Earlier this year, it was reported that nearly half of all American households are one financial emergency away from complete economic collapse. The study found that these households do not have sufficient savings and live beyond their means – one article citing a family that had $223 left in their bank account at the end of each month after paying for two cars, after-school activities and a three-bedroom house.
It is indeed a troubling time for most people. The jobless rate continues to remain a problem for policymakers and the private sector, the cost of living continues to jump, the United States dollar doesn’t purchase much and families are not saving enough.
With a paucity of funds come overdue bills. Whether it’s because of an emergency, a lack of proper budgeting for the month or an accounting discrepancy in the week’s paycheck, being late on a cable, utility or phone bill is universal. However, it must be avoided at all times because of the additional costs that are involved.
If you have to pay the rent, keep up with your car payments or you’re starting to get behind on your monthly Internet package then perhaps payday loans are your solution to staying afloat. These help you cover your expenses in the short-term and give you peace of mind. Gone are the days of loansharks and now are the times of respectable, efficient and affordable loans.
Baron’s Financial Group, for instance, offers instant, same-day loans at competitive rates. Clients are required to meet the prerequisites and fill out paperwork – no faxes or credit checks are required. Once that is completed, you receive the short-term funds.
There are various benefits to these payday loans, including the one from Baron’s, such as a hassle-free application process, a diminished risk of getting further into debt and flexible loan terms. Also, these payday loan institutions are available in many locations across the country.
Payday loans should be considered, however, as a short-term loan rather than a long-term debt.
“There are several things that you need to keep in mind when taking out payday loans. One, these loans are not designed for long term payment debts, so you should keep it that way,” the company states. “Two, these loans come with slightly higher interest rates than the conventional loans from banks and credit unions, so you should expect to pay more money to the lender. Finally, you should use the money that you will be borrowing from the payday loan lender only for important things and not going on an extravagant shopping sprees or the like.”