Checks by

At PMLoans, we offer instalments loans over 1 – 12 months which are repaid in flexible and equal monthly instalments. We always run a series of credit and affordability checks before transferring funds to our customers within 1 hour.

As part of our commitment to responsible lending, customers need to meet the following criteria to be eligible for a loan:

  • Minimum 18 years of age
  • UK Resident
  • In current employment and take home a minimum of £750 a month

What affordability checks do we do?

Affordability checks are important to match the amount a customer wishes to borrow with what they can afford to repay. If you have been provisionally accepted, your application will go to our underwriting team who will assess your suitability for a loan using the details you provided. One of our underwriters may get in touch to confirm employment and may also request a proof of current employment. This will allow us to confirm your salary and then match how much you have asked to borrow. Finding out exactly what you earn lets us know how much you can afford without compromising your financial situation.

Failing to carry out adequate affordability checks may cause the lender to:

·         Grant a loan to someone who is unemployed

·         Loan to someone with too many expenses

·         Lend too much to a customer when they are better off borrowing a lower amount

What credit checks do we do?

We work with credit reference agencies including Credit Kudos, Lexis Nexis and Transunion to run credit checks to better understand a customer’s suitability for a loan with us. A credit check presents a score which gives an indication of how well the customer has paid various forms of credit in the past including mobile phones, credit cards and loans. Not keeping up with repayments will cause your credit score to drop whilst repaying your bills on time will maintain your credit score and even improve it. High cost short term loans should not be taken out with the sole purpose to improve your credit score.

How applying for a payday loan affects your credit score?

Applying for a payday loan will be noted on your credit file leaving something called a ‘footprint.’ The footprint is visible to other vendors if you consider making further applications for other financial products. However, the footprint disappears in the space of 12 months.

Not keeping up with repayments on your loan will cause your credit score to drop whilst repaying on time will not worsen your credit score.

Responsible lending is dedicated to responsible lending . By always running credit and affordability checks and having a strict criterion, it allows us to find the most suitable customers for the specific loans that we offer.  Our underwriting team will consider the individual circumstances of every customer with the intention to match what they wish to borrow and what they can afford to repay.

As part of our commitment to responsible lending, we encourage you to use sensible alternatives if they are available. Think about trying a credit union if you’re a member, or using an authorised overdraft if you have space on it. Credit card funding, a company loan or simply friends and family could all still be a cheaper option. However, if you’ve exhausted all of these we’re pleased to offer as a viable, responsible alternative.