Choosing Your Direct Payday Loans Lender

direct payday loans

Choosing Your Direct Payday Loans Lender

There is no telling when you would find yourself in a situation of financial shortage. This would also be the time to face the crisis by taking a loan. Chances are high for such a situation to come up when your credit score is just not impressive. This makes it tough for obtaining some quick cash from the mainstream lenders. Well, this is when the other way of obtaining loans opens up itself, fast loans online from a direct payday loans lender.

One of the most famous options for an individual with a bad credit history or score are direct payday loans. These lenders offer short term loans, which are also commonly known as payday loans. As the name suggests, a borrower must repay it on the next payday. The amount approved for lending is usually dependent on several factors.

Pros and Cons of Direct Payday Loans

A payday loan always seems to be attractive but it's not worth plunging into it until you evaluate its pros and cons. Let's first look at its pros.

Pros of Utilizing Direct Payday Loans

  • You get instant cash in just one day. This is essential for fulfilling liabilities such as urgent medical bills and non-deferrable home repairs.
  • Borrowing some quick cash from a direct lender keeps you with him from start until the end. Working with a lender directly means involving with just one dealer throughout the process of borrowing and until repayment. This makes borrowing a bit more confident as well as simpler.
  • Unlike loan matching services, personal information remains confidential. This is because the former passes the information to different third parties.

Let's now explore the cons of direct payday loans.

Cons of Utilizing Direct Payday Loans

  • A high cost is always the limitation of any short-term loan. It's usually in the form of a high APR ranging from 20% to 500%.
  • The repayment term is usually short or the next payday.
  • It takes some time to find a lender of direct payday loans.
  • There is always a risk of dealing with a dishonest lender, especially in the online domain. So, it's essential to assess the reputability of the lender before requesting for fast loans online.

Factors to Consider while Choosing Direct Payday Loans

Payday loans, whether direct or indirect, are either heavily regulated or banned in many American states. This is because most lenders give payday loans at an extremely high APR, which finally pushes a borrower into an indispensable fiscal trap. Very few states, such as Utah and Alabama, consider such loans legal. So, it's best to consider gaining such a loan as a last resort.

If you find the right lender, direct payday loans need not be a problem for you later. Not all these lenders are the same. So, it would be wrong to pass a universal judgment that payday lenders are not reliable.

However, it's a bit challenging to choose such as lender of fast loans online. To make your job easier, here are some factors to consider for choosing the most reliable lender of a direct payday loan:

Fees to Pay

You should first find out the total fees to pay for borrowing. A genuine lender will always reveal all the fees upfront as well as clearly. Information about fees will not be hidden. You also need to know the amount that you can borrow. Both the borrowing sum and fees tend to vary as per the state you live in. Still, this does not indicate that all direct payday loan providers charge equivalent fees for a specific amount. So, do find out the fees before you apply.


A genuine online lender will have a very easy as well as a user-friendly process of applying for a payday loan. Not all online applications are friendly. A few sites may ask to fax a few documents for confirming your credentials. Moreover, the overall time for reviewing applications and lending a loan tend to differ significantly.

Credit Checks

It's true that several payday lenders do not perform a credit check through the three major credit agencies. However, many of them approach what is known as Teletrack. This is the name of a credit bureau that offers information related to credit history to the lenders of direct payday loans. So, if you do not want to involve Teletrack, it's ideal to choose a lender who clearly promotes itself as the lender of no Teletrack loans.


Usually, these days, the direct payday lenders are flexible enough to work with you for having affordable terms and conditions of repayment. Although you are looking for fast loans online for fulfilling an immediate financial need, it's vital to understand that you need to repay in short time and with a high APR. So, ensure that you can do so before applying for the loan.