APR, a Big Number for a little loan,

Explained

If you're unfamiliar with APR, but regularly come across it, now is probably the time to get your head around those three frustrating little letters.

APR causes incredible confusion to many people and this is sometimes purposely put in place to obscure the real cost of borrowing.

In a nutshell, APR stands for Annual Percentage Rate. This, of course, offers little to the understanding of what APR actually is. The APR is the percentage that needs to be paid on top of the loan if the loan was borrowed over 12 months.

Quick loans for affordable borrowing

The APR appears high on a quick loan or payday loan for this exact reason. Although the loan is for short-term borrowing it still holds the annual percentage rate (APR).

However, when you need a quick quid or two a payday loan can be the fastest and most accessible financial option.

Although the APR looks a little high at first glance on a quick payday loan, receiving the money can be a much faster and less stressful experience than going through the bank.

Quick payday loans offer short term money

One of the most important aspects of borrowing is to understand the amount you need to payback and ensure you can make the repayment on the agreed date. /p>

Quick loans and payday loan providers are (usually) extremely clear on the APR of the loan and exactly what is involved.

Quick quid loans for simple borrowing

Transparency is essential and you should always be absolutely clear on the terms and conditions of a loan before signing anything.

Banks often baffle you with forty page documents and provide loans with hidden fees and charges.

Quick Quid loans and other payday loan providers must make the APR clear to you before offering the loan. So when you shop around for a loan always ask them to explain the repayment process to you in as much detail as possible.

Payday Loans provide clear information on costs

A quick loan should always offer the customer a completely transparent service that provides a clear layout of the repayment process, including APR, repayment date, repayment method (cheque, retrieved from bank account) etc.

With a clear outline of the loan details you are able to proceed with the application. However, once you sign the contract the agreement has been made and you will need to pay back the money on the agreed date, otherwise the cost of the loan could spiral and cause lots of problems.

Now you understand the APR, you shouldn't just delve into the world of loans. If possible it is worth looking at other options to help your financial situation.

It is always advised to visit one of the free financial debt advice services available if you get into debt or financial trouble.

When you need a quick quid try a quick loan

Of course, sometimes we all just need a quick quid here or there to help us through to the end of the month and this is where quick payday loans can help. An unexpected bill or a school trip for a child can put you into the red and force unwanted bank charges.

A quick loan can save you from increasing overdraft charges if used on a short-term basis and in the correct way.