Deciding On A Budget

About Me

Deciding On A Budget

Have you ever stopped to think about how much money you spend on different things? Although it can be easy to overlook your expenses, a little misguided spending can run your finances into the ground. I used to struggle a lot with financial concerns, until one day when I decided to take my finances a little more seriously. My blog is all about deciding to budget, and how to take those first steps towards a healthier financial future. This blog is designed to help each user by offering helpful, motivating tips. Check out these articles for more information that might help you!

Are You A Good Candidate For A Payday Loan?

Sometimes life throws you some extra expenses that you just can't afford. If you need help fast, a payday loan may be a great option, but not everyone is a good candidate for a payday loan. If you are in need of financial help and considering a payday loan, check out these five questions to help you determine if a payday loan is the right choice for you.

Do You Need Money Fast?

Payday loans get you money fast. In most cases, you fill out a quick application and get your money that same day. Many people live paycheck to paycheck, so if a sudden expense pops up, it's hard to fit it into your budget. A payday loan can help you if you need emergency money now. For example, if you don't have enough money to pay your car payment, car insurance or a necessary car repair, and you need to drive to get to work, a payday loan may be a good idea, so you can keep driving.

Is This a One Time Issue?

Sometimes, you just hit a rough patch and can't pay all of your bills one month. In that case, a payday loan may be able to help you get you back on your feet. However, if you are constantly unable to pay your bills each month, a payday loan may just make things worse by adding to how much money you owe. In this situation, instead of constantly taking out loans, you need to make some changes in your monthly budget, such as cutting out luxuries like cellphone, internet and cable. If you owe a lot in credit card bills or other debt you can't ignore, try to eliminate or reduce it.

Can You Repay the Loan Fast?

Most payday loans are supposed to be repaid within two weeks. If you can't repay the loan within two weeks, many loan providers roll it over and may even increase the APR. This can get expensive fast, especially because payday loans typically have high APRs. It's not unusual to see APRs ranging from 390 to 780 percent. For this reason, it's important for you to determine if you can repay the loan by the end of the two weeks. If you can't, it may be better to find an alternative solution, such as peer to peer lending.  

Do You Meet the Necessary Requirements?

Exact requirements vary from state to state and lender to lender, but there are a few common requirements that you must meet. First of all, you need to prove you have a steady source of income, so you can repay the loan. You also need to have an open bank account in good standing. A valid form of identification and your social security number are required. You usually have to be a resident of the state where you are applying for the payday loan.

Is Your Credit Bad?

If your credit is bad, getting a loan from a bank may be difficult or impossible. Payday loan providers don't do credit checks, which is one of the reasons they are so fast. Another advantage is that because they don't check your credit the loan won't appear on your credit history unless you don't repay the loan. If you have bad credit and need a little help fast, a payday loan may be your best and only option to seek help.

Payday loans are a fast way to help you over life's speedbumps. However, they aren't the right option if you need help on a consistent basis. If you think you're a good candidate for a payday loan, contact a lender in your area and get started on your application. 

For more information about PayDay loans, go to a site like