There are websites claiming to be online payday loans direct lenders only, but the truth is that there are many companies that are not legitimate and many other websites that are. They all claim to be the only online payday loans direct lenders only. As a matter of fact, the company could just be an extension of the lender itself.
If you go by online advertisements, it’s easy to see why people are attracted to this opportunity to borrow money for a short term until their next payday. Because there are no requirements to begin with, it’s a very tempting offer. It makes it easy to take out a loan in less than an hour, making it seem like it’s a very simple process.
First, the company must have a valid business address and have an active telephone number. The company may operate out of a mailing address, but this is only likely if the company has a valid business.
Second, if they are asking for your credit history, make sure they do not mean your existing credit cards. Even though they may be using a personal account, any credit account is off-limits to them. All your accounts should be closed or on a repayment plan.
It’s a good business practice to request proof of employment. If the website insists on a fax receipt, look it up to see if you can find proof of employment from your employer. The most reputable companies will provide employment verification. These are usually referred to as “purported” job opportunities or references from former employers.
References from the website itself should be checked as well. Ask if the website had references that were reviewed and rated. Abusiness who offers “verifiable” information should be able to provide you with a written report from someone who was actually assigned to their business and given the opportunity to rate them based on verifiable information.
Companies that only have one or two independent reviewers are almost always the ones you should avoid. Any reputable lender is going to use at least two reviews. A small lender who only uses a single reviewer is almost certainly a scam. Checking with the Better Business Bureau in your state is also highly recommended.
In addition to checking references, checking references is something else you should do when investigating an online payday loans. Most lenders do provide an independent person to review the references for you. Again, this is a company that gives you their website address and business name. Make sure the reviewer doesn’t work for the company.
Once you know where to look, check the feedback provided by online payday loans, the rates and fees, and check the companies themselves. There are lots of scams out there, but there are also companies that have nothing but good things to say about them. There is no such thing as a “fake” company.
Companies that can only quote one interest rate should be avoided. They are probably offering a guaranteed low rate based on the risk they assume. These companies should be avoided because they will not have any interest in lending to you.
Lenders who specialize in providing legitimate payday loan services should be the companies to approach. They are going to give you the best service and will know what to do when your situation calls for it. Again, they will have access to very low interest loans and will have the best interest rates.
The best way to ensure that you receive the best service when it comes to online payday loans is to speak with someone who has already tried them out. The company you choose should also offer a 24 hour helpline to assist you when you get a loan emergency.