It sounds like we have another dangerous payday lender on our hands, and this time it’s Breezy Loans on the Sunshine Coast. Are they dodgy?
We think claims that they put on their website make them sound friendly and inviting. Today we’re going to reveal the real truth.
You’ve probably come across some slick advertising with things like “Quick finance today” or “You can easily apply online” – That sort of stuff to lure you in.
We don’t think it’s ethical to use Breezy Loans because payday lending can lead to nightmares including debt collectors and missed repayments.
How it works with Breezy Loans
What they’re trying to do is make a fortune off your misfortune. You’re having a tough time and you’re their cash cow.
Data reveals that the payday market is a billion-dollar industry. Check out this media release by Consumer Action.
So many people are going into a debt trap with these guys and it’s no different with Breezy Loans. In fact, it’s perfect for them with little upside for you.
In other words, all the odds are stacked in their favour. Welcome to their profit powerhouse!
Do you know what’s interesting? They claim not to be a payday lender to make them appear like the good guys, instead of offering personal loans.
Yet when you look at the hard data as they show on their website, it reveals a startling truth to the matter. Let’s have a look:
The maximum you will be charged is a flat 20% Establishment Fee and a flat 4% Monthly Fee. The maximum comparison rate on loans between $300 and $2000 is 199.43%. This comparison rate is based on a small amount credit contract of $1,000 repaid over 6 months.
Breezy Loans website retrived by The Debt Free Community in March 2020
That sounds just like a payday loan. Nice way to put makeup on a pig.
Or in other words, make it sound like it’s sexy to take out payday lending.
Unfortunately, it’s anything but glamorous apart from the owners of these establishments. They’re making all the money int he world.
Where the nightmare starts
The short-term money market is there to profit from your misery.
Where it starts is when you’re having a tough time financially.
Let’s say you’ve lost your job or maybe you had a bad relationship.
Now you want to get some quick cash to pay your overdue debts.
Unfortunately, it’s bad news for you. You’re going to be going back even faster on the hamster wheel.
Some people also take out such destructive financing to pay for an addiction. If that’s the case, then Lifeline Australia can provide free counselling and support over the phone right now.
Debt is a merry-go-round and downward spiral for many people. It’s a bad place to be in and the best way to combat this is by NOT taking out payday finance.
This is even when people like Breezy Loans claim them to be ‘personal loans’ which they aren’t. They are indeed expensive loans where you’ll be taken along for a ride.
Eventually, you realize that this whole experience has cost you a fortune and it’s made them even richer. Take from the poor and give to the rich, like a Robin Hood story in 2020.
Well done guys. Billion payday industry that continues to milk Australians for millions each month. Then you’ve got the Breezy Loans debt collectors who will start chasing those who didn’t keep up with those expensive rates.
Bad deal for borrowers and great for the big banks.
Alternative options
It’s always best to negotiate with your current lenders if you’re having financial difficulties. They can postpone your current repayments until you’re on top of things.
Another option we often recommend is to sell your unwanted stuff to come up with cash quickly. Things like your electronics or furniture can go on Gumtree.
Can you ask friends or family for a quick few dollars? While it’s a bit embarrassing to go down this route, it’s also a wise idea as you’ll avoid the excessive loan interest charged in the payday lending market.
One thing we can do is talk to debt collectors for you. If you are taking out a payday loan to pay off other debt, then this is a terrible idea.
Maybe you’re scared to talk to debt collectors? We can just talk to them for you and stop them from ringing, after negotiating on better repayment terms.
In summary
We’re totally against payday loans as the damage it does to people’s lives is catastrophic. They’re taking the needy and vulnerable in difficult times.
You can expect bad terms with anyone including Breezy Loans. Even if you did take out one of their more affordable personal loans, you’ll be hit with a 48% annual percentage rate. How is that even affordable?
We recommend that you pass on this and it’s evident with Breezy Loans Reviews that people aren’t impressed. This lender makes a fortune.
Instead, get on top of your existing situation with the recommendations we’ve given here. You’ll be far better off in the long run.
