Learnbonds UK

Wizzcash Loans Review – READ THIS BEFORE Applying!

04. November 2019

Finances are not always smooth sailing. This is one of the toughest lessons in life. If you happen to find yourself in a rough patch, a payday loan from Wizzcash Loans could sound like your perfect solution.

But before you rush to sign up for the service, how well do you understand it? We have undertaken a thorough review of the platform to help you determine whether it is the best choice for you.

Our review takes a look at the important features of the platform, as well as its highlights and downsides.

Read on to find out everything you need to know about the lender then make an informed decision whether you’ll get a loan from it or not.

Wizzcash is both a direct lender and a broker. When they are unable to offer you funding, they match you to alternative lenders, with your consent. They have been in the market for a long time and are a regulated entity with a focus on responsible lending.

What is Wizzcash Loans?

Wizzcash functions as both a direct lender and a broker service. Founded in 2012, the lender operates on a simple model for responsible lending. As direct lenders, they communicate with you directly without any intermediaries.

But if they are unable to offer you a financial solution, they act as brokers to match you to an alternative service provider, with your consent.

Wizzcash is a trading style of Emergency Cash Ltd. and is authorized and regulated by the Financial Conduct Authority (FCA). They are also members of the Consumer Credit Trade Association (CCTA).

During the length of their existence, they have provided over 26,000 loans to assist borrowers out of emergency financial situations.

Pros and Cons of a Wizzcash Loans Loan

Pros

  • Offer both direct lending and brokerage services
  • The site has a quick quote feature using which you can get the estimated cost of borrowing before applying
  • Their online application process is simple and straightforward
  • They do not charge early repayment fees
  • You can get loan terms of up to 36 months when using their brokerage services

Cons

  • On their eligibility criteria, they set a monthly income minimum
  • They charge late repayment fees
  • They offer low loan limits
  • Loan terms are considerable short

How does a Wizzcash Loans loan work?

Wizzcash Loans seeks to offer a transparent and seamless service to customers. Not only do they outline their fees and costs clearly but they are also one of very few lenders to introduce their team to customers on the website.

Between the team members, they have almost five decades of experience in the financial services industry.

As a direct lender, they offer loans ranging from £200 to £1,000. The typical repayment period is 3 months, during which you pay back the loan plus interests in three equal installments. You may however also opt to make the repayment in one lump sum.

While most payday lenders are more focused on giving out credit and raking in profits, this lender shows evidence of responsible lending. They do not offer continuous lines of credit that have been known to foster poor financial habits.

Additionally, they do not charge early repayment fees as they want to encourage healthy habits. There are no hidden charges for accessing funding on the platform. And if you make a late payment, you will have to pay the penalty, which further reinforces responsibility.

Before approving any loan application, the lender undertakes multiple credit checks. The aim of this is to confirm beyond doubt the creditworthiness and suitability of candidates. Only when they feel confident that you can afford to make repayments do they approve your application.

They highlight the fact that FCA regulations require mandatory credit checks on borrowers applying for funding from authorized lenders. Therefore, they advise borrowers to avoid lenders who do not perform credit checks.

The application process is 100% online and there are no phone conversations required. Filling in the required details should take no more than 10 minutes as it is a simple and straightforward application form.

Similarly, you can get a provisional decision almost instantaneously following submission of the application. If your application is approved, you can receive funding on the same day.

Before you fill out the application, you can use the platform’s online calculator to get an estimate cost of the loan. Simply select the loan amount you require and it will give you an estimate quote for the repayment amounts. Payment will be due every 30 days and you will get the exact interest amount as well as the total repayment amount.

When acting as a broker, they offer even greater flexibility as they get access to a wide pool of potential lenders. They will try to find a suitable match for you using the information you provide. The loan term in this case will range from 1 to 36 months.

Alternative, when they are unable to offer you their services, they might connect you to a loan comparison website. On such a site, you can assess the different lending companies in the UK and find one better suited to your needs.

They might also help you by offering you access to credit report companies. Here, you could get the opportunity to understand how credit ratings work. With this information, you might be in a better position to make an informed credit decision.

Wizzcash services are not limited to applicants with good credit ratings. They also offer loans to people with poor credit or no credit at all. In order to do this, they assess affordability on the basis of your monthly income and outgoings.

Like most other loan service providers, they collect repayments using a continuous payment authority (CPA). When you authorize a CPA, you are basically giving the lender permission to withdraw money from your bank account.

They use the debit card information you provide to collect funds on the due date. In case they fail on the first attempt, they will make a second attempt later on the same day. But in case this fails too, they will not make any additional attempts unless you give express consent.

Though the lender is strict on responsible lending and making timely repayments, they understand that things do not always go as planned. Therefore, if you realize that you will not make a repayment on time, they offer an opportunity to talk things out.

Simply call the support team before the due date and together, you can work out an alternative repayment plan.

What loan products does Wizzcash Loans offer?

