Don’t get me wrong, it’s great knowing that you have an emergency cash loan source that will deposit funds into your account when needed. It usually only takes a day, if that, and then you’re able to pay all your bills. But what happens after that? It becomes difficult to pay the loan back. You have to really make sacrifices just to make that loan payment, and you have to do it more than once.
You only get the funds once, and they are gone fast. What am I trying to say? I’m saying that it’s quite obvious that these emergency payday loans should be short-term solutions, and only if they are absolutely needed. The front end of the arrangement seems so appealing, but the duration of the loan can be very taxing. One of these loans can hinder your finances for months.
Ask yourself this question: Will you be dealing with the problem that you’re facing in a week? If not, if there is another way to solve the problem, go for it. Is this problem important enough to take care of immediately with an emergency cash loan? If so, then maybe your next step is to go ahead and take out that loan.
When you do decide to get a loan, do you know which company is going to give you the best repayment terms? If not, you definitely have some searching to do. It shouldn’t take long, however, if you know what you’re doing when you look. Look for loan companies that are direct lenders that service your location. If you run into those lender matching services, you’re going to want to keep looking.
When you do get the funds into your account, don’t get big eyes. Use them for their intended purpose, and manage your money well in general. Each paycheck, set aside the loan payment but take things a step further if possible. Either pay more to get the loan paid off faster (if that is an option) or put that extra money back into a savings account.
Either way, you need to be saving up an emergency fund so that you don’t go through this again. If you turn around and get another one of these loans later, you’re going to be in this for the long haul, not getting anywhere financially. You want to grow your finances.