Pay day loans, as well as other lending that is short-term

Pay day loans, as well as other lending that is short-term

These pages contains information on our general way of complaints about payday advances along with other lending that is short-term. If you’re interested in information particularly with regards to Covid-19, please glance at our page that is dedicated that information for customers about complaints in terms of Covid-19 .

Exactly what are payday advances?

Pay day loans are a form of borrowing referred to as „high-cost, short-term credit“. You borrow between ВЈ50 and ВЈ1000 and spend back the mortgage with interest, in one single re re payment on or right after your following payday. This sort of borrowing is commonly higher priced than various other kinds of credit.

There are more forms of short-term financing, including:

  • instalment loans – payments are spread monthly or weekly over several repayments, typically between three and 12 months
  • ‘running credit’ or ‘flex credit’ – the way this works is comparable to a bank overdraft, borrowers and offered a ‚limit‘ they need to, provided they pay at least the interest off each month that they can draw up to as an when. Pokračování textu Pay day loans, as well as other lending that is short-term