Student Payday Loans
Being accepted into university is a major milestone and accomplishment. However, academic and financial challenges are often hurdles students need to overcome. Financial obstacles shouldn’t get in the way of achieving success, though.
Many students who struggle to make ends meet during university turn to payday loans as a short-term solution. Shorter-duration financing can help cover tuition, room and board, everyday necessities, and course materials. Through Quidable you may be connected to a lender offering loans for students.
How To Get a Loan for Students?
For many students, it will likely be their first time applying for a payday loan. When applying for a payday loan, the direct lender will require personal and financial information from the student. Once the information is submitted, the lender will run a credit check to determine whether the student applicant qualifies.
If approved, the lender will require the student borrower to sign a loan agreement, which includes information about total cost, repayments, and penalties. Especially as a new borrower, it is important to thoroughly read the agreement before signing any paperwork. This ensures you are fully aware of your responsibility in repaying the loan and any associated consequences of default.
Like other loans, online payday loans have some basic application requirements that must be met:
- You must be at least 18 years of age
- You must be a resident of the UK
- You must present legal proof of steady monthly income
- You must provide a current bank account
How Can Online Payday Loans Help Students?
Bad-Credit Student Payday Loans
Banks generally tend to reject bad credit score holders, considering them a liability upon their lending systems. More so, banks typically refuse loan requests from applicants who do not have a credit score at all. This may be the case for college students.
While it may be common to find companies that promote online payday loan direct lenders with no credit check, such advertisements cannot be reliable as all lenders must perform a credit check in order to make an approval or rejection decision. Lenders will also take other factors into consideration, such as income, while assessing your loan application.
Students may find online payday loans appealing for a number of reasons. These can include:
Convenience and Flexibility
Students who rely on public transit may not have the ability to search for financing from multiple brick-and-mortar lenders. Instead, student applicants can apply online with a direct lender. Online applicants offer more accessibility and are quick to complete.
Additionally, students with damaged or no credit may be able to find financing through a payday loan direct lender. These lenders may consider income and credit scores when determining eligibility.
Increased Debt and Penalties
Some students may find themselves taking out multiple payday loans after another. This can lead to a cycle of debt that is very difficult to recover from. Therefore, it is advised that students only resort to payday loans once they have exhausted all other alternatives.
Also, many payday loan lenders will charge penalties and late fees for missed payments and defaults. This can make it more difficult to repay the loan, especially if students are already having difficulty making payments.
How Much Would You Like to Borrow?
A Few Tips for New Borrowers
Being a student can be challenging both academically and financially. Maintaining an optimal scholastic schedule can be overwhelming, and you may find yourself facing unexpected expenses that you did not account for, as well. Student payday loans can help financial strains related to rent, tuition, groceries, or course materials.
A student payday loan may help provide a smoother education experience by easing your immediate financial burdens.
Do I Need to Be Employed Full-time?
No, student applicants can apply for payday loans even if they work part-time. Many lenders recognize that university students juggle school and work. Therefore, they may be willing to lend to applicants who have a side gig.
However, unemployed students will likely not be eligible for payday loans. Lenders require proof of income to ensure borrowers can repay the loan.
What if I Miss a Payment?
Student borrowers should try their best to avoid missed payments and defaults. If this does occur, the lender can charge you additional penalties and fees. Moreover, your credit may drop.
If you suspect that you will miss a payment, contact your lender immediately. The financer may be willing to offer an extension.
How Much Can Students Borrow?
How Will My Credit Be Considered?
No credit check student loans sound too good to be true because they are. All lenders conduct a thorough background check to ensure applicants are eligible and able to make payments. If students are worried about their credit check because they have a poor score or no credit, there may be other options.
Some lenders may consider income alongside credit when determining eligibility. As such, some students may still qualify with damaged or no credit.
How Long Until I Receive the Funds?
Many payday loan lenders in the UK offer quick, direct deposits. Typically, if a student applicant is approved, they may receive the funds in as little as one business day. However, it is always best to check processing times as some lenders may take longer to disburse funds.
Additionally, keep in mind that your bank’s processing time will also affect how quickly you receive the money.