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A direct lender with alternatives to payday loans in the UK

Looking for a direct payday loan? SafetyNet Credit is a direct lender offering a smart new alternative to payday loans.

General Questions

What is a direct payday loan lender?

In the loans industry the phrase ‘direct lender’ refers to loan companies who are able to lend directly to those seeking credit, with no involvement required from any third party intermediaries such as credit brokers, and no other parties involved in funding the loan, such as banks or other lenders. This means that if your loan application is successful, the lender you made the initial application with will be the one to fund the loan and receive your repayments, and all communication about your loan arrangement should be between you and this company.

How does a direct lender differ from a credit broker?

Within the world of payday loans in particular, it is common to come across companies offering credit broker services rather than direct lending facilities. The difference is not always clear to the consumer, so we’d like to clarify things a little.

A credit broker will not fund loans directly, but will instead link up customers looking for loans with companies who can provide credit. They often style themselves as price comparison sites for different loan companies, and will usually charge some kind of fee for their services whether paid by the lender or the borrower.

In the past there have been issues with people paying more than they expected after signing up for a payday loan from what they believed was a direct payday lender, only to find out it was in fact a credit brokerage site charging additional fees. There have also been unfortunate cases where brokers were not always transparent about their costs.

Because of these and other issues, the Financial Conduct Authority (FCA) has taken steps to regulate more strictly how credit brokers can go about their business. They must now always make clear to you in all exchanges that they are a credit broker rather than a direct lender, and they may no longer take unauthorised fees for their services without express warning and customer consent. Details of any fees they do charge must also now be communicated to you in writing.

How do I find the right direct lender for me?

If you feel you are in need of a payday loan, our advice would be to always research the market to see what’s available, looking at not just the usual, well-known payday loan companies, but also at any other alternatives to payday loans like SafetyNet Credit, whose services could help you in your situation.

Reading testimonials and reviews from previous customers is one good way of checking if a company’s claims about itself stand up. You can also contact their customer service team to have them answer some of your questions which can give you a sense of what interactions with your lender will be like in the future if you encounter any issues during the course of your loan.

Credit brokers can provide a useful service for many people, helping you compare the many different offers out there to find the type of credit best suited to your specific needs. They can simplify the process of looking for a loan, helping you to navigate a complex and sometimes overwhelming marketplace. If using a credit broker, always make sure they are properly authorised to operate as a broker by the FCA. This can be done by visiting the FCA register’s website: https://register.fca.org.uk/

Why choose SafetyNet Credit?

Whilst SafetyNet Credit do not issue payday loans, we do provide a revolving credit facility which can be more suitable in many cases than a payday loan would be if you are looking for credit to cover your short term borrowing needs. Our services can be found and accessed via some credit brokers, often alongside payday lenders, but you can also apply for our services directly on our website. If your application with us is approved we will provide funds directly, and will not go through any secondary providers to source your credit. If you apply with us through our website you will have direct, unfiltered contact with us throughout the entire loan process.

SafetyNet Credit also complies fully with all Financial Conduct Authority (FCA) regulations, as well as guidance from the Information Commissioner’s Office (ICO), concerning the conduct of direct credit lenders. Our FCA registration can be found here: https://register.fca.org.uk/ShPo_FirmDetailsPage?id=001b0000042tm35AAA. We have an expert team that actively follows any developments and work with the relevant regulating bodies to make sure we are always up to date with any changes in the industry guidelines, ensuring we can provide the best experience for our customers.

Because we are a direct lender and have direct control over our products and services, we have also been able to take innovative new approaches to the commonplace kinds of credit service offered by other lenders. Our innovation in this area lead us to attain the award for ‘Best Alternative Lender’ at the lending industry’s Credit Today Awards 2015.

These innovations include a unique system whereby you can set a balance level at which you would like a transfer to be made directly to your bank account. Your available credit with us will then act as a safety net, automatically boosting your balance when you are close to going into an unauthorised overdraft, helping you limit any unplanned borrowing charges from your bank.

We are also completely transparent about our costs. Any credit you do use will cost 0.8% per day. There are no extra fees on top of this, and it does not cost anything to connect your account with us, regardless of whether or not you ever need to make use of SafetyNet Credit’s unique services. Even better, the daily interest rate only applies for 40 days. This means that the most you would pay on £100 borrowed is £32 in interest.

Ready to get started with SafetyNet Credit?