Payday loans are usually for around 28 days or so and are paid back in a single repayment. The interest is typically around 29% on top of the loan amount, although this varies between lenders.
They tend to be paid into your bank quickly, although the amount of time it can take can depend on the lender. If approved, check your loan offer for exact details. Please see the representative example above.
Instalment loans are usually repaid over a number of months. The amount of time you can apply for can range from 2 months through to 18 months, depending on how much you want to borrow,
how long you want to borrow for and which lender you are matched to.
A guarantor loan is a different kind of loan, as you will need a friend or family member that is willing to back your application, and take over repayments if you are unable to.
Line of Credit
A line of credit is something that you can use whenever you want to avoid unauthorised overdraft charges. If you’re near your overdraft limit, a line of
credit injects some extra cash into your account, which you can then pay off quickly. The credit remains available to use if you wish, but you only pay when you’ve borrowed money. This usually costs 1% interest per day, but varies between lenders.