How are payday loans different from other loans?

The main difference between payday loans and other loan types is the amounts you can typically borrow and the period you have to pay back. Payday loans are usually for lower amounts, generally up to £1,000 and are paid back over a shorter period, usually one to 3 months. Payday loans also have a higher annual percentage rate, or APR, when compared to long-term loan options.