Wizzcash offers payday loans. According to the standard definition, these are usually low-value loans (not exceeding £1,000) with short repayment periods. Typically, you would need to pay it back by the next payday, which explains the name.

But the lender offers a slightly more flexible approach to their offering, with a longer repayment period of up to 90 days.

What other store services does Wizzcash Loans offer?

The lender does not offer any other store services.

Wizzcash Loans Account Creation and Borrowing Process

1. To get started on the application process, visit the Wizzcash website. Specify the amount you want in the box on the right side of the screen and then click on “Get Started.”

2. Start by filling in your personal details which include your name, date of birth, marital status, number of dependents and whether or not you are a UK resident.

3. Next, enter your address details starting with the postcode, how long you have lived there and your residential status.

4. Next, enter your contact details which include your email address, home phone number and mobile phone number.

5. Fill in the loan details, specifying the amount, length or term, purpose and your repayment plan.

6. Click “Continue” to get to the next page and complete the application process, then submit the online form.

You will only need to wait a few minutes to get a response in most cases. And if approved, you could have the funds in your account in a matter of minutes. In case of a delay, the funds typically reflect in your account within 1 business day.

It’s essential to be cautious during the sign up process for these products. This is because you can end up owing two to three times what you borrow on the longer-term loans, and many have difficulty repaying the short-term loans without reborrowing.

Eligibility Criteria for Wizzcash Loans Loan

In order to qualify for a loan on the platform, here are the requirements you need to meet:

  • Be more than 18 years of age
  • Be a legal resident of the UK
  • Be currently employed
  • Have a minimum monthly income of £750

Information Borrowers Need to Provide to Get Wizzcash Loans Loan

Wizzcash makes use of a simple application process and only requires the following information from you:

  • Name
  • Date of birth
  • Email address
  • Phone number (mobile and home)
  • Postcode
  • Number of years at residence
  • Residential status
  • Marital status
  • Number of dependents
  • Purpose of the loan
  • How you plan to repay the loan
  • Bank account details

Following the submission of your application, they might require additional information for identity verification. If that is the case, they will request for more data or supportive documentation.

What countries are accepted for Wizzcash Loans loans?

The lender offers services all over the UK.

What are Wizzcash Loans loan borrowing costs?

Wizzcash seeks to be transparent and lays bare all costs before you sign the loan agreement. Here are some of the costs you might expect to pay:

  • Late payment fee – £15
  • Fixed interest rate – 292% per annum
  • Daily interest rate – 0.8%
  • Representative APR – 1,265%

Representative Example:

  • Total loan amount – £300
  • Loan duration – 90 days
  • Installment amounts – £151.42
  • Total amount repayable – £454

Wizzcash Loans Customer Support

Wizzcash has a friendly team behind its services and has taken the pains of introducing team members to the customer. They offer support services over the phone and email, both of which are only accessible during work hours from Monday to Friday.

There are very few online reviews about the platform. The few that are there on TrustPilot are all negative but are not related to customer support.

Is it safe to borrow from Wizzcash Loans?

Wizzcash Loans is regulated by the FCA and is a member of the CCTA. They also make use of advanced encryption protocol with SSL certificates to protect user data.

Though they may share your information with third-party lenders in case they do not approve your application, they only do so after you give express consent.

Wizzcash Loans Review Verdict

Wizzcash Loans is one of few lenders who seem to care about the impression customers have of short term lenders. With this in mind, they attempt to offer a different service model to alter this perception.

They are strict about the approval process and loan repayment. Moreover, they carry out thorough identity, affordability and credit checks on all applicants. In the spirit of responsible lending, they do not offer loan extensions. And they charge for late repayments.

When they cannot offer you their services, they will refer you to other lenders or comparison sites.

Their loan limits and loan durations are very low and the rates are high, as is typical of similar lenders.

But overall, if you have no other way out of your financial fix, they might be a reliable choice.

FAQ

Does Wizzcash contact my employer?

Wizzcash will contact your employer but not to discuss your loan application. They will only verify that you work there but will never discuss loan application details. They might also call your workplace when unable to reach you on the contacts you provide.

Do I need to send any documentation?

In most cases, you will not need to send any documents as the application process is 100% online. But they may request for backup documentation in some cases for verification purposes.

What happens if they decline my application?

The lender will pass your details to a third-party lender who might be a better fit. But if you do not want this option, simply close the window.

Can I apply if I have a bad credit history?

Yes, you can. However, note that the lender will take this under consideration too before loan approval. In case they decline the application based on the credit score, they will let you know and refer you to a reference agency.

Will a loan from this lender affect my credit history?

Yes. We will perform a credit check before approval which will affect your score. Similarly, your repayments may affect the score for better or worse.

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Nica is a BA Political Science degree holder who fell in love with writing after college. She specializes in financial technology and cryptocurrency. At her young age, she was already able to work with founders who graduated from Harvard, tech startups funded by Y-Combinator, CEOs of multi-million dollar blockchain companies, investment companies in London and many more.

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