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If you have been caught out by an unexpected emergency, it can put pressure on your bank balance. Across the UK many people need to borrow small amounts of cash to cover emergency expenses, with payday loans providing a potential option. If the expense cannot wait until payday, there are a variety of payday lenders which may be willing to consider your loan application.

The demand for relatively small loans for short periods of time has led to the availability of many payday loan direct lenders. This means it is possible to compare direct lenders to find the best payday loan for your individual situation. As a borrower, it is possible to apply for a loan directly to the payday lender, or via a broker which acts as an intermediary.

What is a direct lender payday loan?

A direct lender offers payday loans for relatively small amounts, which are then repaid in full on the borrowers next payday. In many situations, the loan term is less than two weeks, with the amount borrowed being just enough to cover the financial emergency. They are designed for short term financial issues and should not be used as a long-term form of borrowing. In many situations, payday loans from direct lenders can be processed very quickly, with the cash often released within minutes.

The speed and accessibility of these payday loans make them a popular choice for those who have been caught out by a financial emergency. In general, payday lenders offer higher acceptance rates than traditional bank loans, however, all borrowers will still have to pass various affordability assessments. If you have a poor credit history, the payday loan lenders will still need to complete a credit check and the results will be important, however, they will also consider the affordability of the loan during processing.

Which is the best payday loan direct lender?

There are many direct lenders to choose from, so you need to make sure you apply for the right loan for your situation. The best payday loan will be the provider which offers the ideal loan for your individual requirements. A transparent and trustworthy lender will treat all customers fairly and equally, with applications processed responsibly. 

One of the first things you should check when comparing lenders directly is whether they are authorised and regulated by the Financial Conduct Authority. An FCA authorised lender will follow strict guidelines, which are designed to regulate the industry. There are various rules which must be followed, such as maximum interest rates of 0.8% per day and a maximum late payment fee of £15. The regulations also ensure that customers do not have to repay more than double the amount originally borrowed.

In addition to being authorised and regulated by the FCA, there are various aspects which you should consider when deciding where to apply, starting with the lender’s specific eligibility criteria. In general, lenders will require borrowers to be aged over 18 and a UK resident with a regular income. You will also need to hold a UK bank account which your salary is paid into as if your application is approved the funds will be transferred to this account. The majority of lenders will then take the repayment from this account automatically too.

All lenders will be looking to see whether the income you receive each month is enough to cover your regular outgoings and the loan repayment. The minimum income amount accepted between lenders does vary, so comparing the various direct lenders will help you find the loan most suitable for your needs.

The interest rate will determine how much the loan costs, so this is one of the key factors which you should compare. The fees and charges can also vary, so take note of potential fees relating to your loan, such as missed payment and loan arrangement fees. In addition, if you are looking for a loan it is likely that you need the money quickly, so consider factors such as the speed of application and processing times.

Can I get a payday loan from a direct lender with a poor credit history? 

There are lenders which offer payday loans to those with a bad credit history, as several factors are considered when your application is processed. Your credit history will always be important; however, lenders will also consider your current financial situation, your regular income and the amount you are looking to borrow.

Your credit score is an indicator of your creditworthiness, however, unlike traditional lenders, a low score does not necessarily mean your application will not be considered by payday loan direct lenders. If you have a poor credit history but are looking to borrow a small amount, which it is clear you can comfortably afford to repay, your application may be considered.

It is important to only apply for a loan which you know you can afford to repay in full on your next payday, without causing financial difficulties. Financial emergencies can occur at any time, so borrowing and repaying a loan in full this month could leave you short if another emergency crops up next month. Responsible lenders will base their affordability calculations on several key indicators; however, you should only borrow the exact amount you need.

If you make multiple applications to various lenders, this could have a negative impact on your credit file. Each time you make a direct loan application the lender will complete a hard credit check, which will leave a mark on your file. Each time they run a credit check, they will be able to see the checks which other credit providers have carried out. Too many applications with hard credit checks in a short period of time may indicate that you regularly struggle financially, which could make it more difficult to obtain credit in the future.

Approaching a lender directly will allow you to compare the options available to you quickly, however, you should not rush into an application. If you have a poor credit history and are thinking of applying to a lender directly, you should always check whether you meet the lender's eligibility criteria first. Alternatively, loan brokers have relationships with multiple lenders and can use the details you provide to quickly match you to a lender which is willing to consider your application.

Do payday lenders charge higher rates of interest?

Payday loans tend to be offered with relatively high-interest rates compared to traditional lenders. As these types of loans tend to be borrowed by those with a poor credit history, the risk of non-payment is higher and the interest rates reflect this. In addition, the APR is calculated based on payday loans being repaid over a 12-month period, which is not the case with these short-term loans. 

Despite higher interest rates, if the payday loan is repaid on time, they can cost less overall than an instalment loan. Although an instalment loan will offer smaller repayments each month and lower interest rates, the increased term can result in more interest being paid over the course of the loan term.

Do CashFlex offer payday loans?

As a broker our aim is to help you find the loan you need, so we have partnered with a variety of lenders. Although it isn’t possible to apply for a payday loan through our website, it is possible to apply for a loan of £100 to £5,000, with repayment terms of 3 months to 3 years depending on the amount you choose to borrow. If you are looking for a relatively small amount of less than £1,000, our lenders offer terms of 3, 6 and 12 months.

Simply complete our 2-minute online application form and we will aim to match you to a direct lender which offers the exact loan you need. We pass your details across to potential lenders, who will complete a soft search of your credit file. If a lender is willing to consider your application, you will have the option to complete a direct application form on their website.

If you decide to proceed, the lender will complete a hard check of your credit file which will leave a footprint. The information from your credit report and the details you provide during the application will be used to assess the affordability of the loan. If the lender is willing to approve your loan, you can sign the loan agreement online and the funds could be sent to your bank account in minutes*. However, the processing speeds of your individual bank may impact the availability time of your cash.

As a broker, we are committed to matching you to responsible direct lenders which are authorised and regulated by the Financial Conduct Authority. If you are struggling to manage your finances and regularly run out of cash before payday, there are several organisations which could help. The following offer free and impartial financial advice; The Money Advice Service, Step Change, PayPlan, National Debtline, the Debt Advice Foundation and Citizens Advice.

Try our FastCheck tool with no impact to your credit score

Our tool allows you to calculate your chance of being accepted for a loan.

You are age 18 and a UK resident

You have a regular income from employment

You have a valid UK bank account with an active debt card

Why choose us

Sometimes, the unexpected happens that means you need money fast. Here at Cashflex we offer a user friendly process to help you find same day loans in a responsible and affordable way.

How much can I borrow?

The exact amount you can borrow depends on your personal circumstances and can differ by lender. You can apply for a loan between £100 and £10,000

What are the repayment terms?

This is dependent on the amount that you wish to borrow. The repayment terms can be: 3 months, 6 months and 12 months to name a few, ranging right up to 36 months.

Can I apply for a loan with bad credit?

Yes. If you are unsure you can use our FastCheck tool to find out your loan eligibility.

Can I repay in instalments?


What will I need to get a short term loan?
Can I get a short term loan?

Over 18

You'll need proof that you are over 18.

Bank Account

Hold a valid UK bank account.


Have evidence of a regular income and UK residency.

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Representative example: Amount of credit: £1000 for 12 months at £134.94 per month. Total amount repayable of £1,619.26 Interest: £619.26. Interest rate: 99.9% p.a. (fixed). Representative 99.9% APR.

We’re a fully regulated and authorised credit broker and not a lender.