Vancouver, a bustling west coast seaport in British Columbia, is among Canada’s densest, most ethnically diverse cities. A popular filming location, it’s surrounded by mountains, and also has thriving art, theatre and music scenes. Vancouver Art Gallery is known for its works by regional artists, while the Museum of Anthropology houses preeminent First Nations collections.
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Vancouver, BC, Canada
A Few Facts About Payday Loans
A payday loan is an unsecured loan not dependent on collateral such as a car. It is considered a small short-term loan to be repaid on your next payday. Most times you can apply online and the cash can be deposited to your bank account within hours.
Getting Approved For a Payday Loan
Many payday loans are available online so there is no delay with the documents. You will be asked for details about your income and employment bank account details when your next payday is and the amount you wish to borrow.
The payday loan company will decide to lend (or not lend) based on how much you want and compare that to your income. Be careful how you fill the application out and only ask for what you need because you will be more readily approved for a reasonable amount.
If your application is successful you will be sent your loan agreement by email showing the borrowed amount the repayment date and the amount of interest you will pay. You will also receive loan conditions that outline your rights under the Consumer Credit Act. Your rights should include cancellation and repayment terms and how your personal information is handled.
Regulation of Payday Loan Companies
You should probably investigate the credentials of the company you want to borrow from. They should be able to show you their Consumer Credit License. If you are in doubt about their legitimacy then you are within your rights to contact your local authority for further information.
If the payday loan company you are applying to is properly licensed there will be a government body to contact where you can get reassurance of fair practice.
Why Does the APR Appear High on Payday Loans?
At first glance the APR on a payday loan looks very high. This can be misleading but there is a simple reason why this figure looks so high. APR is an Annual Percentage Rate and as such is calculated over a whole year. Whereas a payday loan is due to be repaid in a few days or a couple weeks.
Rather than relying on the APR rate it is more advisable to look directly at the loan agreement to see exactly how much interest you will be charged for the period of your payday loan. Some companies have a flat rate charge. It is up to you to decide whether you will be able to repay on time.