(PRWEB) June 14, 2012
Visitors clicking on the Direct Deposit Loans website will now find a new educational article called “Rates & Fees” available for reading. This new piece contains information on the interest rates and fees associated with payday loans and offers details on what affects them. Consumers thinking of taking out a payday loan are always advised to be aware of the many factors that can impact the cost to them of acquiring such a loan, so they can find the best available deal for their financial situation.
“One of our primary missions at Direct Deposit Loans is to help customers understand how payday loans work,” says company spokesperson James Bailey. “Probably one of the most misunderstood aspects of payday loans is their fees and rates. We know that some people have a fear of supposed hidden costs associated with the loans, and because we believe that this fear should not be a reason for them to step away from loans that can potentially assist them quite a bit, we have introduced the new article as a hopefully invaluable tool to help consumers learn more about loan specifics.”
Direct Deposit Loans is not a lender. Instead, the company acts as a matching service, connecting consumers to local preapproved lenders offering competitive payday loans. There are many lenders in the company’s associated network, with different lenders charging different fees and rates. There are also variations among states. Some states have limitations on how much a lender can charge in fees and what kind of interest rate they can attach to their loans. These variations based on location also can affect the loan offers that an individual can get through Direct Deposit Loans. One thing that doesn’t affect the offers, however, is credit score, as a customer’s credit history is considered irrelevant when it comes to acquiring payday loans.
Because of the variety of potential loan offers, it is impossible for an individual to know the exact interest rate and fees they can get until they go through the loan application process. To ensure maximum ease and convenience for the consumer, Direct Deposit Loans requires would-be borrowers only to fill out a simple, free online application, which in most cases is approved within just minutes. Once this has happened, the site then allows the consumer to look over a number of offers from different lenders; compare their rates, fees and terms; and then choose the offer they prefer, if any. No fees are charged and no obligation exists until the borrower chooses an offer and signs the contract for it.
Once a loan has been obtained, the borrower usually has 30 days to repay it. To make the whole lending process easier, lenders will deposit the loan directly into the borrower’s bank account and then take the money back on the person’s scheduled repayment due date, which often is their next payday. Extensions and renewals are possible in certain cases and with the approval of the lender.