True Blue Loans care about affordability

Warning: Late repayment can cause you serious money problems

For help, go to moneyadviceservice.org.uk

Representative APR

This article contains information about products/services offered by us as well as those that we do not offer.

Author: Internal 

There are a plethora of loans available in the market. Many loans are available at very low interest rate but require a really good credit record and are often for larger somes of money. On the other hand some loans are provided for smaller amounts and are available to those with a less perfect credit record and as such the interest rates will be much higher. At True Blue Loans we provide loans with a singular mission: “To make the loans affordable and suitable for the borrowers”. One only needs to have a look at the recent events to understand why affordability should be at the core of any loan processing.

Wonga, one of the biggest payday lenders, was under the review of regulators and had to write off loans worth a humongous £220 million. This write-off was required partly because the loans dispensed by the lender were not affordable for the borrower. In several cases they were given to borrowers who were receiving unemployment benefits and had severe disabilities. This kind of reckless lending wrecks the lives of borrowers by ensuring that they end up in the vicious cycle of every increasing debt and face heavy interest on their loans.

True Blue Loans aims to provide affordable loans by checking that, based on the information provided by the customer and that sourced from third parties that it genuinely feels they can be afforded.  

Additionally True Blue Loans understands the fact that single repayment payday loans can lead to the repayment amount being too high to fit into someones affordability, but that a lower amount could be afforded. Taking a £200 loan from True Blue loans for six allows for a lower repayment amount each month compared to a single instalment loan. It does make the overall cost of the loan higher, but this is often better than simply not being able to afford it. In case a borrower finds it possible to make an early repayment after a month or two they can do so without incurring any early repayment fees. By having longer repayment structure and having adequate checks while processing True Blue Loans makes sure that the loans are affordable for the customers.

Some payday lenders have advertised their services by showcasing their ease of processing. This ease of processing gives the illusion of easy money to many borrowers. Any credit should be taken after due planning and proper budgeting. By giving the illusion of easy money these lenders have ensured that they gain a larger market share by targetting the desires of the borrowers. Many borrowers end up taking loans for frivolous expenses like purchasing a new device or having a weekend vacation with the friends. These loans have very high interest rates and when they are used for such expenses they invariably cause a major upheaval in the financial wellbeing of an individual. 

True Blue Loans understands that there are certain unforeseen circumstances within every person’s life where they need external help. By carefully reviewing every application individually it is ensured that the loan is affordable to the borrower. The repayment term is then structured in a way which puts minimum burden on future budget of the borrower and allows affordable repayment of the loan. Currently the market is saturated with automated processing companies. These firms use algorithms to wean out any prospective borrower who might default on the basis of information provided. However in the end we believe the credit industry requires a personalized touch. Finance touches every part of our life and basing the decisions on some automated code can lead to wrong decisions. True Blue Loans does have an automated system to decline those applicants that simply do not meet our baseline criteria, but if this is passed an underwriter looks at every applications from a human perspective. This makes sure that every borrower gets a personalized service and is able to use the credit to sort their current situation properly.