Payday Loan Industry Insight
Payday Loan Industry
Introducing Payday Loans
Most people, on occasion, require a little financial help. One of the most popular means and ways of achieving this is to utilise a payday loan.
A payday loan is a small, short-term loan which is usually between £50 and £1000 depending upon the lender. It is intended to cover a borrower's expenses until his or her next payday, over a typical period of 20 days. A typical borrower will bring home an annual salary of between £15,000 and £35,000 and they feel the need for a payday loan as they live on a tight budget which leaves little room for financial miss-steps or emergencies.
A payday loan helps people to get through a cash crunch without paying late fees or bouncing cheque charges – the charges for which are considerably more expensive for the customer than payday loan fees.
Typical payday loan transaction
The process of a payday loan application is simplicity itself, with only a few details required for application purposes. Most payday lenders allow customers to apply online or via telephone. Most applications take less than five minutes from start to finish, with quick loan approval given to all customers who meet the qualifying criteria and dependent on the chosen payday loan lender the funds can be deposited on the same day for the customer to receive their funds by midnight.
Customers seeking payday loans lead busy lives and when making a loan application they will not want to leave their desk, visit their bank, make appointments, or wait for their cash.
Key facts
- Payday loans average £200 and are paid into the customer’s account on the day of application (subject to bank clearing times) and repaid on the customer’s payday
- Typical customers are not just sub-prime - they are also regular prime and near prime customers whose outgoings outweigh their incomings on 3-4 occasions per year
- Previously payday loan customers would have missed payments, incurred bank charges for going over their overdraft limit, bounced cheques, or incurred debit card misuse fees
- Payday lending is a multi-billion dollar industry in the US and one of the fastest growing UK consumer finance products
- Unexpected bills or expenses are most often the specific trigger event that cause consumers to take out a payday loan
Within the UK and the US there are a variety of payday lenders who offer cost effective short term loans to cater for those circumstances when additional financial help is required.
A Financial Taxi
Just as commuters understand that taxi services are valuable and convenient when used for short term travel needs but are inefficient for long term travel needs, consumers understand that payday loan services are economical and convenient when used for short term cash needs but are inappropriate to meet long term cash needs.
Imagine getting into a taxi in London and asking the driver to take you to Edinburgh. It would be more cost effective to take a train or a plane. Yet thousands of London residents and visitors every day find cabs a cost effective and convenient mode of transportation within the City Centre. Similarly, a payday loan can be a desirable, cost effective and convenient personal financial management tool for a short-term cash need.
Lead Generation
Tremendous consumer demand for short-term cash loans has fuelled the growth of the payday loan industry, which has more than doubled in the past decade. Becoming an Affiliate of a payday loan lead generator site has many benefits:
- No start up costs involved
- Support provided
- Freedom and ease
- Tools and templates provided
- An effective method to make money online
Furthermore, a typical payday loan lead is accepted in real-time, delivering immediate returns on any payday marketing programme.
Payday Now – Changing the shape of lead generation
Payday Now is a lead generator site and the majority of its business is Affiliate driven.
Why Us?
- Leading provider with access to multiple lenders
- Opportunity to work with the best lenders in the UK
- Access to broker management suite for real time reporting
- An experienced dedicated affiliate manager at your service
- High conversion and EPC
By becoming an Affiliate you have the opportunity to generate vast revenue for your business. Our Affiliates are receiving thousands of pounds from us each month from the huge volume of people who are applying for a payday loan and this is your opportunity to do the same.
