UK payday loans are very popular in the UK these days as a way for people to get through tough financial times. Are they a good idea, or will the use of payday loans end in further financial woes when the festivities are over?
UK Payday Loans are popular at any time of year but it seems that the number of application rockets at this time of year due to the number of people who are tempted to overspend. Many people will find themselves running short and obtaining a UK payday loan can seem like the easiest way to get out of a tough situation. Is this product the answer to financial problems or will its use contribute to further hardship in the new year?
The Advantages Of Using A UK Payday Loan
Payday loans have many advantages over the traditional loans available on the high street, including:
Payday loans are usually delivered very swiftly to your bank account. On many occasions the company will pay you the money on the day you apply meaning you will be able to get a loan in time for the holiday period.
They are available to anyone who holds down full employment and has a bank account.
The application process is very simple, and is completed in a matter of minutes.
Even if you have a bad credit rating you will be able to apply as no credit checks are carried out during the application process.
The Disadvantages Of Using A UK Payday Loan
After looking at all the advantages of a payday loan it can be tempting for many people to immediately jump in and get their hands on as much money as possible. With Christmas on the way we have a tendency to think only about the immediate future without considering the consequences which will come back to haunt us in the New Year.
With that in mind, remember the following points before taking on debt:
Payday loans have a very high interest rate applied to them which makes them an expensive loan compared to those available from the bank.
Payday loans are expected to be paid back on the day you get your next payday check. Failure to meet the deadline will result in increased charge.
Taking out payday loans can become an expensive habit, with some people finding that they take out increasingly large loans every month to cover the loan from the month before.
So, Should I Use A Payday Loan This Christmas?
I always individuals to avoid payday loans unless they get into a situation where they have no other choice. It can be tempting to over spend during the holidays but in reality the need to purchase Christmas gifts is not an emergency situation. Find ways to save money on non-essentials items and cut back on the gifts you by for loved ones. Friends and family always understand if you are finding things hard and have to cut back this year and you will find yourself in a much better position when the new year rolls by
