500 pound loans – Knowing the basics
Borrow £500 over the short term
When you have bad credit, payday lenders can seem like they are your only hope. They offer you a way to get cash quickly without having to fill in a lot of forms, and they don't object if you have bankruptcy or IVAs in your past. Most people who borrow money from payday lenders will choose to borrow a small amount, such as £100 or £200, but if you need more, and are looking for a bigger loan such as £500, then you will need to look for lenders who are able to offer such a large amount. You will also have to consider you options when it comes to repayments, and the interest rates you can expect to be charged for such a large amount.
What options are there for £500 loans?
If you want to be able to get a loan, and only need £500, then your options can be surprisingly limited. This is because most of the major lenders tend to offer loans which are much larger, taking more time to pay back and also costing you more in interest rates. While it is still possible to get a small personal loan from some banks, in most cases they will only offer you larger amounts.
While it might be more tempting to look at taking out a larger loan from your bank, if you don't really need the money, why pay the interest charges on it? It makes more sense to try to find the loan you need through other lenders.
The majority of lenders will only allow you to borrow £500 with other conditions imposed on the loan, including high rates of interest over several years, or requiring you to sign to an account that charges a premium rate for use. All of these loans are more complicated than simply getting your £500.
Short term loans until payday
Short term loans are clearly the answer when it comes to borrowing such a small amount. Many short-term lenders now offer loans which last for more than one month, so you have the opportunity to spread the repayments. There are no account conditions, and no chance of refusal for this amount, and this means that you are likely to benefit from taking out a loan for this amount. With no high rates of interest spread over two or even three years, you are likely to get a better deal for your loan if you choose the amount you need with a short-term lender.