FCA regulations explained.

debt bills and stress

Don’t let your debt get the better of you.

On the 1st April, the Financial Conduct Authority took over the regulations of the payday loan industry, but what does this mean for consumers?

What were the changes made?

  • Loan rollovers are limited to two.

A rollover is used to extend a loan. Whilst payday loans are typically a 30 day lending period, rollovers extend this time period.

  • The number of times they take money from a borrower’s bank account is restricted to two.

The customer will only be allowed to roll over twice, preventing them from incurring escalating interest fees.

  • Lenders must only try to take the full repayment.

The payday lender must only try and take the full repayment, and not small amounts of debt.

  • Add a ‘wealth warning’ to all payday loan advertising.

The FCA has requested that lenders must now provide the following on their adverts: “Warning: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk.”

  • Tell customers where they can also get free debt advice.

When a loan is rolled over for the first time, the payday lender must give the customer an information sheet written by the FCA, this sheet gives the customer the debt free advice they may need.

  • Make sure the loan is affordable to the customer.

Full, and proper affordability checks will need to be carried out by the payday lender.

 

 

Schools to teach dangers of the illegal lending industry.

Primary school children in England are to begin learning about the negative impact posed to them and their family from illegal Loan Sharks, the BBC reports.

In conjunction with schools, the IMLT have created a set of ready-made lessons to help children understand the illegal industry from a young age.

Ensure that you and your family understand the dangers of loan sharks.

Ensure that you and your family understand the dangers of loan sharks.

Here at Mr Lender, this is welcome news, we are strong advocates for financial education, and believe that illegal loan sharks must be stopped at all costs.

Read the full report here.

Mr Lender’s super social media competition.

The Mr Lender logo

Mr Lender will always display the representative APR clearly.

There are two ways to enter.

Facebook.
LIKE our Facebook Page and then SHARE this competition status

Twitter.
Follow Mr Lender (@MrLender) and RT our competition status to be in with the chance.

The draw closes on Monday 20th January at Midday, so get those entries in!

Best of luck!

Competition terms and conditions are found here.

How to apply for a payday loan with Mr Lender

Here is our guide for how to apply for a payday loan with us.

First, head on over to www.mrlender.com.

If you are a current customer of ours, you can find your account information, or apply for a new loan by clicking here.

If you are new to Mr Lender and have never had a short term loan before, our FAQs page is the best page to start. Make sure you read it thoroughly and check any questions you may have before applying.

If you have decided that a short term loan is definitely for you, navigating back to our homepage and our sliders is the next step in the process.

Mr Lender payday loan sliders

With our easy to use sliders, you choose the loan amount that best suits you.

Use the sliders to determine how much money you would like to borrow and when your next pay date is.

Click ‘Apply Now’ to be taken to the next screen – once you fill in the details, a member of our qualified team will call you back to fully process your application.

At Mr Lender, we will never encourage you to borrow from us or any short term lender, unless it is absolutely essential.

7 ways to make January the most money friendly yet!

Happy 2014 to you all, from everyone at Mr Lender.

It’s a new year, we’re all making resolutions, and January is probably the toughest month of all, (not just on our wallets, but our health and minds probably need a kickstart too).

Don't let money troubles get you down.

Don’t let money troubles get you down.

Don’t despair! Check out our quick guide to cutting back and saving big in January.

Set yourself a target.

holiday money saving.

This could be a holiday, or a new gadget, but focus on the amount you want to save and give yourself a strict deadline. Then stick to it.

Switch energy providers.

Cheaper energy bills.

Switching energy providers can give you considerable savings

How many bills can come out in one month?! We’ve talked about this before, and right now is the best time to negotiate discounts and offers from alternative providers. Check out our previous blog here for more info. Weigh up monthly direct debit payments v quarterly, balance out what you can truly afford.

Use our budget planner.

We gave you a monthly budget planner a while back, so put it to good use. If you’re using your own, ensure you’re honest and input every small detail, (yes even that fancy coffee you just treated yourself to).

Needs vs wants.

The dress in sales which you think is a bargain, which is the wrong size, and that you’ll never really wear…do you really NEED it? Focus on the wants/needs/must haves. Write more lists if you have to. Remember your goal.

Made a resolution? Stick to it!

Stop smoking save money.

Stop smoking for your health AND your wallet.

Are you a smoker? Use the NHS calculator to find out how much you can save.

Quitting your 20 a day habit will save you £223 a month. Let that sink in.

