It has been a phenomenon that has risen at an astronomic rate and that now involves billions of Pounds and millions of users. This is the financial product that is the payday loan and the online cash loan. Many people all over the United Kingdom are looking away from the more conventional providers of credit and are going in ever greater numbers to this new form of credit provider. The primary questions are, why are people turning away from banks and credit cards, and what has led to the popularity of payday loan companies?
There are some interesting answers to the latter point here. We saw a leading provider of payday loan services advertise on the shirts of Blackpool Football club in the 2010-2011 football season when they were playing in the English Premier League. More recently we have this same business organisation sponsoring none other than Premier League giant Newcastle United Football Club. This must have fundamentally changed the perception of these companies in the very psyche of the British public. In previous years it was only a marginal demographic of society, low income earners, people on benefits and people who could not manage their finances properly, that were perceived as users of these loans. With this notable advertising at these popular football clubs and the massive fan bases of supporters that now are being exposed to these brands, it is no surprise their popularity has grown.
In addition to the advertising that can be found in Premier League football, there has also been the sponsorship of mainstream, high profile television programmes, namely the hit ITV show 'Red or Black'. This seemingly normalisation of applying for a quick online cash loan has led to an explosion in users of payday loan websites who seek quick cash with little or no credit check. Ultimately, is it very unlikely that these sites are going to go away in the near future. As more and more people are being let down by banks and credit card providers, they will continue to look elsewhere to find quick cash.
There has been a small degree of concern voiced in both the media and also in political discussion. These concerns are primarily based around the lack of regulation surrounding the industry. Despite this, many practitioners would welcome some further regulation in order to ensure 'cowboy' type operators are forced to leave the market. With this in mind it is widely believed that a degree of government led industry regulation may come in to effect next year in 2013.
It is widely considered that these types of credit should only really be sought out in some kind of emergency situation, and not for every day means. Many people do this, although others often look to take a loan out to ensure they have sufficient funds for a Saturday night out, which is arguably irresponsible. For some sound information on same day payday loans and the charges and fees involved with these products, a visit online to Payday Highway will provide a good source of information.