word image 5748 1

Difference Between A Payday Loan Direct Lender And A Broker, What To Choose?

If you need money to compensate for your expenses until you receive your next paycheck then a short-term loan like a payday loan is the most helpful solution. Payday Loans are often paid off in a short time and the interest rate is usually fixed.

If you have decided to get a payday loan online then you have now two available options. You can connect with a direct online Lender and deal with everything by yourself or can work with a credit broker like FastPaydayLoans and get an easy and fast loan without putting in much effort.

The given article is a great help for those who don’t know about these loan terms and are confused about them. After reading the article you will be able to decide with whom you want to give a try.

What Is A Direct Lender?

A direct lender is a person or a company or any financial entity that provides loans directly to the users without the involvement of any middleman. Direct lenders provide different types of loans such as installment loans, payday loans, or title loans. Online you will find a lot of direct lenders.

Usually, people access a direct lender if they don’t have a good credit score or fail to get a loan from a traditional bank. By connecting to a direct lender you can get a loan faster as they make the loan decisions instantly.

What Is A Loan Broker?

A loan or credit broker does not directly lend you money but provides a referral service to connect you with hundreds of good and trusted lenders. They are like a bridge between customers and lenders.

FastPaydayLoans doesn’t charge any fee for broker service from the customers but it may take a commission from the lenders. But there are some brokers who may take some type of hidden fee from you so you have to choose them very wisely.

Pros And Cons Of Working With A Direct Lender

Pros:

  • You may end up with a payday loan direct lender who offers you low rates and fewer closing charges.
  • There are some lenders or banks that don’t like to work with brokers so you can only access them directly.
  • There is no chance that you have to pay any type of hidden or extra fee that is mostly paid off for broker’s services.

Cons:

  • If you are working with a direct lender then you have limited options of loans, only what the institution is providing you.
  • In case you fail to fulfill the criteria of any of the programs a particular lender is providing then you are simply out of luck.
  • If you go Lender to Lender then these multiple credit inquiries may affect your credit score.

Pros And Cons Of Working With A Broker

Pros:

  • It lets you access a lot of lenders easily at a time.
  • If you are not able to get a conventional loan then you should work with a broker as it gives you a lot of other options.
  • When you apply for a loan then numerous lenders will assess your application and you will have a lot of loan offers.
  • You don’t have to search for a good lender as a good broker will do it for you and offer you the trusted one.

Cons:

  • You may have to pay a higher interest rate or higher charges.
  • Maybe you cannot access some lenders who do not work with brokers.
  • Some brokers ask for money so choose them wisely.

Direct Lender Vs Broker: What To Choose?

Hopefully, after reading the comparison you would have decided with whom you want to work. Everything has a positive and a negative side.

By working with the direct lender the procedure will be simplified as no third person will be involved in it and you may get your loan quickly. But by involving a broker in your loan process you will be relaxed as the broker will take care of all the factors such as the trusted lender, interest rate, and the repayment period.

If you want to get a loan by avoiding the hassles of connecting with many lenders and risking your credit score if your application is rejected then it is recommended to try a good credit broker like FastPaydayLoan.

FastPaydayLoans- a broker you can trust

FastPaydayLoan is a UK-based credit broker that helps you to connect with trusted lenders and get a suitable payday loan. You can easily use it as it is a free platform and does not charge any type of fee for its services but it may get its commission from the lenders if they find a customer.

It is a secure platform and the application form is also encrypted so no third party can access your personal sensitive information.

Another main advantage of using FastPaydayLoan is that it allows you to apply for a loan even if your credit history is not very good. It also offers a kind and supportive customer support to the customers.

Loan payment:

FastPaydayLoans allows you to get a loan between £50 to £5000 easily.

How to get a payday loan with FastPaydayLoans?

FastPaydayLoans offers you a very simple and hassle-free process to apply for and get a loan as soon as possible. For your mole guidance, a step by step guideline is provided below:

Step 1. First of all, you need to submit an application. To do so go to the official website of FastPaydayLoans and fill out the form. You just have to provide some simple and basic personal information.

Step 2. Soon after submitting the application, your data will be transferred to lenders and they will assess your requested amount and then you will have different payday loan options after the decision has been made.

Step 3. Now you have to choose a suitable loan and then sign the agreement that you will get. Before signing it is recommended to read all the terms and conditions.

Step 4. Soon after finalizing the loan, you will get your payment within minutes. It will totally depend on the lender and how much time they take to approve.

Conclusion

The given article provides a comparison between Payday Loan direct lenders and brokers. Both have their own advantages and disadvantages. Finding a trustworthy direct lender service is a very hectic task as you have to work and search a lot.

But by working with a middle man like FastPaydayLoan you can easily connect with trusted lenders without putting in much effort and time. You also do not have to take care of other factors such as your credit score, rates, and repayment schemes.

You may also like...