Hope for your financial life and beyond

Wondering About the Functionality of Payday Loans?

Money is essential to our lives. It is always needed to make ends meet. Simply stated, we cannot do without it in some form or fashion,

Sometimes though, life rears its ugly head – usually through a crisis. We call these emergencies. Hopefully, when these come, you have saved enough in an emergency fund to make it through the financial struggle.

But what if you haven’t? What if there is no money available to you? What if you are so deep in debt, you can’t see a way out? When you are deprived of cash and trapped in a financial calamity, it’s hard to know the right way out. It is an awful scenario.

When you get in this tight of a spot, it’s easy to just spend your days and nights waiting for a miracle to happen. But you have to make some wise decisions and hunt for a resolution to the situation. Being depressed and frustrated is not the solution.

In times like this, some people have turned to securing a payday loan to help them out. This article will share the benefits and risks of this method to help get you out of your crisis.

What are Payday Loans?

Payday loans are short-termed loans. They are used for borrowing small debts for a short period of time, usually for $500 or less. You can usually find them via storefront lenders or online.

Payday loans are most often paid back in one single payment when the borrower receives their next paycheck. They serve as a bridge to cover expenses until you get paid again. The repayment date is usually set two to four weeks from when the loan was made.

If you use a payday loan for your genuine needs and pay it back to the lender according to an agreement, you will definitely be going to have a more positive and fruitful experience. Payday loans do have many controversies linked to them though. So, in order to get benefit from them, you should have to be familiar with both the positive and negative impacts of these loans.

Advantages of Payday Loans

The primary benefit of a payday loan is that you can get fast financial assistance for a short period of time. Some of their advantages are:

No hard and fast terms and conditions required. It sounds so appealing for people in trouble because they do not have time to waste in long and document verifications, faxing or paper procedures.

Easy to access.Payday loans are easily accessible and available to every person. Fast payday loan lenders should not bother about your financial background or credit score.

24/7 customer care service. You won’t have to follow typical bank hours, as online payday loan services are available 24/7. You can approach these websites anywhere, anytime with just a single click. Customer care representatives are always there for financial assistance.

100% secured procedure. Payday loan lenders secure your information. It will remain confidential. Their modern encryption technologies will protect your information and keep it secure.

On the spot approval of the loan. No matter what is your financial background, these loans will be approved quickly soon after your verification.

Online availability of payday loans.Payday loans are very handy because the borrower does not need to go anywhere and search for a loan. They can be found easily online. So many lenders have online websites. You just have to visit these websites and select the appropriate option for yourself. All procedures from the beginning till the end will take place online.

Disadvantages of Payday Loans

When there are so many positive aspects, there must be some cons as well. Everything has its positive and negative features and so do payday loans have. Some of the downsides of payday loans are given below.

Elevated APR and interest rates. This is by far the biggest disadvantage when it comes to payday loans. These kind of loans are much more expensive because interest rates tend to be extremely high. The highest interest on credit cards for example average 28-36 APR%. An average APR of a payday loan is 300 – 500 times more than a regular loan.

Payday loan encourages cycle-of-debts. When a person is unable to return the money by the fixed date, they incur more debt. They will most likely have to take out another loan to repay the previous one. This just sinks them further into debt. The further they go into debt, the tougher the cycle will be to break.

Related Content: How to Get Out of Debt and Win in Five Simple Steps

No de-commitment period. Once you sign the paperwork, there is no backing out. With many bank loans there is a period where you can de-commit from the loan if you have second thoughts. You won’t get this with most payday lenders.

Access to bank account. Some payday lenders want/require access to your bank account. If they don’t get paid, they may try to pull funds from your account. This could result in overdraft charges billed to you for having insufficient funds in your account.

Damage to your credit. Payday loans can be damaging to your credit. This will happen when you can’t pay them back. Ultimately, they could refer you to a collection agency. If that happened, it would be something extremely hard to get your credit score positive again.

What to consider before taking out a payday loan?

Payday loans have a lot of risk. They can be a debt trap that you have a really hard time getting out of. There are better ways to get out of debt and handle life’s emergencies.

