Has anyone ever had a payday loan help them?Shall I take one

DON'T
Pay day loans have an extremely high interest rate. While they help you temporarily, they hurt you in the long run because instead of being say $500 in debt, now you are $700 in debt because of the $200 interest charged on the loan. If you do, don't do anything over the internet, go to a place in your home town. The ones in your town will be more likely to work with you, and they shouldn't debit your bank account. The ones on the internet take your bank info and sell it to a company called Usa Benefits who then take $9.95 a month out of your account without your authorization. There is a forum dedicated to them. I suggest you visit it.

Payday loans are very costly. These are basically short term high interest loans. Borrowers find it difficult to pay off and the loan amount continues to increase as financial charges accumulate with the principal.

If one fails to pay the amount within the first pay cycle and decides to roll it over, it takes him into profound debt.

People have been facing lots of troubles from these loan sharks. Borrowers generally have real trouble in repaying payday loans. Listen to what others say before you take any decision-
http://forums.debtcc.com/forums/payoff-payday.html

Hi Guest,

Welcome to the forums. Try to avoid payday loans as far as possible. These loans are tucked with an interest of $30 for every $100 to be paid in the next payday. So, if you borrow $500 from a lender, you will be required to pay $500 + $150 = $650 + service fee in the next payday.

If you default in the loan, the rates of interest keep growing higher and you might find it hard to keep paying the interest fees only.

If you really need cash, borrow money from your friends of family members or even your local moneylenders. But don't transact with the lenders online. The numbers of scams are rapidly increasing these days and they often sell your bank and personal information to other companies.

Be careful before you do business with any payday loan company online. It is a gateway to open up many unidentified problems for the future.

Also, keep in mind that when you borrow from anyone, make sure that you pay him within the due date. You will be able to save a lot of money in the form of interests before your loan gets defaulted.

Regards
Roxette

My advice is no, dont do it. I went down that road and got a $480.00 loan and wasnt able to pay it back right away. Once I did, that $480 loan had cost me $972. It is such an easy trap because they are so easy to obtain these days.
Good luck with your decision but I will never go back to obtaining a payday loan again. As stated in this forum, if you have to, find one in your area that you can visit in person.

Thank you! I went as far as to go down to one in person this morning and talked to the lady in the place and walked out without the loan. I couldn't do it.
This may sound like a stupid question but what is a local money lender? Are you talking about a bank or something? My credit is shot and I'm actually in a debt consolidation program right now so I've got to be careful what I do anyway....I've contacted family and waiting to hear back. Man, I hate this. Can anyone give me examples of money lenders...I know, I feel stupid asking but I'm not sure who that may be...

Thanks again!

Hi Guest,

The best example of money lending institutions can be your bank. See if they can grant you a loan. As you are in a consolidation program and have a bad credit, it is advised not to take any loan that will increase your monthly expenses.

However, you can also try to get a secured card with your bank. Your bank will open a savings deposit with you. Then you can pay towards your debt with that money. You can try it to rebuild your poor credit ratings.

Regards
Roxette

I must agree with everyone here,when I took out my first payday loan,it really helped me at the moment,but once it came due,I needed the money for something else,so I renewed it,then I took out another payday loan and another.Now the fees are killing me and I cant pay them off and pay my bills at the same time.My first payday loan was from a local lender,but after renewing it about 10 times,I was embarrased to keep going in there,so I got a payday loan on the internet(less personal,you dont have to see a person)and paid the local one off.The interest was higher,but I was happy not to have to face these people,always wondering if they think Im a loser.Well after seeing how easy it was to get a internet loan,I went and got a few more.Now I am barely living paycheck to paycheck,and I cant even afford to buy decent food for my family.We are living off peanut butter and jelly and tuna.Sometimes I can even remember why I got these loans in the first place,but one things for sure,if I had just settled for the peanut butter and jelly then,I would not be in this mess now.Im glad you walked out of that place,it would have been the begining of a terrible cycle,that is very hard to get out of.Good luck,and I hope you can find the help you need from family or you bank.

Yeah, trying to pay back money with money that you don't really have is horrible. I used to get cash advances from my credit cards to pay off bills and that was a HORRIBLE mistake. I would do EVERYTHING you possibly can to make ends meet without getting a loan from somewhere else. Get a second job...save pennies...cash in cans...anything. But don't keep borrowing.It will kill you in the end.

The payday loan cycle. Isn't it great. Sounds good in the beginning you really think you are solving all of your problems then bang blam boom you have another problem you need to pay them back. Nope seems to me that these payday companies never see the principle back only the interest. It is an investment for a lifetime. Not a very smart choice. I wish I never took one out! I now have a freeze on my bank account in one aspect that is good in others it could be the worst thing that could have happened to me! It is good because everytime the three payday places try to take money from me my bank rejects it. Bad because now I cannot have a bank account anymore. I owe my bank $540 in overdraft fees and checks that bounced. Payday loans only put you farther behind they do not help. I am happy the state of New York is not widely accepted by most payday companies or I would have well over 3 out right now!

Elisia,

You wish to say that if you would have lived out of New York or if it would have been widely acceptable in your state, you would have taken more payday loans. Please do not do that. Never repeat the mistakes. Especially in case of payday loans. They are deadly

Roxette,

I may not have explained myself well enough. I meant I am happy I live in New York because prior to finding this forum I would have taken all of the payday loans out I could, but because of the restriction I was unable too. I am very greatful I was unable to, now I am greatful for this forum. Sorry for the misunderstanding :) :P :D :lol: :oops:

Elisia

Ok..I might have been thinking the other way.. :) :)

But anyways, it's good that you have learnt good and practical things in this forum. Now, you are also sharing your good lessons with the rest of the community. I believe that you will feel happy when someone has taken your advice and stepped back from making risky decision. Good work, Elisia :D

Regards
Roxette