Lender in Focus 7.3: Ferratum Loans Reviews

Ferratum Reviews

Ferratum Reviews

Ferratum reviews are a valuable resource if you would like to know more about the lender.

You can look to reviews for a better understanding of how a lender operates. The views of previous customers will show the good and bad points, including how loans are managed. Also, how any financial difficulties are dealt with.

First-hand experiences tell you the details that the lender’s own website might not cover.

Before borrowing money, it helps to get a well-rounded view of Ferratum. This view should come from the facts and details on the lender’s own website, and reviews from previous borrowers that have been in your position.

Below are key points from Ferratum loan reviews, written by genuine customers that have applied for short term loans.

Ferratum loans on Trustpilot

There are several websites that collect and collate reviews of UK businesses. Trustpilot is arguably the most popular and well-known.

Ferratum customers can use Trustpilot to write reviews of their experiences, from the application right through to the final repayment.

Reviews published on Trustpilot are genuine. They have been posted directly, without any interference from the lender.

Ferratum has a Trustpilot score that is ranked in the ‘Excellent’ category. In January 2017, the score for this lender was 9.2 out of 10. For comparison, retailer Argos has a score of just 2.6 and Debenhams a score of 1.6.

More than 90% of all reviews have a 4* or 5* ranking. Less than 5% have a 1* ranking. Before borrowing money, it is best to look at a selection of positive and negative reviews.

Ferratum customer service advisors make efforts to respond to reviews, resolving any difficulties customers face.

“Simple application”

Many positive reviews mention that applying for a loan is easy and does not take too much time.

Ferratum states that your application for one of their instalment loans could take as little as 2 minutes.

Loan payments are made using the Faster Payments Scheme. Between 9 am and 5 pm on a weekday, the money could be with you almost instantly. Over the weekend, or in the evening, your loan may take slightly longer to reach your account.

“No issues with straightforward application. Instant decision. Monies straight away. Given total amount to be repaid and date on approval. Would recommend to anyone. Best instant loan company I personally have used.”

“Declined my second application”

Customers that have had a previous Ferratum loan can make future applications by text message. Or, they can apply directly through the Ferratum loans website.

Sometimes customers borrow money and repay their loan on time, but find that a future application isn’t successful. This can be upsetting, and many of the negative Ferratum loans reviews describe this exact situation.

Ferratum’s response to these negative reviews shows the reasoning behind this decision.

The lender states that “Ferratum conducts a new set of credit checks for each new loan application. A number of factors can have an affect on your credit file”.

A responsible lender must make sure that you are able to afford the loan at the moment of approval. They cannot rely on your previous repayment history, as a guarantee that your financial situation will always be the same.

“Applied for a loan and was accepted and money was paid out. Process was really quick and straightforward. After repaying the loan in full and on time, I applied for another loan. Despite the fact that no changes had been made to my credit file since my first loan was approved, and despite the fact that first loan was paid in full and on time, Ferratum chose to decline my second application.”

“Simple repayment by text”

Ferratum makes use of text messaging for many day-to-day activities.

Existing customers can apply for their loans by text, rather than going through the online application form. All customers can also ask Ferratum to take their loan repayments early, by sending an SMS.

In addition, Ferratum’s customer service team will accept queries by text. This may suit people that do not get a chance to discuss their loans on the phone.

Customers are very happy to have the option of managing their loans by text message. This does not replace any service provided over the phone or online but is an optional extra that many prefer.

“I have had short term loans with Ferratum and it is a quick easy process to apply after the initial loan. It is easy to repay via text. The process of requesting a loan and repayment I do via text, and it makes life simpler.”

“No fuzzy estimates”

Previous customers have been happy with the speed of Ferratum’s lending decision.

Customers receive a decision soon after submitting their application. If approved, they will be offered a loan with clear repayment dates and instalment amounts.

Ferratum’s instalment loans are short term loans over up to 4 months but can be repaid early. Early repayment may reduce the overall cost of the loan. Which means that (as long as you pay on time) the total cost that you see at the start is the most you will ever pay.

“I would recommend this company to anyone needing short-term finance. You are notified immediately of acceptance or denial and, if accepted, are informed of the total cost for the loan period. No fuzzy estimates, just the total charge. There is the option to repay early and if requested you will receive a new lower balance to pay.”

“Helped me out when others refused”

customer opinion on ferratum reviews

As long as you are expected to afford your loan repayments, Ferratum may be able to approve your application when other lenders are unable to.

To balance out the higher level of risk associated with poor credit scores, Ferratum charges higher interest rates than you might find at a high street bank.

If you have tried other sources of credit and have not been successful, or, if you are concerned lenders will not consider your application because of any marks on your credit file, then Ferratum may be able to help.

“This company were a godsend and are now letting me take out longer term loans. Customer service is always excellent and polite. They treat you like a human being.”

Ferratum reviews: summary

Customers are generally very happy with their Ferratum loans experience.

Loan reviews provide the lender with a Trustpilot score of 9.2 out of 10, which fits it firmly into the category of ‘Excellent’.

Most negative reviews mention that subsequent loans were not approved, despite initial loans being repaid on time and in full. This indicates Ferratum is working as a responsible lender, running a new affordability assessment for each new loan application.

Particularly positive were comments about Ferratum’s text loans. These loans allow existing customers to make future applications just by sending an SMS.

Ferratum also allows early repayment by text and has SMS customer service.

These features make Ferratum stand out when compared to other providers of short-term loans. Yet, do not take away from the more traditional telephone customer service. Existing customers can still apply for loans online, through Ferratum’s website.

Past customers comment in their loan reviews that the application process is simple. Decisions are made quickly and repayment information is clear from the very start. This should make any of their instalment loans very easy to manage.

Many reviewers also spoke positively of Ferratum’s approval rate. One which is sensible and responsible but may provide access to funds despite someone’s low credit score.