Busting the Misconceptions About Payday Loans

Oct 08, 2020
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If you have financial issues that you need to solve right away, whether it be maxing out your savings, forgetting your overdue rent, or missing out on other bills, then a payday loan might just be what you need. You can avoid facing more expenses you can’t afford to pay anymore and address your money emergencies by applying for a payday loan. 

As long as you know that you can pay off your loan during your next salary, you have higher chances of being approved by lenders. Unfortunately, payday loans are known to be taken advantage of, so misunderstandings revolve around it due to the flexible policies. Keep in mind that there are genuine money lenders whose goal is to help those in need. 

If you’re still unsure about it, then keep reading below to find out the common misconceptions surrounding payday loans.

 

You Can Never Resolve a Payday Loan on Time 

Some people believe that a payday loan will only leave them with more expenses than they first started. The fear is that instead of making things easier for them, payday loans end up becoming a burden! The truth is that you can’t get a payday loan without undergoing a lengthy approval process—which more or less assures that you’re capable of paying it off in the first place!

If you’re unsure whether you meet the standards of acquiring a payday loan, you can always ask for assistance from specialists who can readily guide you and provide the right help. They will be the ones to determine if a payday loan is appropriate, depending on your situation.

 

Money Lenders Only Care About Earning Cash

Part of acquiring a payday loan is the assurance that you can repay what you owe money lenders on time. Failing to do so will only push back the due date when they can regain the total amount of the loan, so chances are, they won’t force you to do anything you can’t do.

It would help to keep in touch with your lender, so they’re updated if ever things don’t go according to plan. That way, they can help you think of other ways to repay them on time. Depending on the lender, you have the option of paying in installments or waiting until you obtain the full amount, whichever will make it easier for you to pay off your loan.

 

The Additional Fees Cost Half of Your Total Loan

Before you agree to a payday loan, it’s your responsibility to read through the agreement stating all the interest rates, fees, and possible charges you can incur if you don’t pay on time. Loan companies will provide you with an outline of all your payday loan expenses before signing the contract.

 That’s why it’s highly unlikely to receive any fees you don’t know about prior to your agreement with a money lender. The conditions and policies of a payday loan are clearly stated for borrowers, so you know what you’re getting yourself into before deciding to go for it! 

 

Conclusion 

Payday loans can benefit borrowers in need of extra cash to pay their more significant debts on time. By clearing the air regarding the common misconceptions surrounding it, you can make a better-informed decision to augment your financial needs and avoid further debt. If you’re still unsure, then consult with an expert broker to find out the best loan options for your needs! 

Are you looking for payday loans in South Africa to help manage your financial matters? Hoopla Loans is an online platform that aids customers in acquiring payday loans, personal loans, and medium and long-term loans. We offer flexible payment terms with competitive interest rates. Check out our website today and let us help you acquire a loan today!