Doorstep Loans

Important tips when applying for doorstep loans

If there is one thing that has made doorstep loans very popular in the UK market, it has to do with the fact that this type of loan offers instant cash at the comfort of your own home. In other words, the loan cash is delivered to your doorstep without any hassles. The great benefits of doorstep loans has to do with the fact that application process is easy, decision on approval or rejection is instant, cash is delivered to your doorstep within the same day, no credit check is needed, no paper work and you don’t need to move an inch from your home to apply for this loan.

The eligibility requirements are quite simple and one needs to be a citizen of the larger United Kingdom, be at least 18 years of age, be of sound mind and at least have a bank account in their own name. Under a doorstep loan, a person can qualify for as little as £100 or as much as £1500. However, it should be noted that this is dependent on a person’s income as well as their ability to repay the loan. The period of repayment ranges between 15 and 30 days and therefore a person should only apply for this product when in emergency of cash.

That said, how should you go about applying for a doorstep loan? What are some of the tips when applying for a doorstep loan?

  • Only go for a doorstep loan as a measure of last resort

Considering the fact that a doorstep loan is a short term loan with a rather high interest compared to traditional loans, a person should only apply for a doorstep when they have exhausted all other cheaper avenues. Do not in any way overestimate the amount of money you need. You should always apply for the exact amount of money you need and resist the urge to apply for more than you need.

  • Carry out due diligence

With the burgeoning of financial lenders offering doorstep loans every new dawn, the onus is on you to carry out due diligence before doing business with any given lender. Emphasis should be on doing business with a reputable and credible doorstep loan lender. Make use of comparison sites and only apply for a loan or rather do business with credible and reputable lenders in the UK.

  • Don’t overestimate your ability to repay

In light of the fact that doorstep loans attract high interest rates in comparison to standard or traditional loans, it is important that you assess yourself and establish if you are capable of repaying the amount of money you are about to apply for. You definitely do not want to get into a cycle of debt and ultimately worsening your credit score. Apply for an amount you can comfortably repay.

  • Only do business with registered/licensed lenders

Stay away from unscrupulous doorstep loan lenders interested in exploiting you to the maximum. Only endeavour to do business with registered and properly licensed lenders that follow laid down procedures and rule of law. The said lenders should utilise best business practices and be above board.