COVID-19 Help

If you have suffered a loss of income due to Covid-19 we are able to offer reduced payment plans and deferred payments to assist during this period

Please note that interest on your loan will still be charged daily on the account

10 Tips for Dealing with Pay Weekly Stores

 

We’ve summarised 10 things to watch out for when dealing with pay weekly stores or other credit providers.

  1. APR is not always the best way to compare the REAL cost. Instead, take a few minutes to look at the total cost. Which, depending on the lender, could include: interest, deposit, late fees, insurance, warranty, delivery, installation, removal of old item…use our loan calculator to work out how much ours will cost you.
    hidden fees
  1. Watch out for LATE FEES – these can be expensive. They have to be paid before your next payment can be made. If you know your income fluctuates sometimes, then it’s worth knowing how much a late payment will cost you (beware: lots of lenders including short term credit and catalogues will add these fees).
  1. Insurance and warranties – some lenders make a lot of income from asking you to take out a warranty or insurance on the item. Check to see if it is optional and what it really covers – you may find your home insurance could cover some risks, or there may be an independent warranty of better value available elsewhere.
  1. Added costs – some firms add the costs to your loan for fees or insurances or warranties. This means you pay interest on these additional costs as well as the loan you wanted.
  2. If you try to pay off early or overpay you could be hit with redemption penalties. These exit costs may be applied by lenders, even banks. If you have the money to clear your loan you may find it a lot cheaper to find a loan company that does not add these exit fees.
  1. The length of your loan could increase your overall cost – the shorter the period you borrow, the less you pay overall. So when a company asks you to pay over 3 years, it means they earn money from you for all of that time.
  1. Staff are sometimes paid on commission – so he would personally benefit from selling you a bigger loan or a more expensive sofa or washing machine. This is up-selling, and don’t be afraid to walk away and think about it and look around before you sign up. You can always go back later and sign up when you are sure.
  1. You don’t own rented items. Weekly payment stores are sometimes rent to own stores, which means you don’t own the item until you have paid enough payments. They can come and take it back off you if you don’t keep up the payments.
    small print
  1. Read the feedback. Sometimes we don’t like people to know we are using credit, but it’s worth asking for recommendations and checking out their facebook sites.  If others don’t rate them, don’t expect your experience to be any better!
  1. Read the small print – the less they tell you up front and the more small print, the more you need to read it all!
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