Payday loans may seem like a quick fix to solve your financial problems until your next paycheck, but they can easily cause a cycle of lending that you won’t be able to keep up with. Interest rates, fees, and penalties start to stack up and make it even harder to get back on your feet. Before you know it, you’re dealing with a pile of payday loans, harassing calls from debt collectors, and no idea how to fix it. 

Stop Taking out Additional Loans

To truly get out of debt, you need to stop building it. The most important first step to take when embarking on your debt relief journey is to stay calm to prevent yourself from taking out additional loans that will increase your debt. 

Evaluate Each Outstanding Loan

If you aren’t able to tackle every loan at once, take a look at your outstanding balances and separate the ones with the highest level of interest. These are the loans that you should try to repay first, because they will drive your debt up in less time than your other loans with low interest. However, you shouldn’t spend more money repaying your loans than you can afford. Set aside as much money as you can to repay your high-interest loans, but don’t allow yourself to fall behind financially while trying to move forward.  

Get an Extended Payment Plan 

Contact your lender and see if you’re eligible for an extended payment plan (EPP). If eligible, your lender will increase your amount of installments so that you have more time to pay off your debt. Read the entirety of your EPP agreement to understand what happens if you fail to meet the requirements of the extension, because you may face additional fees or penalties. 

Ask Your Loved Ones for Help 

You may have taken out your first payday loan because you felt too ashamed to ask your friends and family to borrow money, but they are the people with your best interests in mind. Consider reaching out to your closest relatives and ask if they would be willing to loan you the necessary funds to alleviate your debt. Or, if you are a part of any religious groups or clubs within your community, check to see if they offer financial assistance programs that you could apply for. 

Find Relief from Debt 

If you can’t seem to catch up with your piling payday loans, contact the consultants at Progressive Debt Relief. We can provide tips to get you out of debt and equip you with the skills to make strong financial decisions for your future. For a free consultation, call us today at 1-877-590-1847.