Even though many people understand the risky nature of payday loans, the industry remains as popular as ever. The inordinate interest rates and short payback timetables required by lenders should be enough to warn people off from taking out a payday loan, but many still bite the bullet. Though they are never worth the risk, here are three reasons people use to convince themselves that they need payday loans.

1. Immediate Need

Many people turn to payday loans in times when they need cash, and they need it fast. This could be anything from an overdue rent payment to medical bills or car repairs. People in need don’t see many other options than the fast and easy payday loan in these circumstances. Payday loan companies take advantage of this and seem like practical solution for people, but if you aren’t careful, you could get caught in a cycle of ever-building interest. 

2. Perceived Flexibility

Getting a standard loan from a bank can be an arduous process. Having a loan approved, managing your credit score, and waiting for authorization can be a frustrating endeavor that bothers the average person and takes time to complete. It simply isn’t practical to use normal money borrowing channels in some situations, so many opt for the seemingly quick and painless payday loan instead. Unfortunately, this has come back to bite countless people as they can’t pay back the loan within two weeks and are hit with unpayable interest. 

3. No Credit Check

When you can’t take out another credit card, no family member is willing to help you out, and the bank turns down your loan application, payday loans can seem like your only lifeline. This is especially the case if you have bad credit or no credit, barring any chances of getting approved by any reputable lender. Payday loans require no credit check, attracting many in the most helpless situations. But, the fact that they don’t require a credit check should raise some alarm bells in your head that there has to be a catch – and there is: dangerously high interest rates. 

Professional Debt Management

The world of loans and debts can be a wild and confusing landscape with deadly consequences for poor financial decisions. And make no mistake, taking out a payday loan can be a decision you deeply regret after the fact. At Progressive Debt Relief, we can help you navigate payday loan debt and get back on your feet again. Contact us for a free consultation today at 1.877.590.1847.