When Thinking About Short Term Loans What are The Choices

There are now a great selection of short term loans which are on offer in the online short term loans market. Over the last few years the style of product which was often linked to this vast market has been reduced and replaced by a much more consumer friendly offering. Short term loans have been providing the ability to borrow a small amount of money in a simple and discreet manner for a long time now and as a result the vast majority of customers are aware of this markets existence. In fact the market for borrowing online in this manner has been available for longer than most think with over a decade’s worth of trading now accounted for. Its not that surprising then that the type and style of product has had to adapt over the years, to ensure like any other consumer market, that the product being offered remains one which is useful to consumers. In reality the market for short term loans had become a little out-dated and as a result consumers in a general sense were becoming increasingly more and more disappointed with the type of loan and style of customer service being delivered.

The major change in this market came when the Financial Conduct Authority took control of the regulation for the market about two years ago. As a result of the Financial Conduct Authority also known as the FCA, coming into force the lenders who existed needed to address their product and service with a fresh view. This meant not only reviewing the style of product they offered to consumers but also the way in which they treated their customers as well. It is a direct result of FCA guidance that the market for online short term loans is now much more flexible and consumer focused then has ever been the case previously. In addition to this fact the lenders who exist are generally of a much higher class meaning the level of customer service has been vastly improved to ensure the message of treating customer fairly, as highlighted by the FCA, is delivered in the vast majority of cases.

The type of short term loans which now exist range in terms of loan amount and repayment options. Whereas previously consumers were really only ever given the opportunity to borrow for a period extending up to 35 days, now, consumers are offered more flexible repayment options. This means a modern day short term loan could mean repayments spread over several months if the individual in question wanted to do so. Many lenders are offering repayment terms which are flexible in that their product could be repaid over a different selection of repayment periods. This could mean two months of instalments or instead it might mean 9 months of instalments depending on what would be most financially suited to the needs of the applicant. To ensure consumers can make an informed decision often there are a range of repayment terms presented at the point of applying online.