The Reality Of Payday Loans
Pay day loans or pay day advances were a thing of the past. Most people who worked in the formal sector had not even used this service let alone heard it. It was the hard work that they put in that counted and so they counted on promotions.
Fast forward to the second decade of the 21st century and they are now a trend. They have become a service that is widely used by at least 25% of persons in the formal sector. Why you ask? This is because the cost of living has risen and profits among companies have fallen.
Since the economic crunch of 2008, we have seen a rise in the costs of food, mortgage, telephone bills, fuel, health services and in the education sector. Pay day advances from lenders such as http://www.mypaydaylender.co.uk are widely applied for by households especially the breadwinners who have to complete paying the bills; be it electricity or the mortgage. But is there really a motivating factor as to why people are obliged to request a pay day advance?
Well I could ask, why can’t someone endure those few couple of days doing side hustles to boost their incomes? Because a pay day loan is only a benefit in the short run but when you look at the long run, it is actually a loss.
Short term gain
First you have to deal with the interest that you have to pay. So that means you actually pay more for that advance cash. This mostly happens during the festive season. People mostly look to get the advances early so that they can enjoy and revel during this season which calls for celebrating. But then January comes along and then its back to square one and reality hits you. Its mid-January and you are practically broke.
So what am I trying to say here?
Taking a pay loan advance is not a necessity. You can start by planning on how to evade this by budgeting your monthly income right from the word go. I must say this will take some lean spending at some point in the month, cutting on electricity usage and all that. In the long run, you will have escaped some very dire consequences.
‘m not saying that it’s wrong to do that or a taboo for that matter but we must be wise in our spending. But this is just my opinion and that according to me is the reality behind payday loans. I think that this would be the first step to actually evading the temptation of taking a pay day advance.