Nowadays, we have become habituated to enjoy certain facilities and amenities our forefathers could only dream of.
At times, we overuse them and land up in a mess! You may know someone in your friend circle who once ended up in a financial mess after going overboard with credit card shopping.
Instances of people bleeding their wallet by mindless online shopping are not uncommon either. When they get stuck in unforeseen monetary crisis, many persons resort to affordable personal loans.
Especially younger generation finds these instant online loans more flexible than what banks have to offer.
However, at times you may just evade situations that may make you seek easy personal loans altogether.
While payday loans may seem a quick and easy fix to short term cash deficits, you should not become overtly dependant on them.
With a little planning and considerations, you can ensure you do not get trapped in a cycle of cheap payday loans.
As financial experts have often pointed out, resorting to a payday loan to pay off another such loan taken earlier is not a practical idea.
If you find it hard to repay a loan, try cost cutting before searching online for another loan. It may not be easy to give up on certain services and amenities but once you try this, you will relies it is better than remaining entangled in cycles of loans forever.
At times, you may be tempted by investment opportunities. However, financial experts suggest you should not put money in investment that you do not have.
At times, we may pay bills for services that we can do without. Frankly speaking, when you are left with little money in your account and next payment date is far, cutting down on certain expenses may be feasible than incurring debt. If there is an upcoming event, try to postpone it instead of taking a loan to bear the cost.
You may also go a few days without internet connection at home if you can access web at workplace if that lowers monthly expense at the time of crisis.
Some people also resort to affordable personal loans to buy a second vehicle for home.
Before doing so, ask yourself do you really need a second vehicle at that time? This is worth considering even if you are eyeing a used car.
For some people, maintaining status symbols become more important than keeping their finances in shape. This can be the case with people in corporate sector or glamorous professions, where flaunting accessories like mobiles and gadgets is what majority strive for.
Thanks to the influx of new Smart phones with oodles of features and designer looks, a lot of people opt for a new phone every 6 months or so.
Before buying new phone that is the craze, think if you really need a new phone. If the bill date for essential services and home loan payment is nearing, it may be a prudent step to stall the plan of buying new phone for some time.
Remember that cheap payday loans are meant for resolving unforeseen cash shortages but spending in a manner that creates cash deficit is what you can evade.
You may have certain hobbies and penchant for recreation options. For some persons it can be 3D gaming while there are others it can be exotic pets.
It is better to save some money each month to bring home a high end home theater system rather than using cheap payday loans for the same purpose.
With careful calculation and prioritization of needs, you can avoid misuse of payday loans and keep long term financial problems at bay.
Image courtesy of Pong at FreeDigitalPhotos.net