Related Content: Emergency Fund Basics: The Step on Which All Other Success Is Built

However, if you choose to go this route make sure you:

•    Are aware of the consequences and how a specific loan works

•    Know the terms and conditions set by the lender

•    Understand what the penalty for the non-repayment is

To read more about them, you can visit this article at Debt.org.

Share a Comment Below: Have you ever taken out a payday loan before? What was your experience? What are the other benefits and risks of payday loans?

How to Push Through the Scary Questions at the Start

ID-10083769Do you want to finish what you start this year? Maybe you have made a New Year’s resolution and aren’t confident you can do it. Or maybe there are simply so many unanswered questions and doubts in front of you it’s becoming overwhelming.

Finishing is huge for our psyche. It gives us so much confidence that we think anything is possible. It releases pressure and tension when we finally reach our goal. Finishing creates momentum and catapults us forward to even greater things.

Related Content: Winning is More Valuable Than Losing

Unfortunately, we don’t start at the finish and get those great rewards. We start our journey at a more logical place – the start.

The start of anything can be a very confusing place to be. It’s exciting and scary all at the same time. And the start is always full of questions like…

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How to Get the Most Out of Christmas

Weeks ago, at the beginning of November, stores already had Christmas decorations on display. I know those stores are just trying to get the most out of Christmas season. But it’s too early at that point for me to think about Christmas.

get the most out of christmasFor me, December 1st officially starts my holidays. That’s because I know that in the 31 days of December, my family will attempt to cram more into each 24-hour period than is usually desired. For me, the annual cramming revolves around two specific lists – my December To Do List and my Present Wish List.

The To Do List for December is very important. It’s filled with kid activities, social get-togethers, Christmas programs and of course shopping. Additionally, home chores are also part of the To Do List. So, because I’m a teacher, I get a “vacation” during Christmas break which gives me a greatly needed window to do these activities and catch up on all that I’ve let slip by.

The other list – the Present Wish List – is all about what I would like to receive on Christmas day during our annual gift exchange. This one is a little tricky and here is why.

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Why Online Loan Applications Can Boost Your Financials

It doesn’t matter how hardworking and frugal you are, life is going to throw you a sudden curveball. An instance like that can change your financial security immediately. Be it some illness, the need for a vehicle, a house renovation or something else, it is not uncommon for such needs to arise.

Oddly enough, they seem to happen exactly when your bank balance is slim. That can leave you scrambling to figure out how to pay for it. If you don’t have an emergency fund set up, you may not have many other options than to see help elsewhere.

And for decades now, the solution to such problems would be a loan.

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Will Cryptocurrency Replace Stocks as a Primary Investing Option?

Have you ever had trouble focusing at work because of market volatility? Is it a challenge for you to sleep at night worrying about the ups and downs of the stock market? Honestly, at times it can be scary. Our investments are at stake and we don’t want to end up on the losing side with those. 

What if I there was a better way to manage and handle your investments while not having to worry about hard cash? Is that possible? Today’s contributor, Ana Farr, Community Manager at ecommerce-platforms.com and Unblock.net believes so. She is here to explain why, in her opinion, it would be better to invest using crytpocurrency rather than stocks.

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Thank You, For One Million Page Views at Luke1428.com

Rarely do I draw attention to the metrics of this blog. In fact, I’m not sure I’ve ever done it like this (and probably never will again). But I have fun moment that I couldn’t shy away from. Yesterday, some unknown user found their way to my site and triggered the one millionth page view at Luke1428.com. Thank you, mystery reader – I wish I had a prize for you.

Look, I know. In the grand scheme of the web, one million-page views isn’t a lot. Some personal finance sites get that in weeks. Still, it’s a big deal for me, especially when I consider my intentions for this blog.

This site has never been about making me money. I’ve never tried to make it my living as some other personal finance bloggers have successfully done. I basically generate enough revenue here to keep the site running and have a little left over for fun projects.

For the most part, I work on posts and site maintenance in my spare time. Early mornings, at night or on Sunday afternoon while watching football. It’s a part-time deal for me. And at this point, I’m doing two to three posts a month.

