Just take a walk downtown and everywhere you look there are cash loans offered to teachers, soldiers, workers, and students. It is so easy to walk into one and take out a loan, but do you know what you are getting into? If you are clueless, don't get that loan, not yet.
Easy to Borrow but Tough to Pay
Cash loans mean many things to many people. It could fund a planned vacation, a wedding gift, or a way out of a crisis. However, these easy loans come with long strings attached if you don't count the entire cost of loan should you default, or roll-over your loan. If you are contemplating a loan, do the numbers game and be honest about your finances. Unless of course, if it's truly a serious problem and you can't get a loan from family and friends, go ahead and take out a loan.
During emergencies, cash loans provide instant solutions and these do not take time to get approved if you meet the requirements, which are almost the same with different lenders. A checking account, proof of employment, and a minimum monthly wage are the basics. One more thing, no credit checks are made because your check serves as collateral for the loan. You can get a loan even if you have poor credit and If you pay your loan in full on due date, you are welcome to more loans in the future.
Difficulties arise when cash loans are not paid on time. There are extra charges on top of another fee asked for every $100 unpaid. One default, you can never get out of the debt cycle, which wouldn't have occurred had you stuck to your initial resolve to pay off the loan on time. This is where many borrowers fail. They repeatedly roll-over their loans and there is no end to the roll-over cycle.
Handle That Loan: Pay it Next Payday
When you applied for a loan, you had all the intention to pay it back immediately on the next payday. But before the next payday arrives, you find yourself in another emergency. This is a dilemma borrowers often find themselves in which complicate their finances. If caught in this jam, don't panic for more cash loans. Negotiate for an extension period until you can get a new loan - not a roll over loan; you might be given a break.
Debts should be top priority in your budget, especially high interest loans. If it means you have to live without the little luxuries that make life bearable, then do so rather than having to pay that old loan for years because short-term loans have very high interest rates and these can balloon to thousands of dollars; way beyond your means to pay.
If the two weeks after paying your loan means having to forego shopping or slashing your grocery budget, take the bitter pill. Just ensure you have enough for cash to commute to work daily and there's food on the table even if it is just Mac and cheese for two agonizing weeks.
Ask friends about their cash loans. They'll tell you to pay it outright. Compared to years of being in hock, two weeks of sacrifice is heaven. Now you understand why it pays to handle these loans with care.
Money Loans Company - Payday Loans and Cash Advance
20 Eglinton Ave. East
Toronto, Ontario, Canada