Greenwood loans were doorstep loans. It was founded in 1877 and merged with Provident Company ten years after, in 1977, another doorstep loan company. The representative APR of Greenwood loans was 49.9%.
However, the actual interest rates depend on your financial circumstances and credit scores into the bargain. However, when the lending authority came into the hands of Provident Company, the APR rose relatively higher. Yet, the doorstep lending services from Provident were very popular among borrowers. Unfortunately, the company had to stop the lending business on 31 December 2021.
The lender had to halt the lending business abruptly for a couple of reasons. Still, one of them was that the company failed to gauge the true financial condition of borrowers and ended up lending more than their affordability, which pushed them into a debt cycle.
Well, you do not need to worry if you are unable to apply for doorstep loans from such companies only because they have stopped dealing. There are various other lenders that provide you with doorstep loans and, surprisingly, at lower interest rates.
Lenders that provide affordable doorstep loans
Here are the lenders you can reach out to if you are looking for doorstep loans:
24CashFinances is the most famous lender when it comes to borrowing money for small emergencies. The USP of this lender’s products is that they are known at a lower interest rate. Regardless of your credit score, your credit history and repaying capacity will be assessed before signing off on your application so you do not face any difficulty paying off the debt. The doorstep loans provided by 24CashFinances are similar to greenwoods loans.
The only difference is that 24CashFinances charges lower interest rates. The repayment term will be decided based on your financial capacity. If the loan amount is too small, you will repay the debt in a lump sum, and if the borrowing amount is large, you will pay it down in weekly payments. The lender can let you borrow up to £2,500.
Another popular lender providing doorstep services is MyLenderLoans. The application process is smooth. You will get a decision in principle in minutes, and the loan will be delivered to your doorstep at your scheduled time. This lender runs a soft credit check, so there is no reason to bother about losing your credit points. The minimum amount you can borrow from MyLenderLoans is €1,000.
If you are a first-time borrower, you can borrow up to €3,000. You will repay the debt over a period of two years. The lender’s agent will hand in and collect money on your doorstep. However, if you are an existing borrower, you can get money up to €5,000. The repayment length will be up to 36 months.
EasyCheapLoan is a reputed direct lender in the UK that offers doorstep loans with a size of up to £5,000. The repayment length can be short or long, depending on your repaying capacity and the borrowing sum. This lender differs from others because it also provides doorstep service to unemployed people.
You can get approval for these loans based on unemployment benefits. If you have an additional income source, like a part-time job or freelance income, you can use those income sources to get approval. Make sure to have a strong credit report to get doorstep loans when you are unemployed.
However, it does not mean you cannot qualify for these loans when your credit rating is bad. The lending amount will be restricted, and so will the repayment length. However, the repayment term of these doorstep loans could be up to 6 months, not more than that. You do not need to arrange a guarantor, nor do you need to put down collateral.
EasyAdvanceLoan also provides doorstep loans at the most affordable interest rates. The processing of these loans is very fast. You will get money on your doorstep the same day you fill in the application form.
However, the representative of your lender will fix a meeting at your home in the comfort of your scheduled time. The loan amount starts from £500. Based on your financial needs, credit score and repaying capacity, it can be up to £5,000.
What should you bear in mind?
Although the aforementioned lenders provide doorstep loans at lower interest rates than Greenwood and Provident, you should still bear the following points in mind in order to avoid taking on too much debt and struggling with payments.
- Doorstep loans can still be expensive as you will have to pay fees for using doorstep services. The amount will be quickly added if each instalment is to be collected on your doorstep.
- Doorstep loans most commonly involve small amount and, therefore, are expected to be paid back in full on the due date. You must have a budget to clear the dues without struggling with other monthly expenses.
- If you are taking out a doorstep loan when you are unemployed, make sure it is an urgent expense that you cannot put off. At the same time, carefully examine your budget. If you cannot repay the debt on time, you will severely damage your credit rating and finances.
- If you find doorstep loans very expensive, you should consider other alternatives like loans for the unemployed, bad credit loans, no guarantor loans, unsecured loans and Christmas loans. These loans can help fund a gap in your savings without costing too much money.
The final word
Greenwood and Provident lenders have ceased their operations, but you can get doorstep service from other lenders. The good news is that they provide these loans at lower interest rates than Greenwood and Provident. You can also get a loan with a higher sum of money.
However, you still need to be cautious while applying for these loans. Doorstep loans involve doorstep service. It can add up your debt. Make sure you will not have difficulty paying off these debts. Try to consider other loans and compare interest rates before making a decision.
Emma Anderson is a highly accomplished Editor-in-Chief at 24cashfinances, renowned for her exceptional expertise in the finance industry. Holding degrees in Finance and Marketing, Emma has developed a deep understanding of the financial landscape, particularly when it comes to loans and personal finance.
Emma’s professional journey began as a financial analyst, where she gained hands-on experience in evaluating market trends and analysing investment opportunities. Emma’s enthusiasm for writing and her goal to educate and give individuals a voice motivated her to move into financial journalism. Her work has been published in popular magazines and she has produced thought-provoking pieces on various financial topics.