Warning: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk
Warning: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk

THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED 
IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Responsible Lending | Complaints | Privacy Policy | Acceptable Use Policy
Copyright © www.everythingloans.co.uk / 2005-2016. All rights reserved. EverythingLoans.co.uk is a trading name of Loan Machine Limited (Registered in England 5517368), authorised and regulated by the Financial Conduct Authority - reference 729302. ICO Registration: Z9250764. 

Loan Machine Limited registered address: 170 High Street, Gorleston, NR31 6RG. Correspondence should be directed to PO Box 335, Great Yarmouth, NR30 9FG.

Terms and Conditions will apply to each product - please view each product page for more information.

Loan Machine Limited may receive a commission for a referral of your application and/or upon completion - if you make an application. Please note EverythingLoans.co.uk / Loan Machine Limited are not a lender and will not charge you a fee for the use of this website.


Loan APR & Advertising Changes

Changes afoot

You may have noticed or heard of a number of changes in the loan sector recently. Various companies have changed their advertising, online, on television and in the somewhat archaic method of printed publications.

Not only have the adverts changed, but also you may have noticed changes to the loan products themselves. Some acute, some minor.

The reason behind these changes varies, but the main driver is the switch from the financial regulator from the FSA to the FCA last year. Loan companies have been busy pouring over the regulation changes, figuring out what changes need to be made to their adverts in order to meet the new requirements. But the regulation didn't stop there, product changes were also necessary. Some related to how the products were sold, others to more fundamental parts of the finance such as the unsecured APR (the percentage you repay to account for your borrowing).

Regulation Reasoning

The term "Payday Loan" was slung about quite a lot in recent years, so much in fact that they were sometimes associated with 'bad press'. This press was usually the result of the occassional bad situation which arose from individuals who misued the loans, or simply were able to get hold of them too easily, resulting in larger and larger, repayment amounts. But regardless of the reasons, people love to jump on "bad news" and these products developed a poor name. So, one of the new tasks for the FCA was to revamp these products and bring in new regulations relating to interest rates and suitability. This has ultimately changed how payday loan products work. For example, these products are no longer typically available over as short terms as they used to be, but can be borrowed over a term of say, 3 months. 
 
Borrowing a loan over 3 months, still makes them completely suitable for emergency cash borrowing or for other reasons such as a bit of home rennovation or to get your car through it's MOT. But it means you don't need to repay it so quickly, and can spread the repayments over a longer term.
 
This is just one of the changes which has resulted from new loan regulation, and it probably won't be the last. Loan providers are bringing new loan products to the table on a regular basis, so keep your eye out for the one which is perfect for you... or, if you don't want to trawl through acres of loan materials, then you could always let us compare the payday loan products for you and find a suitable match.

Other Articles

Categories

When looking to borrow - we are everything loans