A payday loan is a short-term loan which also refers to a payday advance, smaller dollar loan or even salary loan. These loans have excessively high-interest rates which somehow makes them unattractive. In some jurisdictions, there are restrictions on the Annual Percentage Limit (APR) on all lenders. This means that no single lender can charge a rate above the set limit.No single lender can charge a rate above the set limit Click To Tweet
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Payday loan debt
There are various ways of calculating the annual percentage of the payday loans. Depending on the method used, the calculated rate may differ dramatically. Many customers pose the question of how many payday loans you can get in a year to the lenders. Since these loans are too expensive, you may end up in a payday loan debt.
Although the number of the payday loans one can get from a single lender may be restricted, it becomes hard to determine how many payday loans you can get in a year since some end up getting the loans from different lenders.
This elevates your chances of getting into debts. As these loans attract high interests, it becomes difficult to manage your money since the loan earns interest every day. These payday loans carry short-term risk to the lenders. The reason for the high-interest rates is to cover up the high risks involved.
Contact your lender if you are not in a position to repay the loan
It is recommendable to contact your lender if you are not in a position to repay the loan within the specified period. This helps in scheduling the payment at a later date if the lender is willing. It is advisable to review the loan payment agreement before committing to these expensive and short-term loans.
Wonga is the leading payday lender in the United Kingdom with the largest number of customers since 2014. It is mandatory for all payday lenders in the UK to have a license from the UK Office of Fair Trading (OFT).
Lenders are allowed to advertise their services with Advertising Standards Authority (ASA), the principal regulatory body. Recently, ASA has been uploading various cases regarding advertisement from the payday lenders.
Then, how many payday loans can you get in a year?
Many borrowers who use these loans opt to borrow from various lenders. Many borrowers end up with many loans from different lenders in a year, and this becomes so hard to manage their money properly.
Most of these payday loans borrowers end up in debts which force them to borrow more and more. The longer they fail to repay the loan, the more the loans attract high interests which finally becomes a burden to them.
Get valuable information
At personalmoneystore.com you can get valuable information regarding the payday loans and how you can apply, the requirements, and how you can get a loan with no credit and even with bad credit. This is a site with incredible information and everything you need to know about payday loans.
The loan terms may differ from one lender to another, and the Annual Percentage Limit varies from one country to another. Many online sources are answering the question, how many payday loans can you get in a year?
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