Applying for a payday loan is an accessible and available financing alternative but there are certain cases in which applying for a loan may mean sinking deeper into the debt we have. Here we warn you in what situations you will have to think about other solutions beyond a loan:
Pay another loan
We do not recommend under any point of view that you ask for a loan if you plan to pay previous debts of other commitments that were taken in the long term.
The reason why it is not advisable to do this practice is that you get into trouble if you finish, that is, ask for a loan to pay another. Unless you do it to consolidate debts, that is, ask for a loan to cancel several debts and keep one.
Lend to other people
It is great that you want to help a friend or family members but asking for a loan to give money to others is risky, since it is their financial reputation that is at stake, and if something goes wrong in the money back, it could be qualified as A bad payer.
If you know how to buy something that is out of your reach
If you know in advance that the application of the money they will give you will be to buy something that does not fit your economic reality. Buying that product will only aggravate your financial situation.
For example, if you want to make a trip abroad but you can’t save to cover expenses and ask for a loan to finance all the days outside the country. At some point you will accumulate debts with daily expenses and you will realize that your salary is not enough for everything.
In what situations is it recommended to use a loan?
payday loans like the ones we offer at Good Finance were designed to provide a useful service to the User. Therefore, request a loan from our website or it will be useful in the following cases:
- When an emergency or unforeseen expense appears. This is a unique expense that you cannot cover with your savings, but that if you had to pay it in two installments you could buy it, for example, if your washing machine breaks and you need to change it.
- To pay bills, taxes, fees or services or those purchases you did not have planned or arose at the last moment, is this family situation? Did you get a gas or electricity bill for a value you didn’t have in mind? In this situation, a payday loan can help you get through that bad time and have your service cut off.
- To give you the tastes you want but that are adjusted to your economic reality.