Beware of Payday Lenders

Recently there has been a noticeable increase in credit declines due to customers use of payday lenders.

Generally, a payday lender inquiry is a potential indicator of financial hardship with further inquiries made to confirm that this is not the case.  Merely confirming that this was "only an inquiry" with the payday lender is not sufficient to ward off further investigation. The broker or lender will ask why a payday lender inquiry was made and seek confirmation that the client is not under financial stress.

Having taken our finance with a payday lender will invariably impact on future finance approvals. In the environment of bank statement verification it is all but impossible to avoid disclosing pay-day lender activity.

Avoid if at all possible and seek financial support form an accredited adviser.