A bad credit payday loan is a high-cost short-term loan product designed to help customers with a poor credit history overcome unexpected financial emergencies.
Changes in regulation have meant that most ‘payday lenders’ now offer high-cost instalment loans for periods of up to 12 months.
Interest rates charged by lenders for bad credit loans can vary from lender to lender but FCA (Financial Conduct Authority) caps on fees and charges will always apply.
These caps mean you should never pay more than £24 per month for every £100 borrowed and never more than double the original amount borrowed.