Charges

The costs to you

Our panel of payday lender’s charges will vary; the calculated APR will depend on the amount you borrow as well as the length of the loan. Always ensure you check the terms of any loan offered to you before confirming.

Understanding The APR

At quickcashpayday.co.uk, our loans come with a typical 1355% APR – although this can vary from lender to lender. Payday loans have a high APR is because APR is calculated on a yearly rate. The actual charge on the loan is small however; for example £25 for a £100 loan, and because our loan agreements almost always occur over a short-term period – usually less than a month – as long as you pay the full amount back on time then the loans are affordable and represent good value.

APR stands for Annual Percentage Rate and shows the interest rate for the whole year as opposed to a monthly rate. Notifying you about the APR of any loan is a standard legal requirement – even though these types of loans are paid back within weeks rather than over several months, or even several years.

Interesting fact: If you borrow the same amount of money over a longer period of time then the APR goes down, whilst the charge cost goes up! This is because APR is calculated as a percentage of the loan and explains why payday loan charges appear to be so high.

Rather than look only at the APR, it’s important to consider the amount that you will need to pay back on top of your payday loan agreement. An APR of 1355% sounds high, but when you understand that this is roughly £25 per £100 borrowed then the picture becomes clearer.