One of the things that is happening today is that the internet is now a washed by online payday loan lenders. It is their way of attracting clients to avail of this short term loan to answer all of their financial concerns in the present time. Aside from this, it could also provide a better way f acquiring a payday loan without being taken advantaged of by lenders.
These short term loans go by amounts that are in the lower thousands of AUS dollars and must be paid in a few weeks during the time that a borrower is set to receive his salary or any other form of income. The only purpose of this payday loan is to help the borrower make ends meet until he gets his next salary. The loan usually costs about $15 AUS for every $100 borrowed. This amount is not dependent on the time period agreed upon to be paid by the lender and borrower.
Here in Australia, people are starting to look into this type of loan as a way to make a quick buck which can be availed without the inconvenience if having to go through a background investigation. Here is where it gets interesting. The borrower will have to give complete authority to the lender with regards to their bank accounts. This move s set to protect the lender that he will get his money back when the borrower gets his next paycheck. This means that when the loan is due, the lenders can just withdraw the amount that the borrower owes them.
Lately here in Australia, payday loans have become a very popular way of helping Australians make ends meet. But the only thing going against payday loans is their high interest rates. If a borrower computes it properly, a whole year loan can run up to 400% interest rate.
Our company has been providing payday loans amounting to $4000 AUS to borrowers who do not have the requisites to file for cash loans. What we do is that we try to offer them their best option specifically with short-term loans.
The truth is that our company knows that payday loan applicants and approvals have more than tripled last year. The fact is that the increase in numbers showed that there was 227 percent growth in borrowers in 2015 compared to the preceding year. This statistic is backed by another research where lenders lent $667 million AUS in 2015 to borrowers in need of short term solutions to their financial problems.
The high season for payday loans fall around Christmas time when a most Australians will have to spend a lot of dollars on shopping for gifts and food. The reason for this is that those who do not have credit cards simply opt for payday loans to tide them through.
On the average, Australians have been taking $502 payday loans which they are able to pay back in about 117 days. It is expected that the payday loan industry will expand to record highs in the years to come.