You hear me talking about the benefits of using payday and title loans all the time but I think its important to understand that you should definitely NOT get into the habit of using these on a regular basis.
Here's a great post I found about this subject. The author, who claims he is the owner of a payday loan store, describes the pitfalls of the industry and what you can do to avoid getting into a revolving door situation. These are some great tips and you should give it a read.
Stop Lying to Yourself. Get Rid of Your Payday Loan! Most people have already realized that when our finances are in order, everything else around us, including our relationships, just seems so much richer. In fact, getting out of debt might just save a relationship!
If you are in the habit of getting repeated payday loans or direct deposit advances, I hope you are seeing that you are falling into serious financial trouble. First, you are getting a payday loan or cash advance because most likely your credit is shot. A payday loan is ultimately your last resort in obtaining fast cash. You're not alone. The 'no credit check' payday loan industry has grown to a 14 billion dollar a year industry because many folks have nowhere else to turn sometimes. When you’re credit-challenged, the payday loan industry is there for you, but will charge you a higher interest rate for a payday loan than you would pay for a longer-term loan.
If you’re a person who has always had trouble managing your personal finances, and in turn you now have bad credit, you are not a bad person. You are simply a person who has the habit of making bad financial decisions. Payday loan companies market themselves by providing emergency cash and many of us can consider almost anything an emergency. The fact of the matter is, unlike other emergencies we have in our lives, this is one we have created ourselves.
While writing this article I speak from experience. As an owner of a payday loan store, both online and brick and mortar, I was very involved with my customers. When a customer repeated time and time again, we would have them use the fees to pay down their loan. When their loan was paid in full, 9 times out of 10 they would return to get another loan. I spent endless hours trying to get my customer back on track. Many of these people repeated and many learned to stay away. There were so many people getting loans. The demand outweighed supply. We had no problem finding payday loan customers. Most people getting a payday loan or direct deposit cash advance have the power to get themselves back on track.
In each article I publish, I want to give you helpful hints so you can get back on track. So keep visiting this website for answers to more than your short-term cash problems.
Here are some new tips that will get you back on track. Remember, if you can't measure it, you can't manage it.
1. Write down your monthly expenses. Now write down how much money you take home monthly. It sounds easy and that's because it is. Be accurate when doing it and don't lie to yourself. Don't write down what it could be, write down what it truly is. It would surprise you how many people either never took the time to do this or just don't want to know. If you don't start here, your life will continue to be one financial crisis after another.
2. Buy a small pocket notepad. Write down everything you buy. It should be very detailed. It should include Coke, coffee, gum, cigarettes, lunches, etc. You'd be surprised how those little things will add up. This is only the start; you will need to create the habit of doing this daily.
3. Evaluate each area in which you spend. If you are eating out, write down how much you are spending. Once you see how much you are spending, you will need to make the necessary steps to cut it back or eliminate it for some time. For example, if you bought one soda a day for 30 days it would cost you about $30. If you buy your sodas in larger quantity at the supermarket it might only cost about $7 for those same 30 sodas. You could save about $23 just in soda. The same would apply to coffee. When you brew your own, it’s so much cheaper.
4. Evaluate your rent. Are you living in a place you can't afford? If so, then what are your options?
5. Can you cut back on your utilities? What unnecessary use of water, electricity, heat could you cut out of your budget?
6. Are you stuck in a car with high payments and high interest? What can you do to get out of it?
7. Gas is up to almost $4.00 per gallon; could you carpool or move closer to your work?
8. This is a tough one even for me: habits or addictions. Cigarettes, chewing tobacco, alcohol, pornography, and more. This will absolutely break us. We all need to get our addictions under control. My addiction is chewing tobacco. Does anyone know that a can of chewing tobacco is $8 or more? These addictions will rob you of your health and finances. Pornography robs your soul, finances, and relationships.
9. Most of us get into these financial jams because of our lust for more. It's easy getting into debt but it's hard getting out of it. Don't blame anyone for your situation; not payday lenders, friends, society, no one. You need to take personal responsibility for your debts.
10. Although getting out of debt is a challenge, make it fun. Get online and find some resources. Get out your notebook and start writing. Just get tough with yourself. You don't have to become a tightwad; no one likes a tightwad. You will need to start creating new habits. It takes six weeks to create a new habit.
11. Start giving. "What?? I'm broke!" Giving is a principle. Start small, $20 a month sponsors a child, or find an organization to give to, but do it monthly without fail. Within my family's financial plan, giving is part of our budget. The rewards are awesome!!
12. As I told you before I was a bricks-and-mortar payday lender. I left that market place and started Spotya! Cash. We are a licensed lender with a philosophy and a program in accord with every state’s laws. We are adhere to the strict guidelines recommended by the CFSA. Some payday loans can cost as much as $30/hundred in fees for 15 days. Spotya! Cash charges $15.00 per $100 for 15 days. That's adds-up to big savings. Especially if you use our services a few times a year. You can save money using Spotya! Cash that can be used to pay down your debt. In no time at all you can work toward your financial freedom.
13. Tell a couple friends or family members what you're doing. Have them check in on you from time to time and make sure they hold you accountable to your financial plan.
14. Remember, if you're not willing to make the necessary sacrifices to get debt free, you will always be struggling financially.
If you never take the time to write down everything you spend, your goal to become debt free will never be reached. Writing everything down empowers you because always know right where you're at.
We are bombarded daily with some new thing or pleasure that we "need to have". I'm personally guilty of it just as much as anyone else. As you become honest with yourself, you’ll get very good at deciding just whether you really need that new gadget, the latest model car, that new dress that is “now in style.” If you can’t find a way to fit it into your budget, maybe you should just consider not buying it. Wait until better times. It’s more important to get yourself back on track and not fall into debt again.
Hope this helps. For more information make sure you're checking out
www.PayCheckATM.com.
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