Payday Loan Lending to Increase 25% Over The Next 2 Years

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Company updates credit check policy as payday loan lending set to increase by 25% over the next 2 years.

Research compiled by private loan broker firm PD Loans suggests lending is set to rise 25% over the next two years. As the economy worsens it seems many are turning to payday loans to relieve a shortfall in their income.

David the marketing manager of PD Loans spoke about the demand for short term loans saying "The biggest rise in payday loan applications actually occurred in 2011 with a 12% increase however, loan applications are set to rise a further 11% over the period of 2012 and the same growth in 2013.

In correlation to to the rise of payday lending the CCCS has reported 13% of all people that they questioned were in debt because of payday loans. Saying that the average debt from payday loans was £1,267 in the year 2011.

In response the brokerage company spoke out about the recent bad press aimed towards the short term loan industry saying "80% of all payday loan applications received are rejected because they don't meet our strict terms and conditions."

"We know people may be struggling with their income, some of which are turning to payday loans as a solution however, we always want to stress the importance of utilising payday loans correctly. They are meant as a short term financial solution to a monetary crisis and should only be used in a financial emergency."

The company disclosed the areas where their services are in demand most saying "We are seeing an increasing amount of applications coming from Louisiana in the USA and Liverpool, United Kingdom as we believe these areas have been most affected by the recession.

"We don't condone the use of multiple loans and providers over the same period and will reject 1 in 5 applications where we feel these terms and conditions aren't met. We complete full credit checks against all applicants and will reject them if necessary. We have decided to update our procedure of credit checks over the last six months to include the top three credit reference agencies Experian, Transunion and Equifax."

About PD Loans

PD Loans was first founded in 2005 in a leading online loan brokerage company that sells financial products such as payday loans that are repayed over a period of 30 days. Our base rates are variable depending on the repayment terms but are representative 1737% APR meaning every £100 you borrow you pay back £25 in interest and fees.

PD Loans
145 - 157 St John St
Email: enquiries(at)pdloans(dot)net

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