Alternatives to an Instant Payday Loan


When youve just splurged on a 0 pair of Manolo Blahniks and gone into shock upon getting the credit card bill, those advertisements for a 0 instant payday loan look pretty tempting.

Dont do it. There are alternatives to getting your finances back on track that wont cost you a fortune in interest fees compared to an instant payday loan. Here are a few such options:

Transfer Credit Card Balances

Youve probably got a stack of credit card offers clogging your mailbox each week. Take the time to look them over. You can sometimes find a low introductory interest rate that will apply to any balance you transfer from another credit card.

If your problem is that you already have too many maxed out credit cards, trim those down to one, and close the others. Ask for credit counseling so you can learn ways to better manage your finances. Take a long-term perspective on money instead of jumping for an expensive stopgap measure like an instant payday loan.

Contact Your Creditors

Creditors are interested, of course, in getting paid. They may be more open to negotiating monthly fees and payment schedules than you think. Ask them for more time or to work with you in devising a re-payment plan. Although youll have to pay some extra fees to do this, it is still cheaper in the long run than taking out an instant payday loan.

Debt Consolidation Firms

There are also companies that specialize in debt consolidation. They take the total amount you owe all creditors and negotiate with them on your behalf for lower interest rates and monthly payment amounts. In turn you pay the consolidation company a set amount each month that they disperse to your creditors. A debt consolidation firm can usually get better deals than you can get alone.

Stick to a Budget

A crucial step in getting your debt under control is developing a budget and then sticking to it. There are several excellent books and online guides on how to do a realistic budget.

Part of the budget should include setting aside money each month in a savings account. This doesnt have to be large even a month helps. That way when you run into a financial crunch again youll have your own resources to draw upon instead of the interest-heavy instant payday loan. You will be on top of your finances and youll know exactly how much you can spend and where you need to draw the line.

Do this, and you may never have to consider an instant payday loan again

In fact, it is online that you will find often but not always, better interest rates and options.

Money Loans

Usually short term cash lenders dont perform a credit check which also means bad credit is okay.

According to the Federal Trade Commission, many clients have a history of using high-risk lenders. To get a guaranteed payday loan you have to be able to prove that that you are employed and also prove how much you are actually earning. Each place has their own rules and own formulations, its best to check with the institute first before applying. This is why you may find that these loans are also called no credit paycheck loans. Then youll owe a loan extension fee each time you extend, and then add interest on top of that. Although youll have to pay some extra fees to do this, it is still cheaper in the long run than taking out an instant payday loan.