What is a payday loan?
A payday loan is the term given to a type of credit that a person may take out with the intention that it will be paid back to the lender on their next payday. Payday loans usually come with a higher repayment interest than a regular short term loan.
What is a payday loan used for?
Payday loans are usually taken out to cover someone financially until their next payday. There could be a number of reasons for needing a payday loan, but the most prevalent is so that a person can cover an emergency cost that they wouldn’t have otherwise been able to afford with their remaining monthly budget. An emergency cost could be anything from having to repair a broken-down car to replacing a washing machine.
How do The Loan Tree loans differ to payday loans?
At The Loan Tree, we can offer you an alternative to a payday loan. We connect people to loans that range from 3 months, up to 36 months. You just need to decide on what time period enables you to comfortably pay back your loan.
How do I apply for a loan with The Loan Tree?
Applying for a loan with The Loan Tree has been made simple so that we are able to quickly provide you with a decision. By clicking the ‘Apply Now’ button, you will be redirected to our application form. Here, you will be asked to provide a few personal details, the loan amount you require, the time period in which you are looking to borrow for and the reason for your loan. After you have submitted your loan application, we will put you in touch with a lender who agrees in principal to offer you a loan. Our service is completely free of charge!
When applying for a loan, lenders may look at your credit score as part of the application process. It is recommended that you check your credit report and score prior to making an application for credit so that you can make sure that what is on there is accurate. You can use our FREE* credit reporting tool Credit Knowledge today to check your score!
Am I eligible to apply for a loan with The Loan Tree?
To apply for a loan with The Loan Tree, you will need to be a current UK resident with an active UK bank account, over the age of 18, earning £800 per month or above, and be employed. Try out our Loan Eligibility Checker (link to application page) if you are unsure.
Before applying for any type of credit, you should make sure that you are able to afford to pay it back.