Payday loans are an incredibly common way to access cash in an emergency situation. About 12 million Americans use payday loans each year; a number that has been on the rise. While you should avoid getting payday loans from disreputable lenders, there are a ton of reputable ones eager to help give you access to the funds you want between paydays. By going through an established financial organization like Bonsai Finance, you can gain access to a variety of credible and well-respected direct lenders.

What is a Direct Lender?

If you are new to the finance world, terms like “direct lenders” may confuse you. The concept is actually quite simple. Basically, a direct lender is any organization, person, or financial institution that can offer you a loan (in this case a payday loan). Direct lenders use this term to differentiate themselves from brokers, who typically deal in larger sums of cash, such as mortgages.

When the term is applied to payday loans, it essentially means that you are getting your loan directly from a lender rather than a broker. This results in faster processing time, an easier application process, and lower income and credit requirements.

How Can Payday Loans Help?

Payday loans can be exceptionally useful. They are intended to help clients bridge the gap between paychecks and are often used to cover emergency expenses like medical appointments or vet bills. Payday loans can also be used to help you improve your credit, as you can use the cash to ensure you make your monthly payments to other creditors on time and in full. Other people use online payday loans direct lenders to purchase items or services that are needed before they get paid.

How to Apply

The application process varies depending on which financial agency you have decided to go through to get your loan. At a bare minimum, you are expected to provide proof of income, banking information, a cell phone number that you can be contacted on should the need arise, and proof of identity including your age and address. If you opt to go through Bonsai Finance, you never need to provide a credit report nor do our agents require any type of credit check. We understand that financial emergencies can happen to anyone and are here to match you with lenders eager to set you up with the funds you need as quickly as possible.

Repayment Advice

Repaying your loan on time and in full is an essential part of maintaining or developing good credit. Just like banks, online payday loans direct lenders do report all financial activity to the credit bureau, so even one skipped payment can have an impact. Make sure you reduce the risk of this happening by being organized. Keep track of when the money is due and be sure you have the full sum in your account in advance of the repayment date.

If something has come up and you absolutely cannot repay the funds, make sure you get in touch with your Bonsai Finance agent. They can discuss the situation with your lender and may even be able to come up with an arrangement to avoid fees, interest, and to keep your credit score stable. Don’t be embarrassed if you find yourself in this situation, as our representatives are empathetic individual who specialize in working with people with poor credit. We are here to help, not to judge.

There are a ton of benefits to online payday loans direct lenders can provide customers with. Reach out and contact one of our agents to day to find out how we can help match you with a direct lender, getting you access to the funds you need when you need them most.