This is never a question you want to ask, but it does happen. Many people intend to pay back their payday loan right on time, but circumstances arise and they are not able to. So what options does this leave you with? You still have to pay back at some point. You do not want to be stuck with that helpless feeling for very long. The following are some of the things you can do if you cannot pay back on time.
That Helpless Feeling
People generally have the intent on paying back a payday loan on time. But you know that feeling when you cannot pay back something on time. It is a very helpless feeling that many people really look to avoid. A lot of times the trouble stems from not exactly knowing what a payday loan truly is. You only have until your next pay period to pay back the loan. This may seem unreasonable, but when you think about it, it is fair. They are not giving you supplementary income; they are giving you an advance. It is only fair you will give them money when you get it next.
A lot of people feel like it is extra money when that is just not the case. Plus, if they ask for too much money then of course they would have trouble paying it off. Plus, when you do not pay off the loan you will be subject to fees and a higher interest rate. So it can all come crashing down very quickly. That is why you really need to act early when you discover that you will not be able to pay back.
Well Then, What Do I Do?
The first thing you need to do is approach your lender with the problem. Let them know that you may have trouble paying off and if there is anything the two of you can do about it. You do not want this loan to go to collections. You may only need a small extension on the loan. See if they will give you a couple days. But more likely you will need a payment plan. You might be able to get them to allow you to pay off the loan in installments. Because they are helping you then you might have to pay a little extra. But this fee will more then likely be better then the missed payment fees you will be subject to if you do not pay on time.
Know that you entered into an agreement when you took out the payday loan, and it was very clear on when you had to pay back. Your lender does not have to grant you a payment plan or extension. They could just charge you the extra fees right away. If you are able to work out something with them then you are very lucky for this new opportunity. You need to make sure you do not squander it. Make sure you pay on time this time.