QuickQuid is a UK based short-term lender that will loan you money before your next payday.
As the financial hardship of many people increases (the UK economy is still pretty rocky), payday companies have enjoyed rapid growth. Unfortunately, this is in part due to the high charges levied if you do not pay on time.
Due to bad press, consumers have grown wary of short-term loan companies and rightly so, you should find out the facts before you borrow.
In this review, I examine whether it’s worth getting a few quid from QuickQuid.
“Is QuickQuid Fair? Or Are They Trying To Pull A Few Scams?”
As with other payday loan companies I’ve reviewed, you have a handful of people that accuse the company of being a scam for the following reasons:
- They think APR is an appropriate measure for the cost of a short term loan (it’s not) and are horrified by seeing this figure in the thousands. APR is suitable for long-term loans, not short-term. For a short-term loan, it’s better to look at the total repayment value that you’ll be given before you take out the loan. Lenders are legally obliged to show the APR.
- They’re upset when the company charges a late payment fee and adds interest at the agreed rate on late payments.
Are these viable reasons to call QuickQuid a scam? No.
QuickQuid is a legitimate and fully licensed UK lender and they do take reasonable steps to protect borrowers. For example:
- You’ll know how much your loan will cost before you apply
- You cancel cancel your loan within 24 hours if you change your mind
- QuickQuid provide 24 hour customer service
The rates at QuickQuid are in-line / slightly below the average, depending on your credit rating.
I don’t think it’s important to look at late fees as if you’re already thinking about it being late, don’t take out a short-term loan out in the first place. Please.
“What Don’t You Like About QuickQuid?!”
There are a few characteristics of QuickQuid that are questionable.
My major concern is that they give first-time borrowers a massive £1,000. That can go up to a even bigger £1,500 for approved, returning customers. Compare this to Wonga who only let first-time borrowers get a more reasonable £400 which may be gradually increased to £1,000.
I think lending £1,000 to first time borrowers put’s a large portion of people at risk of not making their payments. Many will be tempted by this generous offer while they may not have the means to pay it back. Not many people in the demographic they target have £1,000 disposable income after being paid by their employer.
Something else that raised concerns, which ironically is meant to reassure borrowers, was point number 8 on their consumer rights page:
Your Right Our Promise…
8. Know that you are protected | Follow all rules and regulations required by law
My thoughts: “Well I goddamn expect you to follow the rules and regulations anyway!”
“I’m Really Broke – What Are My Alternatives?”
Short term loan companies such as QuickQuid can be very useful when you have short-term cashflow needs that can’t be met elsewhere. However, it’s also worth checking out the rate you get at another established payday loan companies such as Wonga (you can read the Wonga scam review here).
However, if you are in ANY doubt that you will not be able to repay on time, do not even think about getting a payday loan – it’s just not worth it. You’ll get a bad credit rating and you’ll have to pay back much more than you borrowed.
Some of the alternatives are:
- Borrowing money from friends and family
- Selling stuff, try eBay or even a pawnbroker
- Making money doing stuff online (however, this may not be as fast as you’d need)
- Find out if there’s a credit union near you that may be able to help
To summarize, QuickQuid is a legitimate company and can be used if you have a short-term cashflow need and you know you can pay it back.
Had experience with QuickQuid? Or have thoughts on payday loans overall? Leave your comments below.