Payday loans are a type of short-term loan designed to help you make ends meet until your next paycheck. However, they come with high interest rates and unexpected fees, so it’s best to avoid them when possible. 

1. Wait it Out
One of the hardest parts about spending money wisely is making the distinction between wants and needs. You need to pay your bills, but you don’t need to buy a coffee each morning or spring for a new pair of shoes. If you can’t afford a non-essential purchase with your next paycheck, don’t take out a payday loan to buy it.

2. Borrow from Family or Friends
High interest rates are the most dangerous aspect of payday loans. If you borrow $100 and must repay $300, you’re already setting yourself back on your next paycheck. To avoid falling into this endless cycle, ask a friend or family member for a small loan for the things you absolutely need to buy.

3. Borrow from a Credit Union
Finding a loan with no interest is ideal, but a low-interest loan is a lot safer than a payday loan, which can have interest rates as high as 400% or more. Credit unions have some of the best interest rates, so check there first if you are looking for a small loan to help you get by.

4. Increase Your Income
If you’ve done everything you can to budget and cut back spending, but you’re still struggling to pay the bills and provide for basic needs, it may be time to find a better paying job or consider getting a part-time job on the side.

Escaping a Payday Loan

Mistakes happen. If you’ve already taken out a payday loan and are having trouble paying it back, it’s not too late to regain control of your money and get yourself out of debt. Progressive Debt Relief specializes in negotiating with a range of payday lenders to settle debt. We offer free consultations and don’t charge any upfront fees, so you don’t have to spend a fortune to figure out if our services will work for you. Contact us today at 1.866.867.1493 to schedule your free consultation.