August 9, 2021
Is High Acceptance on Payday Loans Mere Advertisement or A Reality?
By : Ellie Brown
Loans have now become the second source of income for most Britons. Yes, it is a reality, bitter or not, that you will decide. People are already struggling with the aftermaths of what they had faced during the pandemic time.
The rate of unemployment has increased, and already bad credit scores are creating problems for them. Applying for loans is not the desire. Somewhat, it has become a need to fulfil various financial purposes.
When it comes to the lending marketplace of the UK, we can find that plenty of lenders provide you with various loan options. You will have to find a suitable one that comes beyond the effect of unemployment or poor credit.
In such a scenario, payday loans seem the obvious choice. These funding sources have a larger sphere in the UK, and many people want to apply irrespective of the nature of high-interest loans.
What are Payday Loans?
Payday loans have been controversial, as well as convenient loan options. Why? We will discuss this later, as we first know the actual means of these loans.
These are the short-term loans applicable during a financial emergency. These loans bring the funds early with no documentation and credit check. You can have the same day fund transfer into your bank account.
The most significant part is its repayment. You can repay the loan on your next payday, which means your salary day. The lender automatically deducts the amount from your bank account, and the loan ends there.
Payday loans, also known as cash advances, are controversial because they involve higher interest rates. It is like borrowers have to pay more even if they have a requirement of only a tiny amount.
These are convenient because the process is relatively easy and straightforward. There is no issue of whether the borrower is earning full-time income or not. Similarly, people with bad credit scores can also qualify.
These loans invite many debates, especially for the last two to three years. One of them is high acceptance payday loans from direct lenders in the UK.
Let us discuss further in this blog whether high acceptance is an only advertisement or a reality.
Payday Loans on High Acceptance: Advertisement or Reality
This blog section will discuss when 100% acceptance on payday loans is only the advertisement or when it is not.
When high acceptance payday loans is an advertisement
Many lending institutions are there in the marketplace advertising payday loans with mentioning high acceptance. It can be tricky, especially when Financial Conduct Authority (FCA) has strictly prohibited lenders from advertising this.
Still, lenders do so because they want to attract a large number of borrowers to avail of their loans.
They publicise their loan products where there is no issue of their poor credit or employment status. Once borrowers get trapped in this, lenders later charge either higher interest rates or upfront charges to ensure high acceptance.
The high acceptance of payday loans becomes only an advertisement when the lender has only one thing in its purpose, i.e. to earn more. It means lenders think of their own business interests rather than focusing on the borrowers’ financial circumstances.
Therefore, in-depth research is vital before choosing a payday loan deal.
When High Acceptance on Payday Loans is not an Advertisement only
With a few lenders are thinking of their own interest, not all the lenders are doing the same. You need to analyse the difference that has happened in the UK marketplace.
Some responsible direct lenders are providing guaranteed approval on payday loans with complete responsibility. (FortniteMoney is indeed among them as we have the proven record of providing loans on higher acceptance)
These lenders are not violating the rules of FCA and still advertising high acceptance. They do this by making some ways to keep everyone contented.
Previously, the lenders used to approve the loan application based on the credit scores and full-time earning. They wanted 100% assurance of loan repayments. These days, especially the direct lenders, are quite flexible in their approach.
The high acceptance is assured based on the loan affordability of the borrowers. If they show their income capacity and affordability to repay, lenders are hesitant to bring loans on guaranteed approval.
Nowadays, lenders do either soft or no credit checks. Besides, they can approve payday loan applications despite the borrower earning only a part-time income. It means all the doors are opened to get guaranteed loans to be repaid on the upcoming payday.
You can see that these lenders are also advertising payday loans on high acceptance. However, they have made this possible because of their genuine approach to bring approval from different ways. Borrowers will have the ideal time to save their finances.
A conclusive and comparative analysis
In listening, high acceptance payday loans from direct lenders are looking as barely an advertisement. It is especially when FCA has kept a strict eye on it.
With the help of genuine lending norms, it becomes a reality more than an advertisement. You only need to have the right loan deal from a responsible direct lender.
If you can do this, you will have loan approval without any obstacles. Just go ahead but be careful…