PORTLAND, Maine, Oct. 30, 2013 /PRNewswire-iReach/ -- The first thing potential borrowers see when they visit Loans-Payday.com is an explanation of what first-timer borrowers need to know about the loan process. This lines up with the company's commitment to help first-time borrowers take advantage of the benefits of a this type of loan, without falling prey to the pitfalls that trip up some borrowers.
"We want potential borrowers who need some emergency cash to realize that it is available, and fairly easy to access quickly, but they need to make sure they have a plan to pay back the funds on time. Otherwise, they end up back where they started," stated CEO, Mr. Maurice Chandler.
As the website explains at http://www.loans-payday.com/personal-loans.html , there are two parts to a personal loan, such as payday loan. First, once the borrower accepts a loan from a lender in the network, the lender automatically deposits the funds into the bank account of the borrower. Typically in 24 to 48 hours. When the payment comes due on the borrower's next payday, the lender automatically debits the account for the loan plus fees. If the borrower foresees a problem with the due date, he or she can seek an extension by calling the lender. The borrower needs to communicate with the lender and not just ignore the issue. Otherwise, the lender debits the account, causing an overdraft fee if the money is not available. This results in more fees from the lender and bank overdraft fees.
"We're not trying to trap borrowers," says Mr. Chandler "we're trying to offer them a solution to a short-term emergency cash need." Most of the criticism leveled at the payday lending industry results from the fact that some borrowers don't payoff the loan and keeping accumulating fees and interest charges. "When the borrower gets the initial loan, he needs to realize that he has bought himself some time. Now he needs a plan to work some extra hours, sell something, or spend less so that the loan payment can be made when it is due."
A personal loan that is due on your next payday is a stop-gap measure not a means to fund a lifestyle. The loans were designed to get borrowers through a tight spot not carried for a long time. Borrowers can offset the cost of the loan if they use the funds to avoid late payments, overdraft fees, disconnection and other costly fees.
"A personal loan is a tool," states Mr. Chandler. "It can be used wisely or unwisely. The difference is the person using the tool. So we want to educate first-time borrowers on the right way to use payday loans."
To learn more or apply, got to http://www.loans-payday.com/.
Media Contact: Maurice Chandler, I.D.S International inc, (646) 257-4131, firstname.lastname@example.org
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