fcomparing payday loans
"PaydayFinancial.co.uk helped me get access to some quick quid, so I could get the immediate repairs done on my car"
- Natasha, Surrey
"I needed some fast cash to pay off my credit card bill and pay day uk provided me with the right solution."
- Robin, Cambridge
"I was feeling a little burnt out at work and decided I needed a holiday. PayDayFinancial.co.uk helped me get the pay day loan I needed for a nice trip with my husband!"
- Elizabeth, London

PayDay Loans - Comparing Apples to Apples


Payday loans are quick loans deposited in your bank account and repaid on your next payday, usually within 31 days. The service is almost immediate and the repayment is taken from your next paycheck using your debit card.

A typical payday loan company may lend you as little as 80 pounds and expect you to pay back 100 pounds within next 30 days. This seems to work out at an APR of 1355% on a 30 day period. In comparison, a bank levies a fee of 40 pounds on a bounced check of 80 pounds. This actually works out to double the APR of a payday loan without ever getting the actual 80 dollars. Another typical payday loan firm may lend you 600 pounds and may expect you to payback 750 pounds with in 30 days. Again an APR of 1355% has been charged by a payday loan company. Compare this to a daily non sufficient fee charged of 10 pounds a day by a traditional bank on a normal over drawn bank account for having overdrawn 600 ponds beyond your sanctioned limits. This again works out to double the APR charged by a payday loan company. The bank also sends a negative credit report to the credit bureau for a bounced check or an overdrawn bank account where as a payday lender may send a positive report to the credit reporting bureau for having availed the very same small payday advance. Credit Card companies are even worst in levying excessive overdrawn charges. A traditional bank and a credit card company shall completely close your account after reporting such a bad credit report on you that no other bank or no other credit card company shall ever deal with you in next few years.

A typical utility company shall charge you a penalty of 40 pounds for having made a late bill payment of 80 pounds. The same utility company may even charge you a disconnection fee and a reconnection fee of 40 pounds apart from other penal interest on outstanding bills of few hundred pounds. These again seem to be highly unreasonable APR’s charged as compared to a typical payday loan company.

Pawn Shops are even worse. Instead of lending money they have an eye on your assets that you have pledged for a fraction of cost and can liquidate for double the amount in the whole sale market. The Pawnshop APR are notoriously higher than the comparable charges of a payday advance company. Plus at a Pawnshop you end up loosing your valuable materialistic processions for a fraction of the price at which you had acquired them.

When you are looking for a comparatively low-cost loan, wouldn’t you like to look back upon how badly you were treated by theses reputed banks, credit card companies and utility companies? Making a smart choice depends on the groundwork you do before you close a deal with a lender.

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