There are different payday lenders and loans and it can be difficult knowing which to go for. It can be wise though, to work out which will be the best. This is because you want to be able to make sure that you have the very best borrowing experience. This can be something that we often skip when we are looking for a loan and it can be a mistake. If we do ignore it we can end up paying more than necessary or using a lender that does not really suit us. So it is worth doing this research first.
Think about what you want
It is important to start by thinking about what you want in a loan and a lender. You will need to think about how much you need to borrow, how soon you want to repay it, what you can afford to repay and what you are looking for in a lender. Some people are not too bothered about the lender but some want one that is well known, that they have heard of, has a good reputation, comes recommended or things like that. This can be hard to find if you are new to payday loans. This is because you will not know so much about where to look for this sort of lender. There are lots of lenders available as well, which is good because it gives you choice and the competition drives prices down but it can make it confusing when you are trying to pick between them.
It can be tempting to think that there will be one lender who will be the best for everyone and if you can just find them you will be able to get the best service and value for money. However, it is sadly not this simple. This is because we all have different requirements when it comes to loans and lenders, especially for bad credit and therefore a lender that is fantastic for one person may not be any good for another. This could be because one person just wants to borrow £200 and they find a lender that does this cheaply but another person wants to borrow £1000 and that lender does not even offer that much money. This is a simple example but hopefully it shows how different needs lead to different people liking different lenders. However, having a list of your requirements is a good start.
Ask people/read reviews
If you want to know more about the reputation of lenders then there are a few things that you can do. Asking people that you know is probably the best way. This is because they will be honest with you and have no reason to be biased towards a particular lender. They also want you to have the best experience and so will let you know if they think a specific lender might not be good to use. Of course, you may not know anyone that has used these lenders but also you might find it hard to ask people about it. Telling people that you are considering borrowing money is not always that easy. You will be admitting to them that you are struggling financially and this is not something that people always want to talk about. You may find though, that most people have borrowed money or considered borrowing so it will not be as hard as you think. However, as an alternative, you could look at websites that review and rate lenders instead. However, you need to be careful of these as they do tend to have boas. It could be that lenders have rated themselves highly to try to get customers. It is more likely that the people who set up the website get commission on the leads they generate based on their recommendations. This can mean that they will be more likely to recommend those that pay them better and they may totally ignore those that pay nothing. Be aware of this when you are looking at different sites.
Looking at the lender’s website can be useful as well. You will be able to get to know more about the lender and their loans from it. It can give you an idea of what they are like as you will get a feel for them from the tone of the website. You might be interested in finding out things like how long they have been in business, how many customers they have had, what they charge, what their loans are like. You might also be able to get a feel for how friendly, polite and helpful they are, but you may need to contact their customer service department to get more information about this. You should be able to do this by phone, email or online chat and this will help you to know whether you feel you want to use them.