Doorstep Finance for Beginners
It’s 2023 and we’re living in an era where technologically and the internet rules the world. So when it comes to people’s everyday finances that’s no different whether you’re looking for car finance, loans or credit cards it’s easy to jump on your mobile phone or computer and find what you’re looking for at the click of a button. You can set up and make payments from the comfort of your own home without having to actually make any sort of human contact. BUT people often forget this isn’t the only way of managing your finances, doorstep loans are sometimes forgotten about but are a great way of providing a more personal and old fashioned way of borrowing money.
When thinking about borrowing small amounts of money for short periods of time then people usually think payday loans are the number one solution. In some cases people don’t have bank accounts or may be looking to repay the loan over a longer period of time then a payday loan is out of the question. A simple solution would be a doorstep loan, a loan where someone simply comes to your home and collects the repayments, these types of loans have been in circulation for over 100 years.
About Doorstep Loans
The only part of a doorstep loan which usually takes place online is the initial application process. After you have applied, a representative for the company will contact you and arrange to come and visit you at home, simply to discuss all your available options and any further queries you may have.
At this stage in your application there is no obligation for you to accept any agreements, at this stage you will be advised on any terms and conditions and any questions on your part will be answered.
Once you and the representative have agreed to all terms and conditions and the paperwork is completed your loan will then be handed over in cash, no transaction will be required to be made through a bank account and all repayments will also be made in cash.
How Much Can You Borrow With A Doorstep Loan?
Like any other responsible lender your personal circumstances will be taken into account, doorstep loans usually range between £100 and £1000 depending on the terms and conditions interest rates may vary. As stated previously the company’s representative will have previously discussed this with you.
Who Can Use Doorstep Loans?
These types of loans are specifically designed so that anyone can borrow should they need to. These types of loans are typically more suitable for people who don’t wish to use their bank account or wish to open one. Dealing with direct debits and automated money transfers is sometimes too much of a headache for some people. Doorstep loans are especially taken advantage of by people who have bad credit scores, most lenders don’t care if you have a bad score they are willing to give you a loan regardless. These types of loans do not require guarantors or collateral.
How Are Doorstep Loans Different?
The main difference is these loans are paid back from the comfort of your own home and people don’t have to mess around with setting up payments with their bank. Most repayments are paid back on a weekly term which people usually find easier to manage. The client is usually given a repayment book so it’s easy to keep track of what and when you owe. Like any other loan non payments will encounter legal action to be taken against clients, but should your payments simply be delayed then no late payment fee will be charged.