Non-bank loans enjoy unflagging popularity, and the confidence of new customers in such financial products is constantly growing. This is, among others, because non-bank companies have a flexible approach to the needs of each client. They have a real impact on the loan amount, repayment date and cash withdrawal form. Sometimes, however, there are situations that prevent you from covering your debt on time. Then you have the option to extend the repayment Lindy Loan. What is it about and is it a beneficial solution from the customer’s point of view?
Extending payday loans – what is it?
An important element of applying for a loan is determining its amount and repayment date. You have to approach this with caution to apply for such amounts that will be repayable. Sometimes, however, there are unexpected random situations that make it impossible to pay the debt on time. It should be remembered that even one day of delay in repayment is connected with additional costs that may exceed the cost of the loan. To protect customers from such serious consequences, non-bank companies have introduced the option of extending payday payments. It is nothing more than extending the final repayment date by another period, usually the same as for which the loan was granted.
First of all, you have to be aware of the fact that not every non-banking institution offers the option of extending payday loans. It all depends on their internal policy, so you can not always count on the possibility of extending the repayment. However, payday loans are flexible products that can be tailored to your needs and most companies try to solve the problem in favor of the customer. If the repayment deadline is approaching and you already realize that you will have problems settling the debt, immediately contact the customer service. Do not wait until the last day, as the settlement of all the procedures extension may take some time, and during this time will be charged additional interest for delay in repayment. In most cases, lenders who do not use a loan extension offer the option of refinancing. Companies try to help their clients and often go hand in hand to avoid serious consequences, which is why negotiations are worth undertaking.
How to extend loans?
The most important thing is to contact the lender in advance and inform you about the problem of meeting the repayment deadline. The consultant will propose the best solution and instruct how the extension procedure looks like, as the process may be slightly different in individual companies. In most cases, the procedure is similar and limited to a few simple steps:
Contact the lender – to determine the conditions for the extension of payday loans, you must contact the loan company. Contact should be made earlier to have time to complete all formalities before the repayment deadline. A consultant can offer you the best solution, taking into account your previous credit history and past due payments.
Go through the extension procedure – the consultant will inform you about the next steps related to the extension of payday. You may be asked to submit an application from your customer profile and to propose a convenient repayment date. Most loan companies offer an extension of the payday by the same date for which the original amount was incurred. So if you used a 30-day loan, it is likely that the debt payment deadline will also be extended by another 30 days.
Make a payment – extending the loan is a paid service, so you have to take into account the need to cover costs. They are lower than the fees charged for late repayment of the debt, which is why it is a more beneficial solution. During the conversation, the consultant will inform you in what form to make a payment and when it should be done. Sometimes, it is only after the payment is made that the extension procedure starts and other lenders add this amount to the final repayment.
Non-bank companies approach clients’ expectations with great flexibility, which is why even the extension rules are adapted to the needs of borrowers. Thanks to this, everyone can count on the support and matching the return date to the current financial possibilities.
How much does it cost to extend the loan?
This service is not free and you have to take into account the costs of the loan. Interestingly, some companies expect such a high fee that debt repayment after the deadline is a much more beneficial solution. The Anti-usury Act, which entered into force, imposed some restrictions on lenders and set an upper limit on fees charged for postponing repayment dates. This means that depending on the company and its terms of loan extension, you must be aware of additional costs that amount to a maximum of 25% of the total loan amount. That’s how much the extension thus depends on the amount and the date of the new Lindy Loan repayment. If the loan was for a small amount, and the application was submitted to postpone the repayment by a week, the total cost will be lower.
Refund for payday extension
Before the new regulations came into force, many debtors found themselves in a difficult situation over and over again with payday loans. Due to the fact that the cost of renewal generated high fees, the total amount was not repayable. With the adoption of the new law, debtors could apply for reimbursement for the extension of payday loans, inquiring about their rights in court. Many cases were concluded in their favor, as the court considered that the monthly fees paid for the extension of payday pay were sufficient to fully meet the needs of the non-bank company. Currently, in order to avoid unpleasant situations for customers, most companies have introduced the possibility of one-time use of the possibility of extension, limiting the maximum costs of the entire procedure.