Obtaining a payday loan is instant gratification for your immediate financial situation, but NEVER a good idea!
Generally, a payday loan allows you to access funds based on your next pay cheque or by giving title to your car. Payday loans are a very expensive way to manage your ongoing bills. The interest rates on payday loans are much higher than any other type of loan and typically run at about 59% plus you must pay additional associated fees!
Most people do not have a lot of information about payday loans and see it as extra money to pay bills. If you are already struggling to manage your money, you may be even more tempted to spend this cash advance on things that you don’t necessarily need.
Rather than turning to payday loans, it may be an option to speak with your employer about a small cash advance – typically granted without interest. Or contact someone qualified to help you deal with your debt.Previous: "10 Signs of Financial Problems" Next: "How is my credit score?"