Skip to main content

Sometimes, but not always, a lender will contact your employer. This communication is typically very discrete, and the lender will not let on why they are reaching out. They are simply trying to verify your identity and employment status to check you are eligible for your payday loan

Do not be alarmed and worry about conclusions your boss could jump to. Even some credit card providers call your employer to confirm you are employed, so it’s not unusual for employers to be contacted. 



Your lender will have your employer’s details and could get in contact for a number of reasons.


Why Does My Employer Need To Be Contacted?


1.To Prove You Are Employed 


Although it is possible to get a loan with no income, many lenders require you to have an income of at least $500 or $800 a month to be eligible for a payday loan. Therefore, a lender may need to get in touch with you while working to verify your employment.

If your lender calls your workplace and can get through to you, this allows them to confirm that you work there. Sometimes they won’t even ask to speak to your employer, but simply ask to be put through to you. 


2.To Confirm Your Personal Details 


Once you have submitted your details to a lender, they will want to verify this information. For example, they will want to double check how much you are looking to borrow and how long for.

This often takes place over the phone, and if they can’t get through to your mobile, they may try to reach you at your work number.


 3. If You Fail To Make Repayments


 If you have diverged from the planned repayments on your payday loan, your lender will contact you. If you do not answer their emails or calls to your personal number, they may try calling your workplace.


Are There Other Ways to Confirm My Employment?


Yes, there are. If your loan application is being processed, you can show a pay stump or a copy of your bank statement. This verifies your employment and income status. 

Some lenders do not require proof of employment and do not contact employers. Some, however, might require proof of income and this is where sending documentation can help.


Can I Stop A Lender Calling My Employer?


Yes, if a payday lender or short term lender is calling your employer because you have skipped repayment, speak to the lender and remove the need for them to call you at work. Read our helpful guides to understand your rights with your lender

If you cannot make the full repayment that month or are behind on your collections, you can request an adjusted repayment plan. This is called an Arrangement To Pay, and is usually smaller repayments over a longer period of time. 

Calling your employer is usually a last resort, so if you have been avoiding emails, calls to your cell and letters – well, they are probably going to call your employer next.



By reacting to your lender’s emails or calls, you prevent them from calling your employer.


Could I Go To Court If I Don’t Repay My Loan?


While it is rare, yes, you could end up in court for not paying your debts. Prior to this, you usually would have been contacted by your lender, and their legal counsel. Going to court is a last resort. 

If you are summoned to court, it is essential that you go to your hearing. Failing to turn up could mean that the lender automatically wins the case, simply because you are not there. It is always in your best interest to show up to a court date.