Have you ever reached a point in your life where you absolutely need a large amount of cash and you've exhausted every available option? You've tried to borrow from family, use credit cards, and even sell a few possessions, but you're still coming up short - that's when you know it's time for a payday loan. This is a great resource in times of need, but should really only be used in the worst case scenario. Sure, you may be tempted to take out a small advance so you can do some shopping over the weekend or purchase a big ticket item, but that typically leads down the path to debt. If you're not financially responsible, taking out multiple loans can eventually cost you a lot of money. Some people find themselves overwhelmed by unsecured debt, but you can avoid that by only borrowing what's necessary and having a plan to pay it back. Here are some common situations where a payday loan might be useful as the worst case scenario.
- Let's say you're already a day late on rent and you don't receive your paycheck for five more days. Depending on your landlord's policies, you could get charged late fees for every single day you're late. That could easily add up to over $100 in late fee charges, so it makes to sense to avoid them when borrowing. The interest will almost certainly be less than the late fees and you won't be marked with a late payment.
- At some point in everyone's life their car breaks down. You take it to a mechanic and find out the repairs will cost you over $400. Like most people you don't have that kind of cash lying around and you've maxed out your credit cards. To make matters worse, you need your car to get to and from work or school, so those repairs need to get finished quickly. It really is the worst case scenario and that's what payday loans are meant for.
- Another common problem that tends to sneak up on people are hospital or doctor visits. You can never predict when you'll get sick or injured, but you can't let money get in the way of your health no matter what the cost. Even with a decent health insurance plan, a trip to the hospital can cost upwards of a $1,000 and while some hospitals may be willing to work out a payment plan, others aren't so generous. A payday loan gives you the flexibility you need in this difficult scenario.