We have often seen people not going for loan due to the high interest and other charges being imposed by the lenders on them. This may be due to their poor credit profile or some other legal compulsion. The reason may be any but it hinders the smooth flow of money in the economy. To avoid such an adverse situation, we have introduced no fee loans.
No fee loans are just like any other short term loans, but they carry very low interest rates and processing fees on them. The fee is so low or negligible that sometimes they may be called as free loans.
These loans are usually offered for a period of few weeks only. This is the time till you get your next salary. This time period may be increased or decreased depending upon the creditability and the need of the borrower. The loan amount is also not fixed. Generally it remains at 1000 pounds.
Any person can go for such loans, if he/she fulfills certain conditions. He/she must be a permanent citizen of UK. He/she should have attained an age of 18 years before applying for such loans. These loans are generally granted only to those persons who are employed somewhere and earning a regular income for at least past 3 months.
These loans are offered in both secured as well as unsecured manner. A borrower may select any method. According to the selection, the interest rate is determined. If any person wants to go for cheap loans, then he/she is recommended to go for secured loans. But if he/she does not have any asset to pledge or does not want to risk property then, he/she should go for unsecured loans. So, after going through all the features we may say that these loans are very helpful for every person.