Despite the convenience offered by payday loans in helping the borrowers to stride over their financial emergency, these loans have often been criticised for leading the consumers into a vicious trap of debt. Most people making such accusations fail to understand that fault does not lie in taking the loan as such, but rather with the manner in which the borrowers handle its pay off. Given that most payday cash loans are offered for relatively small amounts, most consumers overlook the importance of planning its repayment just like other regular loans. It is this oversight that actually creates the problem of timely loan repayment, rather than the seemingly high-interest rate of these loans.
In order to avoid the stressful situation of having to roll over payoff, it is advisable for the borrowers to start considering the various options for the same at the earliest. This helps in ensuring that the borrowers have a proper plan of action in mind which they can follow to get rid of the loan well in time. In fact, it would not be wrong to be aware of some of these options even before applying for these loans online. Discussed below are the six ways which can help the borrowers to pay back their loans without becoming a victim of the vicious cycle of debts.
Opt for Automated Deduction:
Borrowers availing such loans online or offline are required to have a regular source of income and an active bank account. This condition can prove extremely beneficial to the borrowers for planning the repayment of their small loan amount. All they need to do is activate the auto deduction facility for the lender in their account to ensure that the loan is paid off as soon as their salary is credited to the account. This is not only the safest but also the most assured way of paying back the loans in a timely manner and is likely to be suggested by renowned lenders offering payday loans no credit check service.
Find Ways to Earn More:
In case, the consumers are sure of not being able to repay the amount with their current earnings, they should seek ways to increase their income. They can take up part-time jobs or pursue a hobby that enables them to make some money or even work overtime within their current organizations. The borrowers can choose to stick to these options only until they are able to pay off quickly or choose to pursue them for an extended time period. The latter option might be preferable for individuals, who intend to minimize the need of seeking same day loans in the future by saving the extra money they earn.
Plan a Tight Budget:
Planning a budget is an effective way to manage the income and expenses over a specific period of time. In order to make timely payment, it is important for the borrowers to not only properly plan a budget but make a tight one with more focus on savings than expenditures. Any expenses that are not absolutely urgent should be delayed to save the money to repay the loans.
Seek Cash Advance from the Employer:
Most employers are willing to offer a cash advance to their employees in times of need. This is one of the ways that the borrowers can use to pay back the cash loans without any unnecessary delays. The employers can directly deduct the amount from the salary of the borrowers either as a lump sum amount or in small installments. In either case, the employees will not have to pay any interest on the cash advance received from their employers, which, unlike rolling over the payday loan, can prove to be a great advantage.
It is not uncommon for people to invest in stuff which they rarely use or don’t use at all. Selling such products can provide the borrowers with the requisite cash to pay off the quick loans they might have availed. There are several online websites where the borrowers can auction such items for the highest price and get their money really fast. However, the borrowers should take into account the fact that they might have to pay the shipping charges for big and heavy items that are purchased by buyers, not within an easily transportable distance.
Mortgage Something Special:
Mortgaging something that is extremely dear to the borrowers might seem to be the same as same day loans. However, the catch here is that when people mortgage stuff they do not need to pay any interest. And since the item mortgaged will hold special value for the borrowers, they will make every effort to get it back. This option should be chosen only in case none of the above methods for paying off the loan seem to work for the borrowers.