A payday loan like wonga is an online loan which allows you to borrow money for a short period of time. It is a great option for those who are in dire need of money. But before you apply for a loan, you should know more about the cost and availability of such a loan.
Find a payday loan like Wonga
A payday loan like Wonga is a great way to get a fast cash advance. These small loans can be used for any unexpected expenses. Their interest rates and repayment terms vary, but they are designed to cover living expenses until your next payday. The application process is easy, and Wonga does not require collateral.
Wonga is a short-term loan provider in the UK. They offer loans for up to PS400 and loan terms of up to 34 days. During the quote process, they will clearly state the total amount you’ll be repaying. In 2015, they announced that they would charge no late payment fees. That is fantastic news for borrowers, who will now have three extra days to pay off their loan without incurring late payment fees.
Rates
The rate of interest on payday loans such as Wonga is high, and borrowers may not be able to pay them back. In October 2014, Wonga was forced to write off PS220 million in loans, affecting 375,000 borrowers. In December, the company took further steps to limit its costs. The company cut transmission and missed payment fees and reduced interest rates. This move came as a result of the Advertising Standards Authority (ASA) banning the company’s controversial advertisements.
The rise of Wonga and other payday loan services has raised concerns about how the industry operates. While the industry has gained a reputation for high interest rates and charges, Wonga’s history and practices have caused some consumers to question their business practices. Many users on Twitter have been questioning the company’s business practices, and some are asking why it wouldn’t borrow with such high interest rates.
Costs
The costs of payday loans are largely dependent on consumer behaviour. Consumers should be aware of the costs involved. A recent investigation by the Advertising Standards Authority has banned Wonga’s advertising, for misleading claims of ease of use and lack of consequences. It has also been flagged for marketing to children.
The rapid growth of the payday loan industry is not a sign of ethical practice, and Wonga’s behaviour is usurious and deceptive. It also contradicts principles of distributive and commutative justice. Despite the recent media attention, the moral criticism of payday lending is hardly new. Ancient societies condemned usury – the practice of charging interest on loans – as it conflicted with the duty of charity to the poor.
Availability
The ubiquity of payday loans like Wonga has raised several ethical questions. These questions concern the nature of payday lending itself, the practice of usurious profiteering and the use of negative externalities. These ethical concerns are not new; ancient societies condemned usury, the practice of charging interest on loans, a practice that was incompatible with the duty of charity to the poor.
The high interest rates charged by payday lenders like Wonga meant that many customers were unable to repay the loans. Wonga has been forced to spend millions to resolve claims from customers, and has entered administration.
