Exploring the different types of direct lender payday loans

5 popular types of direct lender payday loans

Let’s take a look at the most popular types of payday loans are, and what can you get out of them. 

Bad credit loans

They’ll need to know your financial history and how responsible you are when it comes to finances. The score is influenced by previous defaults or late-paid bills.

With these thoughts in mind, bad credit payday loans won’t necessarily consider your score. And if they do, it won’t affect the approval decision. The only thing your credit score could affect would be the interest rate. In other words, the higher your score is, the better your deal will be. 

Emergency loans

Many payday loans can be considered emergency loans. When you can no longer wait until your next paycheck, a payday loan becomes the best option. You’ll usually get money straight to your bank account within a couple of days. On the other hand, emergency loans are aimed at those whose urgency can no longer wait.

Whether you need the money today or tomorrow, depends on when you complete the application. Do it in the morning, and you’ll get money to your account within a few hours only.

Ensure you have all the documentation, as missing stuff can delay the application. You’ll usually need identification, proof of address, and perhaps a payslip showing your income. Get everything ready, spend a few minutes to complete the application, and get the money before the end of the day, simple as that. 

Online payday loans

Most payday loans can be requested online these days, but you may also need to reach out to some direct lenders in person in order to get them. In some cases, you may have to apply by post. Doing it by post will take days to get accepted while seeing a direct lender in person can get the money in your account straight away.

Online payday loans are issued online. They’re extremely convenient because you can apply them from your computer or smartphone. Everything is done online, from the application to the finding disbursement.

The convenience associated with online loans is exactly what made them so common these days. This is also the reason wherefore so many direct lenders offer the online alternative. They know customers prefer it.

Applying for an online payday loan is a bit risky, so you need to ensure you rely on a reputable direct lender. 

Same-day loans

Same-day loans are similar to emergency loans. Of course, it depends on when you apply. Some lenders offer a 24/7 service, but many of them don’t.

Do your application later in the afternoon or evening, and you may not get any money until the next day.

Even if you do it in the morning, you won’t necessarily get the money within an hour or two. But if it’s advertised to be a same-day loan, you’ll get it by the end of the day. 

Installment payday loans

Payday loans are usually single-payment loans, but in order to attract more customers, some direct lenders also offer installment payday loans. Installments and agreements vary widely from one lender to another.

For example, you could get an installment payday loan with weekly repayments. You can also get a payday loan that extends over more than just a few months. It doesn’t necessarily follow the main principles of a payday loan, but it’s advertised like that to draw attention.

Usually, you’ll save on the interest rate if you pay everything in one go within the first month. The more months you spread it over, the more money you’ll pay in the long run.

Conclusion

Direct lender payday loans follow some basic principles, but they come with different items, depending on the client’s needs. Generally speaking, more convenience means higher interest rates, so stick to the loan that you actually need only.