Payday loans are defined as loans that are secured against one’s next pay check. It is considered as a short term financial instrument that allows the borrower to service their expenses up to the day of their next pay check. To some people this is seen as a blessing and to others, a curse. Payday loans available at the weekend and deposited in under 1-hour have been the subject for many arguments and various criticisms have been put forth. Some people view the prospect of payday loans as one that leads to the draining of money from low income earners.
This is due to the high interest rates that are charged to service the payday loan. These interest rates may go as high as nine hundred percent of the amount borrowed. Others hold that the payday loans seek to exploit seasons of financial hardships. This is the case for low income earners and those that have irregular income and have to borrow to keep up their lifestyles.
Some borrowers deal with online loan agents. This may pose a problem in that some people may see this as a means to earn some illegal income and thus result to fraudulent measures. Weekend payday loans pose an even greater risk to the borrower in that the amount borrowed may end up not being used for the purpose it was intended. With it being a weekend payday loan, the borrower may end up using most of the borrowed amount to have fun with friends rather than the initial intended purpose. Weekend pay day loans are thus not advisable for those with irregular income or those with minimal income. Weekend payday loans can be said to require a greater commitment by the borrower than normal loans. It is thus prudent to carefully plan for the weekend payday loan so as to ensure that it serves the purpose it was intended for.
There have been several views regarding the place of cash advances and the effect it has on the financial state of those who take advantage of it. The ease with which this cash advances can now be accessed raise even more issues.
With the advent of the internet, many people can now easily access cash advances. There are fast cash advances through the internet that promise a one hour delivery time. This means that you can get the cash in your bank account within an hour of applying.
The contentious issue here is if this is actually a good thing. We can be sure that there would be arguments for and against. We would look at a few of both.
Looking at it from the perspective of its negative effects, we would look at how it encourages people to be wasteful. There is no doubt that people who do not have good financial discipline would misuse this opportunity. Many people argue that given time, human beings find a way to resolve any challenges they are facing. This means that if a person does not have ready access top these funds, they might actually find an alternative solution. This to a large extent is true.
On the other side of the fence, we can argue that fast cash advances through the internet can be a life saver. If a person is in a life and death situation where quick funds are needed, accessing these quick cash advance would be a certain blessing. We’ve seen that it comes down to the person taking this cash advances. If your financial attitude is right, the speed at which you get the funds in your account would only enhance your financial effectiveness. If on the other hand your financial attitude is wrong, the speed of the cash delivery would also hasten your financial ruin.
Simply bear in mind that the lender is out to make a profit. They do not really care about you. You have to care for yourself.
Warning: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk