Whenever you apply for a payday loan you will always be asked for a range of personal details. This will of course include your current occupation, salary and address for verification purposes; however, you also need to provide banking information, often through the details on your card. Consequently, there could potentially be issues with the repayment if you need to replace your bank card during the lifetime of the loan – so what should you do?

Well, in this situation, the last thing that you want to do is to bury your head in the sand and hope everything blows over and resolves itself without any kind of intervention. If your bank doesn’t automatically redirect payments from your old card to the new one, then this could mean that any repayments are immediately defaulted. The consequences of any such issue could be surprisingly severe.

The major problem that you are likely to encounter is a charge from the lender. All companies are different and have their own unique fees for the service they provide, so there’s no way of accurately suggesting how much this could potentially be, although most are now over £20.

Assuming that the repayment has bounced back as a result of the issue with the card, and has nothing to do with a lack of funds in your account, then there should be no action taken by your bank. This is often the double jeopardy faced by many when they miss a payment. Not only do you get charged by the lender or utility company (depending on what the bill is for), but your bank might also slap you with a further fee to cover their own costs. So at least this should be eliminated.

As you will probably be well aware, any missed repayments will always be recorded in your credit report. Where mortgages and loans are concerned, a couple of defaults can have serious implications, particularly if you ever seek further credit in the immediate future. The damage that any such issue can cause will be eroded over time, but it is something that you should always seek to avoid whenever possible.

This is why it is so important that you don’t simply assume that your details will pass from one card to another during the course of a loan. If you lose it or your card gets swallowed by an ATM, contact your bank first and foremost, but also consider pending payments as there could be a knock-on effect.

It usually only takes a quick phone call or email just to raise the issue and find out whether any further action is required in order to avoid any negative repercussions. If you do need to do something, this will usually only involve relaying the new card details to the customer support team and then that should put the matter to bed once and for all.

Even if you don’t receive a new card in time, there’s no reason to panic. Again, contacting any lenders directly prior to your repayment dates can allay these fears. They may allow you to choose a temporary alternative method or come to another agreement. The most important thing is that you don’t fall into the trap of doing nothing and hoping for the best, even if you contact the company and find there’s nothing more that needs to be done, at least you have this reassurance.

So the best solution in any such situation is to deal with the problem swiftly, and ensure that any loan companies and other utility providers who may be seeking money in the coming days are made aware of the issue. It might prove to be a non-issue from the start, but it’s important that you don’t take any undue risks – particularly where your finances and credit rating are concerned.

Vincent Rogers is a finance writer who writes for a number of finance businesses. For payday loans, he recommends Paydaypower.co.uk

Vincent Rogers is a finance writer who writes for a number of finance businesses. For payday loans, he recommends http://Paydaypower.co.uk

Author Bio: Vincent Rogers is a finance writer who writes for a number of finance businesses. For payday loans, he recommends Paydaypower.co.uk

Category: Finances
Keywords: payday loans, same day loans, loans, UK, finacne