What is a Direct Lender Loan?
With some people deciding to go the direct lender loans route, you will need to learn all you can about this borrowing option before making a decision because it’s not the best option for you
A direct lender could be of big help when you are trying to get the money you need. However, be sure to explore whether a direct lender or broker is the better option for your situation.
While it is true that can always apply to your bank for a loan, it can be difficult to get approved.
This is just one of the reasons why a lot of people are going with brokers as opposed to direct lenders because of their flexibility.
What is a Direct Lender?
A direct lender is simply a loan provider who makes the final decision on your application and will deposit loan money directly into your bank account if your application is approved.
What is the difference between a Broker and a Direct Lender?
Unlike a direct lender, a broker will try to find a suitable lender for you, though some may charge you a fee for applying, so make sure to double-check this beforehand.
At Simple Personal Loans, we do not charge any additional fees and have no hidden charges, we also have a large number of lenders on our panel, some you recognise but many you won’t, this gives you a much better search option when looking for your loan rather than filling out an application form for each lender.
Brokers are able to send your application to multiple lenders at once, rather than filling out various applications and applying over and over again with individual direct lenders.
What are the benefits of using a Direct Lender?
Applying for a loan with a direct lender isn’t necessarily more beneficial to you because a broker will look to a number of lenders on your behalf, and the process of applying for credit is usually very straightforward.
What are the benefits of using a Broker?
Simple Personal Loans offer personal loans from £1000 up to £35,000. We offer a lot of flexibility with repayment periods, allowing you to repay monthly.
If you are approved for a loan with a direct lender they will be able to quickly transfer the funds to you. With a broker, you are relying on a third party so the time from your application to being approved and paid out should be exactly the same..
Am I eligible for a personal loan?
So, if you’re looking for an unsecured personal loan in order to pay off an unforeseen expense, Simple Personal Loans is here to help as a broker. You may need the money to fix your car, repair damage to your home, or to cover a budgeting shortfall. Not sure if you’re eligible? Take a look at our eligibility requirements.
- Aged 18 and over
- Must be a UK citizen
- Have a stable source of income
Should I use a broker or a direct lender?
Whether you go direct to the lender or use a broker to shop around for loans, the choice is yours. If you’re new to borrowing and need some help understanding all the different loan types and conditions, then a broker could be your new best friend. Make sure you choose a loan broker accredited by the FCA. Also, be clear on what they’re getting out of the arrangement before you start. This will ensure you really are getting the best deal for you.