A short term loan is a type of unsecured credit repayable over a term of up to 12 months. Short term loans are available from a number of online lenders and can help customers who may experience sudden or unavoidable financial difficulty, such as unexpected home maintenance and car repairs or those who are looking for a short term solution for their temporary cash needs, such as a change of employment and the associated change in the regular payday date.
The amount borrowed is usually relatively small (in most cases it is less than £1,000) but short term loans tend to come with high interest rates which vary from one lender to the next. It is therefore usually a good idea to compare a number of lenders to help find a short term loan that offers the best value for you.
Short term loans require monthly repayments in instalments, so while the total amount that needs to be repaid is usually higher than shorter duration payday loans of the same amount, the individual repayment sums are smaller each month than when making a one off repayment. This ability to spread the repayment over a number of months may therefore be a more manageable solution for you as a borrower depending on your individual financial circumstances. Monthly repayments have two key advantages:
One of the main benefits of online loans is the fast and convenient application process. Time is often very important and applying for a short term loan online usually means the money will be with you within hours, and sometimes minutes, of your application being approved. You also do not have to go to a bank branch in person. Visit your chosen lender’s website to apply for a loan, submit your application and, if you meet their creditworthiness and affordability assessment, simply wait for your cash to arrive in your nominated bank account.
Most lenders will let you submit the whole application directly on their website, with no need for branch visits or sending any documents by post. Once submitted, your application is checked as quickly as possible and, if your application is approved, the money is sent directly to your nominated bank account. Transfer time is therefore another criteria that many borrowers would look at when trying to compare short term lenders.
clearandfair.co.uk is an unbiased loan comparison site. Our approach includes:
Lenders whose loans you can compare on our site cannot pay to be promoted in the results table meaning the results of your short term loan search are always ranked only on the price that borrowers have to pay.
At Clear And Fair we only list FCA authorised and regulated lenders on our website so when you apply for a short term loan with one of our lenders you can do so in the knowledge that they all must comply with established regulations to allow fair and affordable repayment of their online loans taken out by consumers.