There are any number of reasons you may find yourself short of cash. You could be faced with unexpected bill increases or urgent car repairs that exceed your budget. Luckily, payday loans can help you out if you find yourself in a financial emergency.
Short term loans are designed to tide you over and help you pay for urgent expenses. While your application for payday loans isn’t guaranteed approval, we will do our best to find you a suitable loan and repayment schedule. We will try to provide you with a quote within minutes. However, the approval and funding timeline will vary depending on your individual circumstances and application.
Applying through Tendo is simple and entirely online, with no upfront fees. We can help all types of applicants with any type of credit scores and our lenders can quickly transfer funds upon approval. Interest rates and terms vary depending on the lender and your personal circumstances.
Here at Tendo, we want you to be confident when making important financial decisions. This guide is designed to equip you with all the information you need to make decisions about payday loans. We’ll look at what they are, how they could help you and how to apply.
What is a Payday Loan?
When unexpected financial emergencies arise, sometimes you don’t have the immediate funds to cover them; this is where payday loans can help. A payday loan is a type of short-term loan designed to help borrowers cover immediate, small financial needs.
Key characteristics of payday loans often include:
- Small loan amounts: you can typically borrow between a few hundred to several thousand pounds
- Short term: loans are usually repaid over a few weeks to a few months
- Higher interest rates: you’ll usually have higher interest rates with payday loans to pay compared to other types of loans
- Online application: you can apply for a payday loan
Payday loans are paid directly into your bank account and can be used to cover immediate financial requirements. Our panel of payday loan providers typically require your loan to be repaid in instalments as opposed to being repaid in a lump sum, however we do have all sorts of providers which will suit your needs.
When Should I Apply for a Payday Loan
Whether you have sudden car repairs to pay for or an increase in household bills, payday loans can help you cover urgent costs. These short-term loans should only be used to cover emergency or unexpected bills and not regularly relied on. You should only apply for a payday loan if you are sure that you can repay the money on time and in full. They aren’t suited to long-term financial difficulties.
Payday loans are often approved and distributed on the same day that you apply, giving you fast access to cash. This type of short term loan should be reserved for when you really need urgent funds and are sure you can make the repayments on time.
If you feel you are struggling financially then we would suggest you contact specialist advisors who can be of assistance:
How Do I Apply for a Payday Loan?
The Tendo application process is quick and straightforward. Before you get approved for a loan, you need to make sure you meet the basic requirements. Tendo’s panel of lenders typically require you to be at least 18 years old, live in the UK, be employed with a regular income and have a UK bank account.
You can select how much you want to borrow as a payday loan online and the repayment schedule that you want to use. With Tendo’s panel of lenders, you can access payday loans in the UK with a value between £100 and £5000 over a period of 3 months to 36 months. We’ll ask you what the loan will be used to pay for to help with our assessment. You’ll also be asked to provide additional information such as your marital status and if you have dependants as well as your typical monthly income and expenditure to ensure that your loan is affordable.
Based on your application, Tendo will find a list of lenders who you could potentially get a payday loan from. They will give you a loan quote as to how much you could borrow and the repayment schedule.
Pros and Cons of payday loans
Take a look at the advantages and disadvantages of payday loans to help work out if this type of short term loan is right for you.
Pros
- Typically quicker access to funds than traditional lenders: Online payday loans can give you quick access to funds to cover urgent bills and expenses.
- Online application: You can apply from the comfort of your own home using the simple application process. The application process can be completed within minutes.
- Flexibility: Payday loans can be used to pay for a variety of expenses, from groceries and household bills to car repairs or vet bills.
Cons
- High interest rates: Payday loans usually come with high interest rates. They can be expensive to repay compared to other types of traditional loans.
- Short repayment schedules: The short repayment terms for payday loans can be difficult to meet if you are facing ongoing financial difficulties.
- Cycle of debt: Applying for too many payday loans can lead to a cycle of debt that can be difficult to break.
Borrowing Responsibly: Key Tips
Before you apply for a payday loan, it’s important that you consider some crucial aspects:
- Borrow what you need: While it can be tempting to apply for a larger loan, only borrow what you truly need and can realistically repay on time.
- Keep to a repayment plan: Design a repayment plan and budget to ensure you consistently meet your repayment schedule. You could use a budgeting app or website to help.
- Consider alternative options: Before applying for a payday loan, you may want to consider alternative options such as credit cards, overdrafts or loans from friends and family.
- Read and understand the terms: It’s important that you read and understand the contract terms before you sign anything. Particularly focus on the repayment schedule, interest rate and any additional fees.
What to do if you’re struggling with debt
Loans are a big financial responsibility, so it’s important to consider your options before you get one. There are services and resources you can turn to if you’re in need of financial help. This includes the following services:
Payday loans online FAQs
Please note that we are not a direct lender. We offer a loan matching service. We connect you with lenders to find the best loan for you. There's no fee to use our service, but a small number of services introduced through our platform may include a monthly fee. We might earn a commission for us referring you to them.
