Top 20 Payday LoansTops 20 payday loans
And how many use them? It is not officially known how many individuals use this type of credit. However, it said that the value of the loans grew fast. Based on its latest research, which resulted in an intermediate review in November 2012, the OFT believes that up to 1.8 billion a year can be borrowed from payday creditors.
Sometimes they see the short-term advance as a sensible option to operating an unauthorized revolving draw. There have been some who have turned to these creditors because budget constraints have been tightened and financial institutions have limited their lending. And how many companies do they have? Â His earlier research proposed that there were about 2,000 high street payday loans businesses, some of which are part of large nationwide chain stores, such as The Money Shop.
It has also been assumed that there are more than 100 companies on-line that also offer much more costly types of money. Loans are very costly with very high interest charges. However, in the borrowers' view this is often not the case. Problems for a debtor begin to develop quickly when he cannot actually pay back the debt as scheduled and it is renewed or prolonged.
Interest then quickly increases and can soon flood the amount of the initial mortgage. However, it did change its melody in its November 2012 November special account of payday creditors. Nevertheless, the authorities have suggested to go further with an upper limit on payday lending interest and fees.