Searching For Alternative Finance Solutions and Loans In 2015

Starting the 2015 New Year with a clean slate with your finances and clear goals on achieving financial freedom should be atop everyone’s to do list. Unfortunately these goals are often out of reach for millions who have over borrowed to splurge for holidays and find themselves underwater and out of cash early in the year.

2015 money goals

Following the holiday season consumers can often find themselves buried in mountains of debts and searching for ways to escape their bills and shopping splurges of 2014. One of the biggest challenges they could encounter is trying to borrow their way out of debt, versus creating an actual plan to reduce their debts and get their finances on track!

If you are feeling stressed from a holiday spending pinch, you may think about using a payday loan to get extra cash. Payday loan companies advertise cheap and easy access to emergency cash but the costs are very high. The APR on a payday loan is usually in the 50% range and can go as high as 400%. Instead of helping you with your financial issues, payday loans often exacerbate the problem and leave you deeper in debt. If you are facing a financial crunch this fall, consider these alternatives to payday loans:

• Borrow money from your savings account
• Ask a relative to lend you the money
• Apply for a traditional small loan
• Ask your creditor for more time to pay a bill
• Use a cash advance on your credit card
• Negotiate a payment plan with the creditor
• Charge the amount to your credit card
• Receive an advance from your employer
• Use your bank’s overdraft protections
• Obtain a line of credit from an FDIC approved lender
If you have evaluated all of your options and decide a payday loan is right for you, be sure to understand all the costs and terms before you apply.
• Shop around for a trusted payday lender that offers lower rates and fees.
• Borrow only as much as you know you can pay back with your next paycheck.
• When you get paid, your first priority should be to pay back the loan immediately.

You can read more information about payday lending in this article: The Truth About Payday Loans

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