Okay, so you have taken out an online loan and spent the money on something you needed. Great! Now comes the question: “How do I repay an online loan?”.

When you applied for your online loan, you indicated a loan repayment period. This period tells you how long it will take before you have to repay the lender, which could be anything from a few days to a few months.

Your loan instalment will go off via a debit order.  In other words, your lender will collect the money directly from your bank account as repayment. You also agreed upon a date that the money would be deducted from your account – which should follow directly after you have received your salary.

Depending on your agreement with the provider, you might only have the one instalment to pay, or you could have multiple instalments until your debt is fully paid.

The great thing about repaying an online loan this way is that it is less hassle for you.  All you have to do is make sure that there is a sufficient amount of money available in your bank account on the day that your instalment is due. The rest is automated – you don’t have to do anything further.

What if I don’t have the money?

Oh no, this will create a problem. You need to get in touch with your credit provider and discuss the best way for you to arrange to pay back what you owe them.  You just need to be aware that this could lead to penalty fees because you didn’t honour the agreement. Also, the longer you take to repay your debt, the more interest your loan will accumulate.

Can I repay my debt early?

Yes. You can contact your credit provider and arrange to make bigger payments or to repay all your debt in one final instalment.

Repaying your online loan isn’t that hard. Simply make sure you keep up your end of the deal and you won’t have to worry about a thing!