The £50 Loan that Costs £69.99 to find!

Beware of Payday Lenders and Short term Lenders charging UP-FRONT FEES

  • The £50 Loan that cost £69.99 to find and obtain!

  • Why would anyone wish to pay more to find or search for a short term loan or payday loan than the actual loan amount required?

It is hard to understand sometimes how a person will make a decision when presented with options to borrow money.

Most people will usually start with the main High Street banks and certainly start with the bank they use as this bank has the benefit of seeing that individuals’ income going in and out of the account each month.

This gives the bank a head start as they can see if the person can actually afford the loan they are asking for and the bank or any other responsible lender will also consider if the person applying can afford to repay the loan should they suffer a further change in circumstance in the future!

To hear that someone has paid £69.99 to see if they can get a £50 loan does not and will not make sense to most people, however, here at Larry the Loan Broker, we get to see and hear many stories that have a similar sound to them. Then we consider the individual we are speaking with and why they may have fallen victim to such a practice or process;

  1. Has the consumer been taken advantage of and lied to by the lender or loan broker?
  2. Has the consumer not heard correctly or miss-understood the process and costs involved to search for the loan?
  3. Have they basically just agreed to anything anyone says who sounds slightly able to supply credit to them?

Usually it is the third reason above as to why this process can take place, wishful thinking or urgent requirements obviously take over the mental buying / selection process when shopping for finance. Again, we have to ask ourselves why anyone would pay a fee for a loan that is actually higher than the loan amount required.

Most people paying these loan search fees are vulnerable consumers struggling to make ends meet, they are usually claiming state benefits of some type and unable to work for a number of varying reasons.

  • The simple message is beware of UP FRONT FEES.

If you do not like the advice you are given about a payday loan or other types of short term loans then please accept that if the loan company or payday lender you have taken the advice from is a bona fide company and genuine with the advice offered, you only have yourself to blame if taken advantage of by unscrupulous lenders or brokers.

If you need help or advice regarding personal loans or personal debt consolidation help including payday loans and being refused a loan, please contact us free and in confidence today using;

  • 0800 118 2345
  • Our lines are open 24 hours a day / 7 days a week
  • Calls are usually free from a UK land line but mobile call costs to our free phone number may vary

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