Nearly everyone has had to cut back their spending in some way or another over the past few years. Rising costs of bills, food, rent and everyday items coupled with little to no pay rises and in some cases, unemployment, have meant that the recession has hit every body. Unfortunately it has hit harder for those on lower incomes on the first place, who have less room for maneuver financially.
Most people are managing, fitting their lives around their income, but for thousands of people it is impossible to save money or have anything to fall back on. Emergency costs can really cripple people financially, but luckily there are solutions available. One such method which is getting a lot of attention are payday loans, such as those from www.speedydosh.com.
If you receive regular wages and know when your next payday will be, then arranging a payday loan can be easy. When you take the loan, they are most commonly paid back on your payday, or the day after to ensure payment; hence the name – Payday Loans.
The payment is usually taken out of your account automatically, although some companies require you to ring up and process the payment that way. Either way, the process is easy, but you must remember to pay it back on time to avoid any late payment charges. If you cannot make the payment day for any reason, then you can get extensions and usually get the interest rates frozen due to your financial difficulty and to avoid increasing the amount you owe. If you get paid later in the day, it is a good idea to find out what time the payday loan company will take the money, as it could result in you being overdrawn or the money bouncing, which can incur fees too.
The interest rates may seem high on payday loans, but this doesn’t mean you should be put off. The relatively small amounts of money involved and the short repayment date can work in your favour. If you know you are going to go overdrawn at the end of the month or have a direct debit bounce, the fixed charges in place by your bank could be much more than the interest on a loan, saving you money in the long run. APR rates are based on annual figures, but because the longest term that most companies will lend for is a month, the figure can basically be divided by twelve to see the true cost, even more so if you just need it for a few days!
If you find yourself needing a payday loan from month to month, it can be difficult to get out of the spiral of debt, which the lenders discourage. Most lenders can offer help if you find yourself in too deep, or at least point you towards help.
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