Payday loans are usually associated with very negative connotations, and quite understandably so. At best they charge you 1,000% APR interest and at worst the money can be demanded back unexpectedly, even if it cannot be afforded. However, in theory, they offer necessary money for a short period of time and, if paid off immediately, the interest need not be a problem. Yet it is those who need money the most that turn to the payday loans, and for that reason they are more often than not in a position to pay it back. This then leaves them overwhelmed with the huge interest. This ongoing cycle is precisely why quick cash loans are thought of so badly and yet they are still available.


Title Loans Desoto, TX
image credits to: Jake Smith –


It is important when borrowing money of any sort to be clear of the payback deadline and the interest rates, especially if they are subject to change. If you are to take out a payday loan in particular, here are some pieces of advice to consider:

  • Only do it when you have to and if you know that you are getting money coming through

This sounds like a very obvious thing to say considering that the loans are called ‘payday loans’, however, if you do opt for a quick cash loan it is advisable that you are able to pay it back, in full, immediately. If you are unable to do so, avoid them. You would be better off to apply for a credit card or longer-term loan even if this means the process to access the money is longer.

  • Make paying it back a priority, as soon as the interest hits this is going to be more and more difficult

It is very easy once granted money to get you out of a tricky situation for the relief to alleviate the urgency with which you needed to borrow it. With a payday loan in particular this is a very dangerous situation to be in. If forgotten about or ignored for any amount of time the interest could accumulate so much so that you find yourself unable to pay it. This is precisely how the loan sharks make their money and why they have got such a bad reputation.

  • Only use it for an emergency

This is somewhat expected as for someone to need money with such urgency to use a pay day loan it is understood that it is necessary. However, just how necessary is it? Is it something that is so urgent paying extravagant levels of interest is worth it, or could there be another solution with less drastic implications? It is useful to have other options nonetheless. Borrowing money from a friend or relative can be much safer; you could even offer them interest that will be cheaper than the interest charged on short-term loans. Borrowing from a credit union is an alternative to a credit card if you have difficulty applying for one of those.

  • Ask for help

Once in trouble with finances many people often close down communications, especially with the negativity surrounding quick cash loans, many applicants are often ashamed that they have had to go down that route. So if you do end up with no other choice but to take out a payday loan, be sure to let someone know beforehand. Then, if the payments are overwhelming and you are unable to keep up with how much you owe you have someone aware of your situation so its consequences won’t seem so severe. The Financial Ombudsman offers payday loan help which can be hugely beneficial in outlining your rights as a borrower. This may not excuse you from paying back the amount you owe but may lead to a solution that makes repaying the money feasible.


So if you do consider taking out a payday loan it is vital to prioritise paying it back regardless of other outgoings and this is something that should be worked out before you even apply for the loan in the first place. Financial problems are one of the easiest to escalate so keeping on top of payments is absolutely crucial, especially when interest rates are this high. If you do have problems with overflowing debts however, there are people that can help so long as advice is sought in time.

Spread the love