This post was written in collaboration with MYJAR
Many of us are now probably accustomed to working in minus figures when it comes to organising our incoming and outgoing financial resources. Many people have mortgages for large amounts that will take most of their working life to pay off. The same goes for higher purchase agreements for that new car, agreed overdraft facilities with your bank to cover the end of each month and the wallet full of credit cards. This type of attitude to personal finance is now part and parcel of modern living.
The trick is in being able to benefit from it all, use these facilities to improve our situation and not to let it get beyond our control. This takes a personal management system, regular action to make sure that deadlines and payments are met to avoid added administration charges or increased payments, and a regular and reliable income.
The trend at the moment is to opt for a small instant loan that will cover the particular problem, be it a car repair or birthday gift, for more information on this you can visit this site. These are often referred to as “Payday loans”. They typically have to be settled within the month and for amounts under £500. Although the interest rates are high, prompt repayment can mean that you can borrow again straight away. It is estimated that nearly 2% of the population now use this system on a regular basis, rather than have credit card debt that mounts up without realising it.
There are some very important questions you must ask yourself before entering into any form of borrowing, these may be obvious. However, at the moment that you desperately require cash to cover something, it is easy to convince yourself that you can control the situation.
- Do you have an income that will allow you to repay within the time required?
- Do you have a good idea of what you actually spend per week/month?
- What other large expenses are likely to occur in the near future?
- Do you really need to spend this extra money; is it a whim or a necessity?
- Is there anything else you can cut down on, to balance out this loan?
Having made a balanced judgement, it may be that a quick cash loan is the answer and that you can cover repayments, as opposed to dealing with long term bank loans. If this is the case then be sure to check all the small print, keep within the time spans and don’t use it as a short-term solution to any long-term financial problems you may already have. You should seek relevant information on it though – and this website can help.