Apply now
  1. Home
  2. How it works
  3. Loan guides
  4. Payday loans

Payday loans

If you need to borrow money and you’re thinking of getting a payday loan, you may want to consider other options first. While they are easy to set up, a payday loan can escalate into a problem debt quickly. It can also negatively impact your credit rating if you don’t make your repayments on time.

What is a payday loan?

A payday loan is a type of short-term loan that is designed to cover you until your next payday. You will then repay the full loan amount and interest when you next get paid.

How do payday loans work?

Payday loans work similarly to other types of loans, in the sense that you apply, and the money is paid straight into your bank account. However, payday loans have a reputation for extra charges. Payday lenders usually add on additional interest and, in some cases, roll the loan over meaning that they could lend you even more money to cover the repayment. A lender can only roll your loan over twice though, charging extra interest as it goes along. This is how some people can end up with substantial debts that become unrealistic to repay and the debt becomes unmanageable.

Is a payday loan right for me?

A payday loan is almost definitely not the answer if you need money for:

  • Household bills
  • Rent or mortgage payments
  • Repaying debt from other lenders

An alternative to payday loans

If you’re thinking of getting a payday loan, you may want to consider an alternative option of a Morses Club doorstep loan. Also known as home collection loans, our doorstep loans are small unsecured loans, organised face-to-face with one of our local Customer Support Associates. Alternatively you can apply online and make repayments via our Customer Portal. We don’t charge anything for late or missed payments, meaning that if your circumstances change it won’t cost you anything extra. With a Morses Club loan, we make it clear from the very beginning how much you’ll pay back with no hidden charges or fees.

You can apply online using our online application form. You will receive a response within minutes letting you know if you’ve been approved in principle for your loan. Once you’re initially approved your local Customer Support Associate will contact you to discuss visiting you and finalising your application. You could have your loan in a matter of days. You can also keep track of your application on the Morses Club Customer App

If you think a doorstep loan from Morses Club might be the payday loan alternative you’ve been looking for, then apply now.