive by comparison to more mainstream lenders.
Recent News Blog Posts
- Brighter times?
- Credit Card Borrowning On The Increase
- Low Personal Loan Rates By The Nationwide.
- Car Loans Rise Following Launch of Car Scrappage Scheme
- Loan Applicants Advised To Be Honest
- Penalised for Checking Your Credit? That's Unfair!
- Payday Loans Named "Most Expensive"
- FSA Bans Lenders from Selling PPI
- Consumers Continue To See Fewer Benefits from Low Base Rate
