Same day loans are there to provide the funds you need the very same day that you apply. Often emergencies arise and it is vital to get same day funding. Bank loans tend to be difficult to come by unless you have a near-perfect credit history. They also typically take anywhere from a few days or weeks to acquire. If you need the money right away, a couple of weeks from now isn’t going to do you much good. Thankfully same day loans do exist.
What are same day loans?
Same day loans, sometimes referred to as instant loans provide immediate funding for sudden needs. In the UK, same day loans fall under a category known as short term loan because they are repaid over shorter amounts of time than traditional long term loans. While some direct lenders offer the same day lending options on larger sums, this type of advance is typically reserved for relatively small amounts. Online same day loans from Moneyboat are available in amounts of £200 to £800, or £1500 for existing customers, subject to passing our credit and affordability checks. Loans are repayable over a minimum term of 2 instalments and a maximum of six months. The minimum instalment duration for the first instalment is 5 days. Customers may payback their loan early with no penalties or fees.
What are the Benefits of a Same Day Loan?
The main benefit of a same day loan is speed. Banks and certain other lending institutions leave you waiting days or weeks for approval and ultimate receipt of the financial resources you need. Same day loans however, give you that extra money quickly. Some of the other advantages of this particular option include:
- Lower Credit Requirements: In most cases, short term lenders offering loans for less substantial amounts allow borrowers a little more leeway where credit is concerned. Having a less-than-perfect credit score won’t necessarily disqualify your chances of securing a loan with a same day lender.
- Unsecured: Same day loans are unsecured, which means you don’t have to put up collateral before being granted the cash you need.
- Shorter Repayment Terms: Though having to pay back your same day loan over the course of three pay periods or less may sound somewhat overwhelming, many customers say it’s actually a bit of a relief. You know you won’t spend the next several years paying for a single small-scale financial hardship.
- Smaller Paybacks: With Moneyboat you’ll be borrowing no more than £800, or slightly more if you’ve established yourself with us. Therefore you know you won’t be paying back thousands like you could be if you’d taken out a larger loan.
- Flexibility: Whether you’re using the money for back-to-school shopping, unexpected car repairs or catching up on the utility bills, you’re free to spend your loan as needed from a list of many options.
Why Apply For A Same Day Loan?
For those times when payday is a little farther away than you need it to be, same day loans can help. This particular option gives you readily available cash in small amounts to be paid back quickly as compared to traditional loans. If you don’t have a perfect track record where credit is concerned, you may still be eligible for a same day loan with bad credit.
When Will Borrowers Receive Their Money?
Can Borrowers Have More Than One Loan at the Same Time?
What Happens When Borrowers Have Problems Repaying a Loan?
Representative Example: based on the last working day of each month
Interest rate 255.5% pa (fixed) Representative 939.5% APR
|Payback period||4 months|
How Can I Get a Same Day Loan from Moneyboat?
First of all, you’ll need to refer to the application we’ve provided. From there, it’s a simple matter of filling in the required fields. This process usually only takes about 10 minutes or so depending on whether or not you have the necessary information on hand when you start your application. You’ll also need to meet our eligibility requirements. We ask you about:
- Age: You must be at least 18 years old in order to qualify.
- Employment: You must have a regular job and proof of employment.
- Income: Having a regular income and proof of such gives us reassurance you’ll be able to repay the loan without placing yourself in further financial trouble.
- Residence: In order to be eligible, you’re required to have a valid U.K. address.
- Bank Account: A current U.K. bank account is needed for both deposit of your same day loan and repayment. Unlike other same day lenders, we won’t ask for your bank account information until after you’ve been deemed eligible and heard our terms.
You’ll also need to answer questions regarding your monthly expenses before being approved for a same day loan. Verification of your identity, income and address as well as review of your information typically takes around half an hour. Once you’re approved, the money should reach your bank account very quickly.
What Happens when the Time Comes to Repay My Loan?
Repayment is the primary concern for most people. How long will I have to pay? When will payments be due? While filling out your application, you’ll see a few different options for repayment. First off, you may choose one of three terms:
- One Pay Period: Your entire loan amount and all interest rates are due on the agreed-upon payment date.
- Two Pay Periods: On your first payment date, you’ll pay interest accrued on your same day loan up to that point. When the second pay period rolls around, you’ll be responsible for the loan amount as well as additional interest.
- Three Pay Periods: Accrued interest is paid on your first two payment dates. On your final payment date, the loan amount and further interest is due on.
You’re able to choose the term best suited to your needs, but longer terms may not be available for smaller loans. Due-on dates are based on your pay schedule with a grace period of at least 21 days between receiving the loan and making your first payment. You can also choose between two different ways to repay your same day loan:
- Link your account to a debit card from which payments will be taken on previously agreed-upon dates.
- Have payments automatically drafted out of your bank account on pre-arranged dates.
Aside from these options, you may choose to pay early if you find yourself able to do so. No penalty fees apply for those who wish to pay off their same day loans before their scheduled payment dates. In fact, doing so could actually reduce the amount of interest you’ll pay overall. It should also be mentioned a 0.7 per cent interest rate applies, which will be multiplied by your total borrowed amount and accrues daily.
What if I Can’t Make a Payment?
As we’re all well aware, circumstances beyond our control have a way of arising. We understand this and have made provisions for such incidents. As is the case with your automobile or mortgage lender, and even your utility providers for that matter, it’s always best to call us and explain your situation if you’re unable to make your loan payment.
A late payment brings about a one-time late fee of £15 which is added to your account. If you’re worried about repayments, it’s important to go over these points with us before taking out your loan.
Are There Any Downsides to Same Day Loans?
Same day loans are designed to help bridge the gap when your finances fall short. While they’re immeasurably useful when situations warrant, they do come with a couple pitfalls. For one, interest rates are quite a bit higher with this option in comparison to conventional loans.
Secondly, a handful of people have inadvertently forced themselves into financial ruin via this route. A few allow themselves to rely too heavily on instant access to extra funds. They ultimately end up paying far more in interest rates than they’re borrowing, taking a significant chunk out of their income; as such, they land themselves in worse financial shape than before.
Is There Anything Else I Should Know?
First and foremost, it’s important to use same day loans responsibly. If you find yourself turning to this option repeatedly, you may want to consider some other debt advice first. This type of loan was created with the occasional monetary emergency in mind. However we advice using discretion when deciding just what constitutes an emergency.
Secondly, make your payments in a timely manner. Whether your lender is linked to your debit card or withdrawing payments directly from your bank account, be sure the funds are there on established payment dates. If they’re not, you could be facing a late fee and expensive interest as well as penalties from your financial institution. In the event your regularly scheduled payday is going to be later than usual, just let us know in advance.
We understand you may need a little extra time to make a payment. However don’t get caught up in interest and late payments alone. Please contact us and let our customer support team guide you through a better repayment plan.
Plenty of people have found solace in same day loans, despite the concept receiving a fair amount of flack over the years. The true pitfalls only come into play when people abuse this ready access to extra income and available payment extensions. When using same day loans sparingly and making your payments on time, they can be a helpful option to have on your side.
Fill out the form we’ve provided to start the process, or contact us to learn more about same day loans as well as the other available alternatives.