Short on funds and need cash now? Payday loans offer a quick solution to the problem. However, there can be a lot of unscrupulous businesses out there. Do your best to protect yourself by going only for legitimate payday lenders. Here are helpful tips on how you can find them:
Look for a license
Payday loan companies can’t operate without one. Also, a license indicates that the company operates in compliance with state laws, which is reassuring. Non-compliance will get the license revoked so you know right away you’re dealing with a legitimate business. That helps allay any fears you have of getting scammed.
Beware of hidden fees
Never sign anything until you thoroughly and absolutely understand the terms and conditions of the contract. Don’t skip over sections or pages. It might be tedious but knowing the contract, chapter and verse, helps you find out about any hidden fees in the contract. That way, you know if you’re getting a fair deal or not.
Don’t send money
With immediate payday loans, the payday lender sends you money, not the other way around, says the Huffington Post. That’s a sign that you might be dealing with a dishonest lender. Authentic and creditable ones always collect their fees when your payment is due and not before.
Make sure you can easily get in touch with them. If they’re hard to reach or get hold of, that could be a giant red flag. Watch out for such signs.
Payday loans aren’t scams. But you should be careful about choosing the right lender to ensure you don’t get taken in by disreputable lending companies out there. Do your research so you know what to expect from a lending company. By exercising caution, you can take advantage of these offers while protecting yourself from scammers and dishonest lenders.