Most people are only concerned about getting a cash loan fast yet without knowing exactly what they are loaning. Consequently, they ended up with paying much more than what they would expect. So how to prevent such things from happening to you?
Well, I would recommend you to read up more about the real-life problems which current loaners are facing so that you wouldn't make the same mistake like them. The best place to check things out would be forums where most of them raise their questions or share their good and bad experiences. An example would be Money Saving Expert Forum which I like to patronize the most.
After reading through some loan-related forums, I gathered some common mistakes made by most loaners. They might happen to you in future so please spend some time to read them to save troubles for yourself.
1. Failed To Keep Track Of Loan Payments Well
Most cash loan companies charge high fees for late or missed payments. Such charges can easily go up to a few times more than normal. Even if you are using bank direct deposit to pay your loan, there might be a chance that your direct deposit sum could be returned due to whatever reason. In the event you see something not right, call up the loan company immediately and ask for a full breakdown of your account.
Hence, it is highly recommended to keep track of all loan payments. You may use a simple Pocket or desktop PC software like KeepTrack 2.1 to help you.
2. Took Up An Expensive Loan And Regret Later
This is the most common mistake made. Most people took up a loan only to discover later that they could actually get it cheaper elsewhere. They are either being mis-sold in the first place or never spend enough time to shop around for the best loan they need. Remember, do not take up the first offer when it comes to getting a cash loan.
3. Took Up Payment Protection Insurance Unnecessarily
If you do not need to have payment protection insurance (PPI) to cover your cash loan, please do not have it in the first place. Some loaners took up PPI and faced problems in canceling them later.
Some loan companies or banks will only allow you to do so only if you take up another loan without PPI, yet generally comes with higher loan interest rates. According to FSA, this is considered unfair rebates of PPI policies.
Instead of crying for help in future, why not learn and avoid these mistakes? Do not rush for a loan just to solve your cash needs faster. Give yourself more time and options. That is the key to a worry-free cash loan.