Getting to Know Direct Lenders
What does it mean to be a direct lender?
When you apply for a loan with direct lenders, you are applying directly with them meaning they will process your application, fund approved loans, and process loan payments. So from the beginning to the end of your loan, you will deal with the lender and only the lender.
How can I spot an online loans direct lender?
If you don’t know whether or not the lender is a direct lender, take a look around their website. Look specifically in the fine print at the bottom of the website. If they mention matching you with a lender, or require a third party to get you your funds, then they are most likely NOT a direct lender.
What should I look for in direct payday lenders?
The most important thing in finding a lender is to do your research. Some things you may want to consider include:
Search for reviews online. Check out sites like Consumer Affairs and Trustpilot. If the lender has less than a 4-star rating, you may want to reconsider. It might make sense to review more than just the star ratings – what are their customers saying within the reviews?
Clear rates & terms
Direct lenders should clearly state the rates and terms for the loans they offer. Be sure to clearly review this information to make sure you can afford the payments, and fully understand what to expect with the loan.
Some states do not require licenses to offer payday loans, but some states do. Do some research online to understand if your state requires the lender to have a license. If so, then make sure the license is posted on the lender's website.
How are direct payday lenders different from other payday lenders?
The easiest way to describe a payday loans direct lender might be to explain what a non-direct lender is: A non-direct lender will collect your application information, but they will not provide you with a lending decision. Instead, they will send your information to a lender (or lenders). In some instances, your application information may be shared with several lenders – which is not the best to have your personal information bouncing all around the internet.