When looking for secure payday loans, you are right to be cautious.
If you need a quick, short-term loan, it can be tempting to go with the first lender you find. But it is important personal details, like your address and financial information, do not end up in the wrong hands.
Many providers promise secure payday loans. But how do you know your details are secure? And what measures do lenders take to make sure that your details are not in any danger?
Secure payday loans
A quick search on the internet will reveal many lenders promising secure payday loans.
To get your loan approved, you will need to give short term loan providers your bank details.
Before doing this, it is important that you are totally comfortable and you can trust them. Giving your bank details to the wrong people can result in your money getting stolen.
Many loan providers promise that they will keep your details safe and secure.
Without the right systems in place, this is no more than an empty promise. Not every lender will offer a secure payday loan. You should always look for a loan provider who will keep your details safe and secure. They should also handle your details professionally.
What are the signs to look out for?
How to make sure your details are technically safe
Check the address bar
Online security is important when you are looking for a short-term loan. When you visit a website, look at the address bar at the top of your browser, where the website address is visible.
At the beginning of the address, it will say ‘http’ or ‘https’.
The ’s’ on the end of ‘http’ means the website you are using is secure. Any details you send through it should be protected.
Want to see more information about how safe the website is? Click on the padlock next to ‘https’.
See ‘http’ instead of ‘https’? This means the website you are using is not secure and you should not give them any personal details.
Responding to phone calls
If you receive a phone call from a payday loan company, it is best to be cautious – even if you recognise the phone number.
Fraudulent companies can find your phone number and may call you to try and get personal details from you.
Never pay any fees over the phone or give away any of your passwords. If possible, you should visit the website of the company that called you to check their phone number.
Telling them you will call them back with the number you can see on their website is also a good idea.
How payday loan providers keep your details secure
Good lenders will keep your details secure using top of the range security systems.
Any details you give them should contain encryption and be secure so that you do not need to worry about them getting into the wrong hands.
By using secure websites, all financial details you send to a lender for your loan approval will go through a secure connection.
How to make sure your details are handled professionally – membership of regulatory bodies
Anyone can set up a website. Sometimes, it is not easy to tell who you are dealing with.
You may want loan approval but it is important to know who you are sending your details to.
Check your short-term loan provider is fully authorised. Also that they are safely regulated by the Financial Conduct Authority (FCA). This means that everything they do has to be compliant with the regulations that the FCA sets out.
The FCA looks after customers by making sure lenders stick to the rules and provide secure payday loans. If a lender broke any rules, the FCA would take action against them.
Check if the loan provider you want to use is a member of any other professional bodies, such as the BCCA. This is a sign that they are a reputable company who will keep your details safe.
It is also useful to check if the lender has a physical address. This is another sign that they are a reputable business.
To protect your details, the loan provider should also be Data Protection registered. A reputable lender will never sell your details on to anybody else. This information, together with their address, should show detail at the bottom of their company website.
Any reputable lender should be happy to tell you how they protect your details. This is a privacy statement. You can usually find a privacy statement on a lender’s website. Read this statement before deciding whether to give your details to a short term loan provider.
How to check membership
Even if they say they are members of professional bodies, how can you be sure?
The Financial Conduct Authority has a website where you can check that a provider is a member. You can use the lender’s name or their postcode to conduct the search.
You can check any professional bodies the provider claims to be a member of by contacting the professional body to ask for confirmation.
If you think you may have given your details to a payday loan lender you do not think you can trust, it is important you take action straight away.
If you have given away any bank details or credit card information, you should call your bank or credit card company as soon as possible.
Then they can put the necessary stops in place.
Call Action Fraud on 0300 123 2040 if you think you have been a victim of fraud.
There are also charities, such as Victim Support, if you feel you need to talk about what has happened to you.
By doing thorough research into payday loan providers, you are doing everything you can to reduce the risk you will become a victim of fraud.
Speeding up the process of looking for a secure payday loan
With so many payday loan providers out there, choosing a short term lender able to keep your details secure can be stressful.
Payday loan providers
If you have more time, you can research individual payday loan providers to find out if you can trust them with your details.
It is worth bearing in mind that you may have to fill out more application forms if you do not get approved by a short term loan provider. This could put your details at further risk.
Payday loan brokers
By using a payday loan broker, you can apply for a secure payday loan with many, reputable lenders you know you can trust and with one application form.
You will not need to waste time researching the trustworthiness of different providers. A broker will send your details to an approved portfolio of loan providers. CashLady only works with loan providers that take the appropriate measures to make sure that your data is secure.
They are also approved members of the FCA.
Applying for a secure payday loan – key things to remember
When you are dealing with financial companies it is important that you trust both them and their online security.
To make sure your information reaches the lender without theft, you should check the website you are using is secure. You should also make sure you are dealing with a reputable company. One who understands the importance of protecting your details. They should be members of professional bodies, such as the FCA, who check that they abide by the rules.
You have the right to know how lenders will use your information – if you are unsure, ask.
Secure payday loans – summary
When you are looking for a secure loan provider, you may find that there are people out to take advantage of you. As long as you protect yourself, by researching who you are dealing with, there is no reason for your details to be at risk.
Taking necessary precautions will help protect you when applying for a payday loan.
Do not take risks with your personal information. There are trusted payday loan brokers and many short term loan providers that will handle your information with care.
Any reputable payday loan provider should be willing to talk to you about their online security and data protection policy.
Using a broker like Cash Lady to secure your loan approval can mean that you do not have to spend too much time researching different lenders. Secure payday loans do exist – you just have to be careful about who you give your details to.