Despite my approach, the blog continues to grow beyond what I could have imagined when I first started. In fact, at current pace of growth, I should reach my 2-million-page view mark in the next two years. From there, who knows what happens.

So, if it’s not for a living, why devote effort to a blog in the first place? I’m glad you asked.

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6 Signs You Are Living Above Your Means

Let’s face it. We live in a fast paced, consumer friendly, debt-driven society. Spending money has never been easier.

That might be why more than 60% of Americans deal with credit card debt on a daily basis. Access to credit has never been more available to the general public. Unfortunately, it is a main reason why living paycheck-to-paycheck is an unfortunate reality for nearly half of Americans.

However, that reality doesn’t have to be inevitable. Your situation can improve with some quick refinements to your spending habits. I’ve done it before and so can you. You don’t have to live above your means.

It does come down to a simple choice. But first you must be able to recognize that you have a problem. With that in mind, here are a few warning signs you may want to look out for when you’re worried you’re not living within your means.

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How to Cut Your Energy Bills

When уоu save energy, уоu’rе nоt just saving money. At the ѕаmе tіmе, you are reducing the demand fоr petroleum-derived fuels ѕuсh аѕ gаѕ and оіl. So in the end, by burning lеѕѕ fuеl, уоu are also helping your environment.

You might think that trying to save energy might make your life more complicated. With the advances in technology, there аrе mаnу еffесtіvе alternatives available fоr аlmоѕt еvеrу type appliance. It іѕ uр tо уоu tо change your energy consumption hаbіtѕ tо balance your monthly budget. But manufacturers have made it easier to give еvеrуоnе rеаl choices. Evеrуоnе hаѕ the ability tо change their energy practices for more efficient usage.

By applying аt lеаѕt оnе оf the following energy saving methods, уоu саn mаkе уour іmрасt оn this world and your pocketbook.

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What I’d Tell My 20-Year Old Self about Financial Freedom

the futureEnjoy this guest post today from blogger and website owner Joseph Hogue as he shares his ideas about financial freedom.

The best lessons come from our experiences even if sometimes it’s our biggest mistakes. I’ve made more than a few mistakes in life. Fortunately, I’ve learned from at least some of them.

I think most of us can relate to Brian’s story of getting financially real from a mistake even if it took a while to figure it out. I have a drastically different interpretation of financial freedom now versus what I thought it meant earlier in my life.

It would be great to go back and clue my 20-year old self in. Maybe a quick slap on the head is what would be needed for this stubborn former Marine. I can however be happy that I learned from my misguided idea of financial independence and that it set me on a path to fulfillment in the future.

Before reading how financial freedom has changed for me, ask yourself, what does it mean to you? Then see if it changes after you read my story.

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6 Tips To Help You Sell Your Home Fast

Deciding to sell your house is an exciting time. Even though there is a lot of preparation that needs to be done, most people hope they are able to sell their house in between three and 10 days. However, there are numerous factors from location to price that affect how long you will have to wait to hear an offer.

You certainly do not want to wait months or even years to sell your home. Fortunately, there are a few tricks you can employ to increase the likelihood of a quicker sale. We implemented some of these just last year when we sold our home. I firmly believe it helped us sell it as fast as we did.

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8 Bible Verses About Worry for All Life Situations

Do you worry? I’ll admit that I have been a worrier at certain times of my life. There are so many circumstances that we can worry about that it’s easy to worry all day long. Thankfully there are many Bible verses about worry and anxiety that can give us a different perspective on the issue.

Bible verses about worryPerspective is really what is needed when it comes to worry. That is because a lot of our worry is illogical and over-dramatized. We worry about things we cannot control, that do not really relate to us and that will probably never happen.

Worse yet, worries are the gateway to fears. And fears, when they are released to their full force, will impact our actions. Actions fueled by worry and fear are often detrimental.

That is why it’s so important to get our worry in check. And the Bible offers great perspective on this topic. So here is one whole passage and 7 other Bible verses about worry that give me the reality check I need.

The best part is that we can apply them to any life situation we are going through.

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