That’s a fast way to save some precious cash, and your loved ones will definitely be grateful.
Like a quick pint after work? Spreading 20 of them over a week amounts to over £4000 per year. That’s a HUGE amount of potential savings.
In fact the smoking/drinking savings alone amount to a monthly average of £566 – so have a think, and cut down if necessary.

Spring clean with help from Ebay!

Ebay logo.

Auction off unused stuff in your house to help make money go further

Receive a new phone for Christmas? Create a seller account and place the older one on ebay. How about those clothes you haven’t worn for a year? Place them on Ebay. DVDs, books and records with low starting bids will also sell. Extend your selling circle from UK only to worldwide and you’ll be astounded at how many extra sales you can make.

Not sure how to use Ebay? Ebay themselves have some great pointers!

Health and Fitness

Healthy living

Healthy wallets and healthy living for 2014.

Some of you have probably vowed to eat healthy and exercise more in 2014.

Gym memberships can be costly, especially when you sign up in the new year on a whim, and give up in February – and then you’re tied to a costly 12 month contract. Have you tried trawling voucher code sites for free day passes or even checking to see if you have low cost options in your area? The Gym  for example, offers PAYG options, and they don’t compromise on quality of the gym equipment.
If a gym still seems like too much hard work, check out Park Run, it’s a free service each Saturday, where you get to meet like minded runners, and get fit at the same time. Highly recommend!

Additionally, save cash on food by taking your lunch into work, learn how to batch cook and trawl Google for budget recipes. There is so much you can do! If you’re planning a dinner party, get friends to cook a dish each. It is also a myth that healthy food is more expensive. Just know where to shop, and shop smart. Have a recipe that calls for 1 carrot – why buy a bag of 12?!

At Mr Lender, we will never encourage you to borrow from us, unless it is absolutely essential, so budget wisely in January and stay within your means.

Personal finance for beginners

Compound interest picture.

Compound Interest is just one of the ‘scary phrases’ people come across in personal finance.

Here at Mr Lender, personal finance is what we do, and whilst our main aim is to offer short term loans, this blog is also here to help give you advice in all areas of personal finance.

We thought we should start at the beginning, so here are some basic definitions about personal finance we think might help you:

  • Interest – Interest is the fee paid by the borrower to the owner as a form of compensation for the use of an asset. More than likely, this asset, will take the form of a loan or credit card.
  • BACS – BACS is a form of electronic payment for processing a financial transactions. These will take three whole working days to clear.

Day 1: Payment is entered onto the system.
Day 2: Payment is processed.
Day 3: Payment is cleared.

  • Capital – These are the funds (the original loan amount) provided by lenders to another party (person or businesses).
  • eAPR – effective APR is the fee+compound interest rate (calculated across a year).
  • Compound interest – When compound interest is placed on your original loan amount, from that moment on, the interest that has been added also earns interest.
stress finance diagram

Don’t let your personal finances stress you out.

Pay attention to our regular series of budgeting blogs too, as they will be able to help ease the stresses that are placed on us all by our finances.

Special Mr Lender deal for 24 hours only!

mr lender christmas

Until Thursday, we’re opening our current Twitter only contest up to our Facebook fans.

All you need to do is LIKE and SHARE this status by clicking here.

Remember to also make sure you have entered our competition by following us on Twitter.

Once we hit 6000 twitter followers, one lucky winner will be chosen at random to win an amazing cash prize of £250.

For our competition terms and conditions, please click here.

Mr Lender’s advice for living on a budget – #2

Now that we have started to calculate our outgoings, how do we start learning to live on a budget?

In this week’s Mr Lender’s Guide to Budget Living, we’re looking at household bills and how you can achieve optimal savings across most of them.

This week: Household bills.

home insurance

It’s worth shopping around for the best home insurance prices

Obviously, those items such as rent or council tax will be fixed each month, but it’s wise to start breaking down those other areas which can offer a potential discount simply by switching accounts. The main areas in ours are:

  • Utility Bills
  • Insurance Providers
  • TV and Broadband

All three of these categories have the availability to help you save.

Internet research can be very time consuming, and these days most of us don’t have a lot of time to spare. Aggregate and comparison websites will do your homework and research for you and bring you the best possible deals on the market. (More often than not, using one of these websites will mean you are privy to exclusive offers, not found when you go direct to a vendor).

One aggregate website claims a saving of up to £240 on utility bills, and considering the recent rise in pries from certain outlets, we believe a serious rethink might be the smartest way forward.

Once you have all your savings and switches in place, you will probably start noticing a sizeable difference within the first few months.

Check out part 1 in our budget living series here…