All of our decisions here at Multi Month Loans are made with our customers best intentions in mind to ensure that we find our customers the most competitive and unparalleled deals on short-term loan products. Which is why we'll never charge you any fees for the service that we provide you with.
As we are a credit broker and not a lender after you have made your application, we'll be able to match you to one of our panel of over 30 lenders, who will be able to provide you with the best short-term loan, suited to your needs.
Once you have your loan offer accepted and sign your loan agreement, you will then enter a loan contract with that lender and will then be subject to their fees and charges, details of which you will have agreed to when you signed a loan agreement.
Because we work with a panel of lenders and are not a direct lender ourselves that will charge any fees, we feel that it is essential for you to know and understand any costs or charges you could incur when you take out a loan with one of our lenders. Although, it is worth mentioning that not all lenders will charge for these fees; however, it is crucial for you to be aware of them for present and future reference.
What Types of Charges are There?
An application fee is a charge that a lender might require you to pay, which covers the costs of your application. Application fees, or processing fees, as they are sometimes otherwise referred to as, cover the costs of things that your application might have required, such as paperwork or confirmation of employment status. This charge is usually a flat rate and one-off payment; however, it is rare that a lender will charge you an application fee when you apply for a short-term loan.
Card Authorisation Fees
A card authorisation fee, also commonly referred to as an authorisation fee, is a charge that some lenders and even other merchants and services might give you if you wish to pay your loan repayment on a credit card instead of a debit card.
A default charge or fee is a fee or in some cases, a group of fees which occur when a borrower has failed to make multiple repayments on their loan during their loan term.
Early Redemption Fees
An early redemption fee also referred to as an early settlement fee, is the cost that may be added to your loan if you wish to repay back your loan sooner than you expected. Early redemption fees generally cover the costs of the interest in which a lender expected you occur if you would have paid your loan back over the full duration of your contract.
Fast Payment Transfer Fees
If you're stuck in an emergency and want to be able to get your loan transferred to your bank account as soon as possible, then your lender may be able to offer you a faster transfer for a small fee.
Interest rates are a proportion of your loan amount, which you will be charged for the amount of money that you borrowed. This is the most common charge you will occur on your loan, as all lenders will charge you interest for borrowing an amount of money.
How Can I Make My Payments?
Continuous Payment Authority (CPA)
A continuous payment authority, commonly abbreviated to just CPA, is when you allow a company to take money from your debit or credit card in regular instalments to cover the costs of your repayments.
CPA's differ from direct debits, as direct debits come straight from your account, not through your card and are authorised by the bank instead of by a company.
Most loan companies will ask you to set up a continuous payment authority when you take out a loan; however, it is not obligatory for you to use a CPA to make your repayments. Lenders must ensure that if you set up a CPA that they tell you how you can cancel and make it clear that it is not required for you to make your payments through a CPA.
Alternatively, you can set up a direct debit with your bank to make your repayments. Direct debits can be especially helpful in making sure that you make your repayments in full and on time, without requiring a lot of thought or effort.
Manual Card Payments
Or you can make your repayments to your lender over the phone or online just by using your card. This will enable you to control as and when you make your repayments, but you will have to ensure that you make your payments in full and on time as not to incur any additional charges or fees.
Finally, you will be able to pay your loan repayments with a cheque and send to your lender via post, if you require.