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With the increase in overall market size for payday loan borrowers – particularly since the advent of faxless payday loan borrowing online – it’s been a bit of the Wild West for any lender looking to set up a paycheck advance shop.

What newcomers to the industry didn’t anticipate are the security concerns of borrowers. Anticipating that as early as 2004, Dollarsdirect began laying the groundwork for providing several reassuring features to cash-strapped payday loan borrowers – and it’s paying off. The reassurances include:

Security technology – Borrowers are increasingly wary about providing employment or banking information online. But these are essential parts of faxless payday loan applications, based on having a job and a bank account where the cash can be sent overnight. VeriSign ensures that transmission of all personal information remains secure, while McAfee protects the borrower’s computer against viruses.

Third-party affiliations – The Better Business Bureau has rated the firm an A+ since November 2006, based on the length of time the firm has been in business, complaint volume, resolution of complaints and transparency. Additionally, the firm is a member of the Online Lenders Association, the Community Financial Education Foundation and the Community Financial Services Association.

State-by-state licensing – While consumers have not fully embraced the importance of meeting state banking regulations, as a firm CashNetUSA has strengthened its position with regulators by adhering to state lending laws designed to protect borrowers.

What drives this interest in payday loans security? Any incidence of viruses in the news will always cause concern among borrowers. But the nature of faxless payday loans is such that borrowers are hyper-alert to any compromise of their financial situation, therefore the combination of VeriSign, McAfee and the Better Business Bureau rating is a particularly strong feature.