Though some people believe that payday loans impose too high interest rates, these credit facilities help folks get buy when they are down on cash. And they are pretty popular among many Filipinos, so it’s hard to see that they bring certain value to people in urgent need.
But what about standard bank loans?
As you can read in this blog on money lending in the Philippines, there are different types of payday loans, suitable for specific cases of use. In comparison, the bank credit facilities are usually very strict and you’ll need to jump through lots of hoops before you get approved.
In addition, banks usually ask various questions as to the purpose of use and more. But online lenders don’t do that. In fact, all operations are done completely online, eliminating the need to use your valuable time for office visits and phone calls with the company’s representatives.
Thus, the payday loans are probably the best solution when a person needs to borrow a small amount of money just for a couple of days before the next paycheck comes in.