Pay Day Loans - No Direct Debit?
People who are searching for payday loans and want to be able to take out a loan without paying the lender back by direct debit, should be able to find a suitable lender online. Clearly, reputable online lenders want to be able to get their repayment and their interest on the day on which the borrower's salary hits their account. This process of paying off the loan on the borrower's payday is what has given the loans their name and payday loans UK are intended to fill a deficit in a person's finances until they get their salary. Typing pay day loans no direct debit in to a search engine will offer results for a range of online providers, together with articles such as this one which explain the process online lenders prefer and why they prefer it.
A search for pay day loans fast which don't require a direct debit should identify a range of reputable lenders who will provide short term loans, with the repayments collected via the borrower's debit card. In addition to simplicity, this has the advantage of privacy: instead of setting up a direct debit mandate with your bank for a single debit transaction, a debit card payment is collected on the due date with no visibility of a new direct debit to your bank.
For many, this is far preferable to the complexity associated with paying a high street money shop by cheque instead of by debit card; there you give them the cheque signed and dated on the day you take out the loan and then later, if you fail to take in the cash to repay on the day you should repay them, they simply cash the cheque.
Two problems can arise from that system. One problem is that the cheque bounces, in which case you remain in debt to the high street money shop, usually with additional charges and late payment fees tacked on to the amount, (not to mention bounced cheque bank charges) and another potential problem is that they cash the cheque later than you expected meaning you could find it more difficult to plan the next month's finances. For these and many other reasons, debit card repayments to online companies can be a simpler option than high street money shops. Refused payment charges by card tend to be a lot simpler than bounced cheque charges.
Other pay day loans no direct debit deals might be available from independent pawnbrokers which is the second option we mentioned above. They can work out well, but some rogue lenders break the law by not registering for governance by the FSA (Financial Services Authority) and that means they are potentially dangerous to do business with.
The purpose of companies requesting debit card repayments is to streamline the repayment process. It is to ensure that companies get re-paid just as soon as their borrower can afford it. This also allows the borrower to use their remaining funds to plan for the month ahead, sound in the knowledge that they have repaid their debt.