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Struggling consumers helped out by cash advance

Dec 5th, 2011
by Tony.
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Unfortunately, these are difficult financial times. Across the globe, many people are facing financial difficulties: whether that’s because they’ve been made redundant, had benefits cut, or experienced a lull in trade with their own business. Many people are facing financial obligations to be met, which they’ve agreed to in happier times, but are now struggling to keep up with. The solution for many of these people is to take out unsecured loans, to bridge the gaps in their personal or commercial finances by covering expenses or debts. Securing a cash advance through obtaining a non-collateral loan can be a relief at times when a particular amount of money is needed urgently. Although in times of prosperity, people feel able to commit to long term loans (such as mortgages) with a repayment contract running over decades, in uncertain times many borrowers find cash loans easier to deal with and to plan around.

Unsecured loans are going up in popularity, as many people find themselves in a situation where they desperately need a loan, but do not have the collateral on hand to put up against a secured loan. Many people who want to borrow money on the short term are employed, or have regular benefits cheques or student loans coming in: however, in the view of mainstream financial institutions, they are ‘too risky’ to lend money to because they do not own a house, business or other large asset. The solution is to take out a loan which does not ask you to pledge collateral in return, to be taken over by the lender if you fail to repay the loan, but instead charges higher levels of interest.

Because interest increases over time, the people who get the best results from these types of loans are those who can quickly repay the cash loans they take out, within a few days or weeks. A cash advance may be a relief, but if you borrow more than you’ll be realistically able to repay within a short space of time, you will find that the interest builds up until you are forced to pay back two or three times the amount you borrowed! This loan format has been shown to be a life saver for many borrowers suffering financial difficulties, but it must be handled responsibly to get the best results. If you plan around them, however, unsecured loans can set you back on your feet, when you need it most.

Please visit http://www.cashgenieloans.co.uk/ for further information about this topic.

http://www.cashgenieloans.co.uk/

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Fast cash available: from £75 to £750.

Sep 9th, 2011
by Louise.
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If you need quick cash then there are a limited number of places to go. By the time they get to this event most people will already have exhausted the other options. Banks will eventually stop you borrowing, once you get to the bottom of your overdraft and if they don’t think you’re a great prospect for a loan. You’ll no doubt have tried friends and family. You can take money out on a credit card – not the best option, since it’s subject to higher rates of interest than purchases, but if needs must then you’ve certainly hit your limit there too. If the most cheap loans (and that’s a relative term) aren’t an option, you’re down to less traditional options for fast cash.

This is where you need to be a bit careful. If you need funds and you’ve run out of other options, then you’re down to more expensive loans. And these come in a variety of forms. Some are a necessary evil, others to be avoided completely. Whatever the penalties for non-payment of your existing debts are, they need to be seriously weighed against the impact of a loan – which may simply push the problem a few weeks or months down the line, making it far worse in the process.

So it’s important to know quite what you’re getting into. Log-book loans, for example, put your car up as collateral and can involve enormously high rates of interest – often leading to you losing the car. Doorstep lenders and other loan sharks can be a nightmare. This branch of the industry often operates outside of the law, meaning you lose its protections as well as its restrictions. It also means that, because it’s unregulated, there’s no ‘best practice’. It’s in the interests of these lenders to keep you in debt, never quite paying off your loan. Often their records are sketchy, or non-existent.

The alternative is quick cash from a specialist short-term loans company. These will typically offer fast cash when other cheap loans aren’t possible. The term of the loan is usually around a month: the idea is that you use the money to get out of trouble, not keep rolling the debt over month after month. You can expect to pay around 30 percent a month – not cheap, by any reckoning, but better than a doorstep lender, and within the law too. Many actually offer help and guidelines for staying out of debt in the future, meaning you shouldn’t have to keep returning again and again.

Please visit http://www.cashgenie.co.uk/ for further information about this topic.

http://www.cashgenie.co.uk/

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Cash Genie, a responsible lender

May 7th, 2011
by Louise.
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Cash Genie have been offering payday loans for a number of years now. As such, they can allow you some breathing space if you have debts that need paying. However, they are not intended to be a permanent solution. As a responsible lending company, they know that it is best for their borrowers if they are only used as a last resort, and even then only once. The best scenario is to lend the cash to tide people through their problems, but also to give them the skills they need to avoid coming back again.

To a degree, this is actually good business sense. There’s a saying: you can skin a sheep once, but you can shear it many times. It is some lenders’ purpose to keep their clients in debt forever (think your friendly neighbourhood doorstop lender…), thereby collecting the interest indefinitely and ensuring that you are never free. However, this approach (and the broken legs that can come as part of the deal) has to be balanced again the probability of defaulting.

Cash Genie works on a 30-day basis. Their loans are for one month only, and the charge is 30 percent. This is a lot compared to high street banks – if you can secure a loan from them. However, it might be cheaper than the alternative (missing a payment or bill and getting fined, for example). In any case, the loans are not meant to be long-term. The idea is that you have access to the money you need to get you out of temporary financial problems – and don’t come back the next month. In particular, rolling the debt over for another month is a very bad practice, especially if that continues for several months. A debt of £100 would become £130 by the end of the first month, £169 by the end of the second, and £2,330 by the end of the year. (In practice, you are limited to £750.)

Put simply, someone who uses a short-term loans company again and again is probably someone who isn’t very good with money. In other words, they are someone who is more likely to default on their debt, and that’s not good for the client or for Cash Genie. It therefore makes sense to appeal to the sector of the market who need a loan because of temporary adverse circumstances – not through any inherent financial illiteracy.

Please visit http://www.cashgenieblog.co.uk/ for further information about this topic.

http://www.cashgenieblog.co.uk/

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